High Risk Loans?
High risk loans? WHY? It seems the last thing you need is another debt! How about this? Go get three jobs today - deliver pizzas, deliver newspapers, and stock grocery shelves and make enough money in the next few months to pay the debt off.
Should I take a loan and study in NICMAR, could I take the risk?
I have taken an education loan for 10.5Lakhs from CREDILA. I had to make this decision exactly 18 months ago. Now I'm Glad I made the right choice.My academics:10th : 6.6CGPA12th : 53.66%B.Tech : 65%PGP ACM : 6.92 CPII was kind of worried too. But now I would like to believe that it was definitely worth the risk. My purpose of coming to NICMAR is achieved. I have made the most of my time. Looking forward to the last 3 months of my time here.So yeah. It's definitely worth taking that risk. It all depends on you. People who come here and work hard, will pass out with a smile on their face and an offer letter in hand. Others though, end up blaming the entire world for their failure.
How should I assess risk for a student loan?
You need to calculate the completion rate, the incomes of those who do and do not graduate, the burden the debt will place on income of dropouts and graduates, and other debt burdens of the borrowers. One can estimate the likelihood of default based on the debt service to income ratio.
What are the risks of taking out a 25-lakh educational loan for an MS program in the US?
thanks for the A2A,There is very minimal risk arising from doing an MS and you have to do really bad if the risk becomes a reality! An MS is simply coursework. If you are sincere, you can just cruise through. Funding you MS: Although MS is (typically) not funded, one can find on-campus jobs that pay in the range - $10/hr to $20/hr. Talented (and fortunate) students can also find GSR (Graduate student researcher) employment with a faculty that pays of full tuition and a monthly stipend. Summer Internship: This is a big help! as one can earn $25k during summers that should cover half of your MS needs! Return on Investment:MS gives you an opportunity to apply for jobs in US. These are typically high-paying jobs that can pay for your MS costs in just 8 months. Thereafter, you have no debt and a job in the silicon valley to continue and grow further! I was in your position 6 years ago! and then I left for Masters. I worked as a soccer match referee (an on-campus job) for 6 months before getting a GSR position that funded the rest of my Masters. I got 4 internship offers for summer (Yahoo!, Facebook, Cloudera and Adobe) and got as many full time offers upon graduation. In my case, I had found graduate studies so fascinating that I decided to continue for a PhD (getting it in 3 months from now). I would suggest the following...take the step, explore by doing a MS, whatever funds you put in, would be recovered in 8 months, but you would be left with a learning experience, a graduate degree that stays with you forever, a job in the silicon valley and a career to look forward to, and who knows you may rediscover your interests and explore further in research by doing a PhD.
I was wondering how does a loan portfolio risk differ from individual loan risk?
Same as a stock, from a mutual fund - when you have a bunch of participants, if one fails, the whole bunch can help carry it. It's basically spreading the risk of loss around.