Doctora Foxy

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I plan to live with a roommate so I might not need all of the money my school will budget for living expenses. The school says that financial aid does not cover car insurance....but if I have money left over, can I use it for that, and whatever else I need?

Also, my school budgets a little over 50,000 a year, so this means I have to take out alternative loans, right? Do students usually go through a provider that is affiliated with their school? I got an application for MED LOANS in my FA packet from them....is that the alternative loan I should apply for? And should I follow the projected budget exactly, and borrow all of the extra money? (i.e. 52,000-38,500= $13,500?)

Thank yoy,

Foxy :)
 

analu

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Hi Foxy, I'm sort of in the same boat. Did you get your award letter? I'd talk to the FAO to see if they can recommend a good lender who can do both--administer Stafford and provide a good alternative loan. There are a bunch out there that I've been looking at.

Medloans is thru Bank One, I believe, and they have ALP (alternative loan program) to bridge the gap between your budget and Stafford, and MEDEX, for residency stuff. Some folks here have gone to northstar.org and the T.H.E. (Total Higher Education) med school loan. No fee Stafford and a pretty good looking private loan program as well. Check it out.

I think I'll be going the MEDLOANS route myself, as it is one of the banks "recommended" by my med school, i.e. checks will be disbursed electronically and hassle-free. Generally, the better credit you have, the better terms you'll be able to get with the alternative loans. My FAO did suggest that I find a lender to do both, so I'll pass that suggestion on to you!

As far as the car insurance thing, I wouldn't want you to get in trouble, but if you can live frugally, I've heard that you can use what's left over at your discretion.

Good luck!
 

ckent

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Definitely do medloans or another 0% origination fee loan service. Most Stafford loans charge a 3% origination fee which is a bucket load of money when you take 3% of over 100,000. Med loans has 2 programs, the stafford and the alternative loans, I was just talking about the stafford loan, I don't know too much about the alternative loan. Do not borrow all the money if you "think" that you do not need all of the money. My school grossly overcalculates our estimated budget, and of course the less money you borrow the better off you will be in the future. I would calculate how much you think that you will need and keep ~3,000 or so in your savings account at all times for emergencies. If you already have the 3,000, then just borrow what you think you need and the 3,000 can make up the difference if you come up short or you can always go to the fa office and ask for more money during the school year (but this process is slow, that's why you need the 3,000 in your bank account).
 
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LoanGrl

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If you are going to an osteopathic medical school, you might want to check out our NOWLoans web page. We have a banner ad on SDN, or you can go to our website at <a href="http://www.nowloans.org." target="_blank">www.nowloans.org.</a> We have no fees on our Stafford loans as well as an alternative loan, the Signature Student loan. Whatever lender you choose, definitely look for one with no fees up front to save yourself the money. The fee scale (0-6%) on the alternative loan depends on how good your credit is, or a co-borrower's credit. Borrow only what you need, and pay back what you don't use, and you will save yourself a lot of money in the long run.
Good luck to you guys!
 

analu

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Hi loangrl, so nowloans does not lend to allopathic students? BTW, Foxy is allo (Finch).

Thanks in advance!
 

LoanGrl

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Unfortunately, no, only osteopathic students. You know, is that why it says "Finch..." right under her name?? DUH! :rolleyes: Guess it just didn't register. I so silly! Well, guess it's good info for anyone who happens to read this thread. :)
 
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Doctora Foxy

Doctora Foxy

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</font><blockquote><font size="1" face="Verdana, Helvetica, sans-serif">quote:</font><hr /><font size="2" face="Verdana, Helvetica, sans-serif">Originally posted by LoanGrl:
<strong>Unfortunately, no, only osteopathic students. You know, is that why it says "Finch..." right under her name?? DUH! :rolleyes: Guess it just didn't register. I so silly! Well, guess it's good info for anyone who happens to read this thread. :) </strong></font><hr /></blockquote><font size="2" face="Verdana, Helvetica, sans-serif">Sorry LoanGrl, it DID only say the abbreviation before (FUHS/CMS) I recently changed it to avoid confusion. :) Thank you for all of your advice!
 

paean

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I agree that the prefered lender route makes things easier for your FAO, and therefore faster, but I know that getting better terms is more important to me than speed. I'm going to take out loans from the best lender I can find, and just get all my paperwork in early. Especially with alternative loans, the terms can make really big differences in how much the loan costs you in the long run. If you want to reduce your stress as a resident with high loans and low salary, I recommend looking at all the lenders your FAO prefers, but also others. The way I see it is, do I really want to pay several thousand more to save my FAO a little work? For me, the answer was no.
 

analu

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Hi paean, I totally agree with you. If I had more time, I think I would have gone the T.H.E. route. I was "coerced" into MEDLOANS because the FAO could not guarantee that the funds would be available by the tuition deadline...and I don't have the $$$ to front the first semester's tuition and fees by myself :( . MEDLOANS isn't far off from T.H.E., so I don't feel that bad about it. Just wanted the peace of mind knowing that when school starts, I'LL BE THERE!!! <img border="0" title="" alt="[Wink]" src="wink.gif" />
 

paean

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analu, ouch, that sounds frustrating. MedLoans are decent, but you could try switching lenders next year if you wanted. Your FAO won't like it because it creates more paperwork for them, but it's entirely legal. <img border="0" title="" alt="[Wink]" src="wink.gif" />
 
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