Cold Feet Before Accepting Loans

[KSDental]

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Is anyone else getting cold feet before accepting their loans for the first year of dental school? It is very tough to know that there is no turning back after this point. I estimate that I will be close to 200k in debt when it is all said and done. I am also applying for the NHSC scholarship, but I know that I can not count on winning that. Assuming the worst case scenario, where I am only able to make around 90k for my entire life, is it still worth it? This is assuming that I have no practice loans.

 

[microbio]

I felt the same anxiety as I have just recently accepted my fin aid for my first year of school. I will be attending a private school and my total aid was 83k. Personally I feel that this is a "healthy risk", and that with fiscal discipline in my early practice and with a aggressive repayment plan I will be able to manage my debt swiftly and responsibly. Unfortunately fear always makes me second guess myself, but I just don't allow it to detour me from becoming a dentist.

 

[ddsjc2014]

You guys are kidding.. My loan for the first year is $100k!!! so total 4 yr will be $400k+..
Now you guys talking $200k is too much?? Don't worry just work your ass off once you done!!

 

[setupben]

Its a good investment, here is some advice to make it count.

Practice frugality
Work hard, even when you don't have to
Stop doing dangerous things where you might hurt your hands
Get into a good sleep schedule

 

[NAVY DDS 2010]

Is anyone else getting cold feet before accepting their loans for the first year of dental school? It is very tough to know that there is no turning back after this point. I estimate that I will be close to 200k in debt when it is all said and done. I am also applying for the NHSC scholarship, but I know that I can not count on winning that. Assuming the worst case scenario, where I am only able to make around 90k for my entire life, is it still worth it? This is assuming that I have no practice loans.

The only way you will make only $90k per year is if you are a slow, associate dentist for your career or you are a dental school professor. Otherwise, you will make more than that.

Yes, $200k is a lot of money, but far from what a lot of d-school students come out of school paying. But, it is far from difficult to pay off. Even if you get a low paying associate position, as long as you don't go out and purchase a Porsche and a $500k house, you will be fine. Thousands of people every year take out these loans and don't have a problem paying it off. I am sure you won't have a problem as well.

 

[HillsNayyr]

Is anyone else getting cold feet before accepting their loans for the first year of dental school? It is very tough to know that there is no turning back after this point. I estimate that I will be close to 200k in debt when it is all said and done. I am also applying for the NHSC scholarship, but I know that I can not count on winning that. Assuming the worst case scenario, where I am only able to make around 90k for my entire life, is it still worth it? This is assuming that I have no practice loans.

200k total debt is pretty damn low. I'm going to be roughly around 250k plus all of my undergrad loans and I think I've got it pretty good compared to those that only got into private schools.

 

[SoulPower]

200k total debt is pretty damn low. I'm going to be roughly around 250k plus all of my undergrad loans and I think I've got it pretty good compared to those that only got into private schools.

If you are OOS for Minnesota their tuition is the same if not higher than some private schools.

 

[HillsNayyr]

If you are OOS for Minnesota their tuition is the same if not higher than some private schools.

Lucky for me I'm not.

 

[longhornpride]

psh... i make it rain when i take out my yearly 85k.

 

[Maygyver]

I'd be happy to only have 200k in debt in the future, but I agree about the apprehension.

 

[ramseszerg]

I have zero apprehension about my 200K, I know that it is very manageable compared to the 320K+ that others have. All I have to do is not blow money on stupid stuff.

 

[lemoncurry]

my loans will be over 400k including undergrad. i try not to worry about it. I'm investing in myself and I know I have (or will have) the skills. If I work hard and do the right things, everything will fall into place. As a religious man, I place my trust in the Lord. So far He hasn't let me down. Just gotta do your best in all things and leave the rest to Him. Some of you may find that comical, but I'm in my 30's, married, 4 kids, D4 Couldn't do it all on my own efforts.

 

[whodat4life]

my loans will be over 400k including undergrad. i try not to worry about it. I'm investing in myself and I know I have (or will have) the skills. If I work hard and do the right things, everything will fall into place. As a religious man, I place my trust in the Lord. So far He hasn't let me down. Just gotta do your best in all things and leave the rest to Him. Some of you may find that comical, but I'm in my 30's, married, 4 kids, D4 Couldn't do it all on my own efforts.

+1, very well said!

 

[omaralt]

my loans will be over 400k including undergrad. i try not to worry about it. I'm investing in myself and I know I have (or will have) the skills. If I work hard and do the right things, everything will fall into place. As a religious man, I place my trust in the Lord. So far He hasn't let me down. Just gotta do your best in all things and leave the rest to Him. Some of you may find that comical, but I'm in my 30's, married, 4 kids, D4 Couldn't do it all on my own efforts.

Wow dude don't know what to tell you since your already just about done; but $400K is insane. And you can't live frugally since you have 4 kids. Your also getting into the game late into your 30's so you have less working years than most. That $400K is a ~$3K/month. I really don't think dentistry is worth it at that cost. Head over to dental town and read what working dentists are saying. There are schools opening everywhere and the old dentists are not retiring. Good luck. This post is not directed at you but for others who are thinking about going to dental school. If your going to an expensive school join the military!

 

[lemoncurry]

400k is almost the average for private schools these days. I'm looking into IHS and other programs that have loan repayment. I do not plan on buying or running a practice for at least 4-5 years off the bat.

Again, I'm not going to do this all blindly, but I'm confident that everything will be taken care of. I may not get the Audi A8 that I want, but I'm sure my family will be provided for. Besides, even if it takes me 20 years to pay back this loan, I'll be paying for it with dollars that are valued less than when i took out the loan.

 

[jay47]

Wow dude don't know what to tell you since your already just about done; but $400K is insane. And you can't live frugally since you have 4 kids. Your also getting into the game late into your 30's so you have less working years than most. That $400K is a ~$3K/month. I really don't think dentistry is worth it at that cost. Head over to dental town and read what working dentists are saying. There are schools opening everywhere and the old dentists are not retiring. Good luck. This post is not directed at you but for others who are thinking about going to dental school. If your going to an expensive school join the military!

They aren't retiring because they aren't old enough yet. According to the latest ADA newsletter, the largest single group of dentists is between age 45-54. Most people don't retire then anyways.

The breakdowns are as follows from ADA News, Volume 42 front page.

Under 35: 12.7%
35-44: 22.8%
45-54: 27%
55-64: 25.5%
65+: 12%

I would assume that most people work until they are about 65, and assuming that most people would retire by then, it looks like the 64% of dentists will be at least very close to retirement in the next 10-15 years. What else I know is that a good number of these "older dentists" are in rural areas with TONS of work to do; the only problem is none of the new grads want to go to the rural areas.

Don't worry about the new schools. When state funding dries up EVEN more, the student loan bubble collapses, and the economy stutters to a crawl even more than it is now, they won't be able to charge $400,000 for 4 years of school and they will have to close because no one has $400,000 lying around to truly "invest" in their future with.

I agree with what you are saying about the loans being too big, but I still think the future in general is pretty bright (Maybe not the economics of the US, but perhaps the competitive dental market outlook).

 

[omaralt]

400k is almost the average for private schools these days. I'm looking into IHS and other programs that have loan repayment. I do not plan on buying or running a practice for at least 4-5 years off the bat.

Again, I'm not going to do this all blindly, but I'm confident that everything will be taken care of. I may not get the Audi A8 that I want, but I'm sure my family will be provided for. Besides, even if it takes me 20 years to pay back this loan, I'll be paying for it with dollars that are valued less than when i took out the loan.

you seem to have a solid head on your shoulders and know what you want to do so thats good; you'll be fine. somebody private messaged me about this whole thing and i thought i'd post my reply here for everybody to read. i dont want you guys to mis-understand me; dentistry is great! it really is; however if you factor in $3k/month for 25 yrs it can get difficult. here is my reply to that person:

Are things really as bad as you claim they are? Are you implying that everyone who hasnt started dental school yet should change their fields because the future of the field is that gloomy?

things are really not that bad in the real world. i make a good living and am comfortable. however what is bad and new to dentistry is the exorbitant amount of debt you guys are coming out with. most dentists make ~$100K starting out; which is ~$6-7K/month take home. thats a good income. however now take out $3K/month in loan repayment and you've automatically halved your income. dentists also have lots of expenses; you usually have to pay for your own medical insurance (i pay $550/month for me, wife and one child; all young w/no medical issues), disability insurance (i pay $150/month), and malpractice ($1500/yr), etc. once you add those up your really not left with much; thats why i would strongly urge you to get into the military or other loan repayment program. good luck

 

[KSDental]

I decided to do some actual calculations. I realized that the debt isn't that bad, as long as you start paying it back aggressively after graduation. The important thing is to secure a job and then live like a student for several years. This isn't too hard for someone who is young and single.

 

[tbeaven]

people do realize that if your paying 100k a year for loans you are not leaving school with 400K, but a lot more. only $8500 is subsidized and not collecting interest, and only 38,500 are federal loans. Interest is accumulating on the $91,500 a year while you are in school. Don't mean to be a bummer, but if your crunching numbers you need to factor this in.