Current Pharmacists and students

[dimeadozenn]

What is the best pay back option for 220k Debt? I would like to pay my own home around 2000$ and the rest of the money can be worked out. Now I am not in this much debt but would like to know out of curiosity.

What other options are there as well?

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[radio frequency]

Where is the <80k button?

 

[Sugoi Travis]

Best option is to not get yourself into 220k debt in the first place. Go to a cheaper school.

 

[dimeadozenn]

I know but I am hoping someone here can provide me some sort of answer to my question..

 

[Dred Pirate]

What is the best pay back option for 220k Debt? I would like to pay my own home around 2000$ and the rest of the money can be worked out. Now I am not in this much debt but would like to know out of curiosity.

What other options are there as well?

I don't think people know what you are askig - what do you mean you would pay your own home around $2000? obviously a home costs more than that

 

[dimeadozenn]

Ok, I was saying monthly I'd like to pay up to 2000$ for a home.....now I wanted to know how much monthly I would have to pay back a 220k pharmacy school loan? Like what kind of plans are their for me to pay the minimum and the maximum towards my pharmacy loan?

 

[Sugoi Travis]

Ok, I was saying monthly I'd like to pay up to 2000$ for a home.....now I wanted to know how much monthly I would have to pay back a 220k pharmacy school loan?

Forget the home. I wouldn't even think about buying a house until that debt was close to fully paid off. That $2,000 a month is better diverted towards knocking down the student loans. Rent an apartment for a fraction of the cost, go on IBR/PAYE and then take as many extra shifts as possible in order to generate enough money to make monthly payments as well as extra payments to kill the debt.

 

[radio frequency]

Buying a house is a terrible idea in that situation.

 

[pharmerjohn]

Ok, I was saying monthly I'd like to pay up to 2000$ for a home.....now I wanted to know how much monthly I would have to pay back a 220k pharmacy school loan? Like what kind of plans are their for me to pay the minimum and the maximum towards my pharmacy loan?

Why does it have to be $2,000 monthly payment? Assuming a 30-year home loan, that could roughly be anywhere between $325k-450k loan (depending on your credit and other factors). Why would you want to take on that much debt along with your student loan? Only buy a home IF it'll cost about the same to rent monthly ($800 mortgage vs $800 rent). Start with a smaller and more affordable home, because it's not just about being able to make the monthly payment. Consider the fact that you'll have to buy furnitures, appliances, and junk to fill the home with... those things all add up real fast.

 

[dimeadozenn]

And with that 220k I am wondering how much monthly I could pay minimum though. As for the 2k a month it won't be an issue looking for something cheaper. But I am wondering just about the monthly payments for the pharmacy loan..any ideas on how little I could possibly pay back monthly?

And btw I am creating a possible scenario out of curiosity sake..

 

[Dred Pirate]

Ok, I was saying monthly I'd like to pay up to 2000$ for a home.....now I wanted to know how much monthly I would have to pay back a 220k pharmacy school loan? Like what kind of plans are their for me to pay the minimum and the maximum towards my pharmacy loan?

where do you live? with loans like that - you should not be buying a house that expensive.

 

[dimeadozenn]

And with that 220k I am wondering how much monthly I could pay minimum though. As for the 2k a month it won't be an issue, looking for something cheaper. But I am wondering just about the monthly payments for the pharmacy loan..any ideas on how little I could possibly pay back monthly?

And btw I am creating a possible scenario out of curiosity sake..

 

[radio frequency]

I think I lost some brain cells reading this thread.

 

[confettiflyer]

Forget the home. I wouldn't even think about buying a house until that debt was close to fully paid off. That $2,000 a month is better diverted towards knocking down the student loans. Rent an apartment for a fraction of the cost, go on IBR/PAYE and then take as many extra shifts as possible in order to generate enough money to make monthly payments as well as extra payments to kill the debt.

Not the best advice, and makes a lot of assumptions that might not be correct (like assuming that renting is cheaper than buying).

 

[confettiflyer]

And with that 220k I am wondering how much monthly I could pay minimum though. As for the 2k a month it won't be an issue, looking for something cheaper. But I am wondering just about the monthly payments for the pharmacy loan..any ideas on how little I could possibly pay back monthly?

And btw I am creating a possible scenario out of curiosity sake..

Loan balance is irrelevant for income-driven repayment plans.

And $2k/mo is like a $400k house with ~10ish percent down at ~4.125% & PMI + impounds (back of envelope calc, nobody quote me on that).

and you can calculate your own IDR repayment by taking your expected AGI and subtract 150% of FPL for the current year @ current family size and multiply by 10% and then divide by 12.

Piece of cake, you don't need to bug is for that one.

If you don't like math, plenty of amortization calculators and IDR repayment calculators out there.

aaaand I'm signing off this thread

 

[pezdispenser]

Not the best advice, and makes a lot of assumptions that might not be correct (like assuming that renting is cheaper than buying).

Ok, add to that advice that you also need to stay out of California and other HCOL areas.

 

[pezdispenser]

You guys crack me up the way you talk about and justify debt like you have some serious Stockholm Syndrome going on. Get out of this rut, follow someone like Dave Ramsey to pay off your debts, and then you'll have true financial freedom and be able to build some serious wealth.

 

[Dred Pirate]

this debate goes on and one - I advocate home ownership - even if you do it before paying your loans off, just don't over extend. Where I grew up I could own a nice home for 120k and make 120-140k a year - where I live 150k can get you a decent/starter home. Buy it, get to 20% equity ASAP to avoid PMI/second mortage. They pay the minimum on the house and through everything at the student loan. When you decide to upgrade your loans will be paid off, you will have decent equity in your home for your next downpayment - don't upgrade unless you have 20% down. Now you will have more free cash because you are not tied to your student loans.

I still rent - I have owned three houses and did not follow the above advice on the first two. My share of the rent is $700 a month - many of you pay more than that for a car payment. I am saving up until I decide where I want to raise my family - but I know I will have a butt load of cash to dump on the downpayment

 

[owlegrad]

More than $700/month on a car?! Maybe for a Tesla but come on! LOL

 

[Dred Pirate]

More than $700/month on a car?! Maybe for a Tesla but come on! LOL

40,000 at 3% for 5 years = $718 - I have never bought a car over 16k - but I know people that do

 

[confettiflyer]

Ok, add to that advice that you also need to stay out of California and other HCOL areas.

Fine by me, I need fewer out of towners roaming around clogging my commute!

 

[TheWisePharmacist]

The best option I think it would be to extend out your payment plan as far as possible as this won't put you in a final crisis every month and severely restrict your quality of life. The second thing you should do is make a monthly budget plan by calculating how much you spend each month on everything. For the budget plan I would suggest using Mint.com. Once you know how much you spend each month you can make cut backs if needed. Also at anytime you can increase the amount you pay back each month to reach your goal of $2000/month.

Real life personal example:
Debt: $155,000 (approximate)
Payment Plan: (15-20years)
Salary: $126,600
Month Payment: $1050 (will gradually increase, mine is around $1,080 now)
All expenses: $1,450 (approximate)
Monthly savings: ($4,000-$3,000)~ I put into my savings account for investing purposes

Of course this all depends on where you live and if you are single or have kids. I'm single, don't live in California, and have a really low rent. Hope this helps!