Entering with debt

[Mountain Cow]

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Do many MD/PhD students enter their programs with debt (from undergrad or masters)?

Of those who do, do they usually try to pay it off during the MD/PhD training or just consolidate the loans and pay the minimum balance? 😕

 

[LaDandouna]

I am sure a couple of us do...🙁

Just before u start reading, I want to add a disclaimer: I am by no means an expert on this subject and this all will depend on the types of loans that you have....

From what I know, most educational loans do not start accumulating interest and you also dont have to start paying them until you finish with your MSTP since as an MSTP student, u will still be considered a full-time student....The advice that I got from people is that although I am not accumulating interest on my loans, I might as well start paying a small amount of the principal every month so by the time I am done with the MSTP, I will be done with a good portion of the loan....But again, I don't know about your particular situation, it all depends on what type of loans u hav...

As for consolidating, many people advised me against it if you hav a federal loan since this will eliminate the grace period...

 

[Picklesali]

I am sure a couple of us do...🙁

From what I know, most educational loans do not start accumulating interest and you also dont have to start paying them until you finish with your MSTP since as an MSTP student, u will still be considered a full-time student....

I think the only deferred-interest loans are "subsidized stafford" and perkins loans. So interest would still accumulate if you have any private educational loans or unsubsidized. In any case, I think the best idea is to try to pay a little off, if you find you have a little left from your stipend. At least that's what I plan to do and I have both subsidized and unsubsidized loans...

 

[GoinBack2Cali?]

Are MSTP's able to take out loans like the stafford even though we have tuition, etc. taken care of?

 

[QofQuimica]

Do many MD/PhD students enter their programs with debt (from undergrad or masters)?

Of those who do, do they usually try to pay it off during the MD/PhD training or just consolidate the loans and pay the minimum balance? 😕

Most people's biggest expenses are housing and transportation. (I guess food expenses can also get out of control if you let them, but I'll assume you aren't training to win a hotdog-eating contest or anything!) So the biggest things you can do to keep the lid on your expenses are to live close to your school (preferably close enough that you do not need to drive in), and share an apartment with a roommate. Particularly if you share living expenses with a roommate and are frugal with your variable expenses (food, gas, utilities, going out, etc.), you have a very good chance of having a few hundred dollars left over each month from your stipend, which you can put toward your debt. I didn't have debt from UG, so I funded a Roth IRA the entire time I was in grad school. My best friend from grad school lived with multiple roommates and literally sent several tens of thousands of dollars back home to his family in India over the course of five years. There were so many guys sharing his place that his rent was like $100 per month. I thought the crowdedness of his living conditions was major overkill to the point where no American would probably be willing to live that way. But anyhow, you get the idea: try to minimize your housing costs to whatever level is tolerable to you.

 

[Neuronix]

Are MSTP's able to take out loans like the stafford even though we have tuition, etc. taken care of?

Depends on the program. Some allow it, some don't.

I had debt from undergrad, but it's all sub loans so I just let it sit there. I took more sub loans during med school, which I have earning interest and I use it as a rainy day/vacation fund. At this point I've paid back into the rainy day fund almost to the amount I've taken out, but that loan money was essential for me being able to do things like buy furniture for my first apartment.