How much of your MBA loan can you pay back in 3 years post-MBA from a new IIM?

MBA loan payback from a new IIM over 3 years covers 30-40% of principal at Rs 15L fees level assuming Rs 13 LPA fixed CTC - full repayment takes 5-7 years while working smartly. The OP took Rs 14L+ loan at SBI (6.7% fixed, 15-year tenure) and is paying it back comfortably - "Aaram se de rha hu loan. Got it at 6.7%. Helps in taxes too. 15 years is the duration." Real loan math at new IIMs:

1. Typical loan: Rs 15-20L at 6.5-9.5% interest rate (SBI, HDFC, Bank of Baroda),

1. EMI over 15 years at 6.7%: ~Rs 13,200 per month for Rs 15L loan,

1. Monthly in-hand at Rs 13 LPA fixed (new tax regime): ~Rs 85-95K,

1. EMI as % of in-hand: 14-15% - manageable. Repayment strategies:

1. Extended tenure (15 years): Lower EMI, longer duration, better for early career cash flow,

1. Aggressive payback (5-7 years): Higher EMI (~Rs 25K/month), saves Rs 8-12L in total interest,

1. Lump sum payments: Use joining bonus + annual performance bonus to make Rs 2-3L lump sum payments, reduces principal significantly,

1. Tax benefit: 80E allows unlimited interest deduction under old regime - maintain old regime in early career years for this. Realistic timeline for Rs 15L loan payback:

1. Year 1-2: Pay only EMI (Rs 13.2K/month under 15-year tenure),

1. Year 2-3: Start lump sum payments of Rs 1-2L annually from bonuses,

1. Year 3-5: After job switch at Rs 20+ LPA, increase EMI to Rs 30-40K or continue lump sums,

1. Year 5-7: Close loan completely before marriage/home purchase expenses kick in. For loans above Rs 20L at Rs 14-16L fee colleges + Rs 5-6L living expenses, full payback typically takes 7-10 years at new IIM exit salaries. This is why ROI at new IIMs is marginal - total investment (fees + opportunity cost) is 40-50L for Rs 13-15 LPA exit CTC. Carefully evaluate before loan-funding MBA at new IIMs unless confident about post-MBA career trajectory. Check your eligibility at collvera.com/eligibility