How an IIM Calcutta alum repaid her ₹30 lakh MBA loan in just 2 years: ‘Every little effort adds up’

Avani Rathore shared her journey in an Instagram video, explaining the multiple income streams and savings strategies that helped her become debt-free.

A young professional’s disciplined financial planning has gone viral after she revealed how she managed to repay her ₹30 lakh MBA education loan for IIM Calcutta within just two years of graduating.

Rathore said her approach was a mix of preparation before MBA, steady earnings during the course, and focused repayment after landing a job. (@avani.rathore25/X)

Avani Rathore, an IIM Calcutta alum, shared her journey in a detailed Instagram video, explaining the multiple income streams and savings strategies that helped her become debt-free in a short period.

Rathore said her approach was a mix of preparation before MBA, steady earnings during the course, and focused repayment after landing a job.

“I paid off my IIM Calcutta MBA loan in 2 years, using 4 sources of income,” the caption of the post reads.

She explained that her first step came even before joining the programme. She worked for two years before her MBA and built a strong financial base.

Breaking down her repayment strategy:

Instead of liquidating her long-term investments, such as mutual funds and PPF, she used only her liquid savings to pay for her academic expenses. This helped her keep her investments intact while managing immediate costs.

In her second year, after receiving a pre-placement offer (PPO), she began taking up part-time work alongside her studies. The extra income was directed towards her remaining fee requirements, reducing her dependency on loans further.

After graduation, Rathore focused on her post-MBA salary as the primary source of repayment.

“A lot of people might not find this a very good financial decision, but for me personally, I did not want the headache of a loan because I wanted to leave my job,” she says.

Rathore shared that since she did not have any dependents, she was able to allocate a large portion of her earnings towards clearing her loan aggressively. This disciplined approach helped her close the ₹30 lakh debt within two years of completing her course.

“If you’re working towards paying off a loan, remember: it’s a marathon, not a sprint. Every little effort adds up,” she wrote.

HT.com has reached out to the user for more details. This report will be updated when she responds.

Check out the video here:

Here's how people reacted to the video:

Instagram users praised Rathore’s disciplined approach, with many calling her strategy “practical” and “inspiring.”

One of the users commented, “Technically, it is foolish to pay off your education loan early. For personal peace, it could be a wise decision.”

A second user commented, “Makes sense! Thanks for sharing.”