2018 REPAYE experience

[flightnurse2MD]

On part of the advice of @Psai and others, I consolidated my loans the day after graduation and entered the REPAYE program through my lender- Great Lakes. The whole process took ~6 weeks and not much of a hassle. My monthly payments will be $141.57 the first year of residency. I’m not paying $0 because I worked part-time as a nurse last year. Acccording to REPAYE, the government will pay 100% of any accumulated un-paid interest the first THREE YEARS then 50% after that. I crunched the numbers and figured that would save me around $35K in capitalized interest versus putting my loans into forebearance for the next 4 years. So far looks like a great deal on my end, but I let you know otherwise later down the road.

 

[deleted875186]

I believe it’s 100% of any unpaid interest in subsidized loans, but only 50% of unpaid interest on unsubsiduzed loans, which is likely the bulk of most people’s med school loans.

 

[DaTruMD]

I am on the same road as you.

 

[flightnurse2MD]

I believe it’s 100% of any unpaid interest in subsidized loans, but only 50% of unpaid interest on unsubsiduzed loans, which is likely the bulk of most people’s med school loans.

Damn, you’re right. Eh, still a good deal.

 

[abolt18]

On part of the advice of @Psai and others, I consolidated my loans the day after graduation and entered the REPAYE program through my lender- Great Lakes. The whole process took ~6 weeks and not much of a hassle. My monthly payments will be $141.57 the first year of residency. I’m not paying $0 because I worked part-time as a nurse last year. Acccording to REPAYE, the government will pay 100% of any accumulated un-paid interest the first THREE YEARS then 50% after that. I crunched the numbers and figured that would save me around $35K in capitalized interest versus putting my loans into forebearance for the next 4 years. So far looks like a great deal on my end, but I let you know otherwise later down the road.

I did this successfully last year and it was easy as you described. And as Dipriman stated it's only the subsidized loans whose interest is paid 100%, and after the 3 years it switches to 50% like the unsubsidized loans.