Starting an MBA program is exciting. It’s a big step, and it usually comes with big goals. It also comes with a few real‑world questions about money and how you’ll pay for the graduate program. 

Most people don’t pay for an MBA with just one source of funding. Beyond tuition, housing, fees, books, and everyday expenses all add up quickly and it’s important to budget for this investment.  

That’s why many people start with federal student loans and scholarships, then turn to private student loans for graduate school to cover what’s left. When used thoughtfully, private loans can be a helpful part of the plan. 

How Much Does an MBA Cost? 

MBA programs can look very different depending on the school, location, and format. 

On average, a two‑year MBA program costs around $60,000, but some programs cost much more. At top schools, the total cost can rise well over $200,000 once tuition, fees, and living expenses are included.  

According to GMAC’s research, tuition at leading U.S. business schools, especially the M7 schools,  an elite, self-selected group of seven top-tier US business schools, remains among the highest in the world. MIT Sloan’s MBA costs $173,060, Kellogg’s costs $172,740, Stanford GSB’s costs $171,510, and Harvard Business School’s costs $157,400, making Harvard the lowest-cost M7 program by tuition. 

Along with tuition, costs often include: 

• Housing and utilities 

• Health insurance 

• Books and technology 

Start With Federal Student Loans and Scholarships 

Before looking at private loans, it’s always smart to start with federal and school based aid. 

Filling out the Free Application for Federal Student Aid (FAFSA) is the first step. This form helps determine eligibility for federal student loans and may also unlock school- based scholarships. 

You can also check out Ascent’s Grad School Goals Scholarship Giveaway as another way to help with MBA costs. Even better, there’s no essay required! 

Why Federal Loans May Not Cover Everything 

Federal student loans can help cover a large portion of your MBA, but they don’t always cover the full cost, especially once you factor in living expenses. 

That’s becoming even more important as Grad PLUS borrowing changes take effect for new borrowers starting July 1, 2026. For some students, that may mean less federal funding is available than in the past. 

After federal loans, scholarships, and savings are applied, it’s common to still have a gap. That’s when many students start exploring private student loans for business school to help cover remaining, school-certified costs. 

If you want a clearer picture of what that gap might look like, Ascent’s Grad School Funding Calculator can help you estimate your total costs, expected federal aid, and what you may still need to cover. 

When a Private Student Loan Makes Sense for an MBA 

A private student loan may make sense if: 

• You’ve already used available federal student loans 

• Scholarships and savings don’t cover the full cost 

• The remaining expenses are tied to your program 

• You want repayment options that fit your timeline after graduation 

In these situations, private loans can offer flexibility and help keep your focus where it belongs. 

When a Private MBA Loan May Not Be the Right Fit 

Private student loans aren’t the answer for every situation. 

They may not make sense if: 

• Federal loan options are still available 

• You’re unsure how repayment would fit into your future budget 

• You’re borrowing without a clear plan for how the money will be used 

The right loan should feel supportive, not stressful. 

What to Look For in a Private MBA Student Loan 

When comparing private student loans, interest rate matters, but it’s not the only thing to consider. 

Flexible Repayment Options 

Some loans let you wait until after graduation to start payments or offer options while you’re in school. Ascent explains these clearly on its repayment options page. 

Clear, Simple Terms 

Loan details should be easy to understand upfront. Reviewing how Ascent private student loans work can help set expectations early. 

Cosigner Flexibility 

Applying with a cosigner can help you get approved and could help you qualify for a lower interest rate, depending on your credit profile. 

If you do apply with one, it’s worth choosing a lender that gives you the option to release  them later. Ascent offers cosigner release options after consistent, on-time payments. 

Applying with a cosigner can also significantly improve your chances of getting approved. In fact, Ascent saw 5.8x higher approval rates in 2025 for applications with a cosigner compared to those without.* 

Borrowing That Matches Real Costs 

Responsible lenders base loan amounts on a school’s certified cost of attendance to help prevent overborrowing. 

Comparing your options? Here’s a quick side-by-side look at how Ascent compares to other lenders: 

Comparison based on information obtained on lender websites as of May 2026 

Final Thoughts 

Paying for an MBA usually means pulling together a few different pieces to cover the full cost, and that’s okay.. Federal loans and scholarships often come first, and private student loans can play a helpful role when those options don’t cover the full cost. 

Ascent offers private student loans for graduate school designed to work alongside federal aid. 

With Ascent, borrowers can: 

• Cover school‑approved education costs 

• Apply with or without a cosigner, depending on eligibility 

• Choose from multiple repayment plans 

• No  application and origination fees 

With the right plan and the right support, financing your MBA can feel manageable and empowering, not overwhelming. 

FAQ: Private Student Loans for MBA Programs 

Can a Private Student Loan Cover My MBA Living Expenses? 

In many cases, yes, as long as those expenses are included in your school’s cost of attendance and your school certifies the loan amount. 

Should I Take Out Federal Loans or Private Loans First for My MBA? 

Many MBA students explore federal loans first, then consider private loans for any remaining gap. The best choice depends on your eligibility, total cost, and repayment goals. 

How Much Can I Borrow for My MBA With a Private Student Loan? 

It is typically limited to your school-certified cost of attendance minus other financial aid you receive, and it also depends on lender requirements. 

* 5.8x higher acceptance rates were observed in 2025 across all college products when a loan application is cosigned vs without a cosigner.