Having Difficulty Securing a Loan, Canadian here

[chondria]

Advertisement - Members don't see this ad

At first I want to note that I am from British Columbia, Canada and I've finally got accepted to my school of choice in US, unfortunately tuition is $500K (US dollars), but that my only option. I've inquired with the bank about loan, the most I can receive is $275K Canadian dollars (thats 220K US). Osap is very minimal about $40K (Canadian) over the course of my education.

So far I get get $315K Canadian dollars which converts to $252k US dollars
Need another $248K US dollars to cover the full loan.

What are my other options? Help out.

 

[chondria]

update:
Today, I've been speaking with different Canadian banks and all of them cannot offer a loan of $500K US dollars, thats almost $620K Canadian. Someone in another topic has suggested getting a loan through private lenders but their interest rates are horrendous.
I am trying to figure out possible ways how Canadian student can secure full tuition to study dentistry in US ? Rich parents is not an option.

There are a ton of Canadians applying this year, I am sure there should be some way of getting the $500K loan.

Please help out. Situation is looking gloomy 🙁

 

[sobertiger]

If you find a cosigner with excellent credit you should be able to get loans with lower rates. If you're borrowing from a US lender, you need an American cosigner.

Borrowing against your real estate in Canada is also an option, if you or your parents own a home.

Canadian studying Dentistry in USA, Tuition Help

 

[chondria]

If you find a cosigner you should be able to get loans with lower rates. If you're borrowing from a US lender, you need an American cosigner.

For the initial 275k Canadian dollars I already need a cosigner. Still need $300k+
I can't borrow form US bank, don't have anyone there in states.

 

[oralcare123]

At first I want to note that I am from British Columbia, Canada and I've finally got accepted to my school of choice in US, unfortunately tuition is $500K (US dollars), but that my only option. I've inquired with the bank about loan, the most I can receive is $275K Canadian dollars (thats 220K US). Osap is very minimal about $40K (Canadian) over the course of my education.

So far I get get $315K Canadian dollars which converts to $252k US dollars
Need another $248K US dollars to cover the full loan.

What are my other options? Help out.

Your only reasonable option would be to borrow against your parents house or even selling it. BC real estate prices are insane

 

[887194]

You can pm. I will have details on how to do this later on in the cycle as i gain more information. I will let you know how I will go about it.

 

[chondria]

Your only reasonable option would be to borrow against your parents house or even selling it. BC real estate prices are insane

You can borrow against the house if it has enough equity, but again, I would want to try other options before stripping down parent's assets. It's not like I will be able to pay off $500k USD in few years after graduation. There are things like taxes and life expenses that must be taken into account after graduation. I would assume it will take 10-15 years to pay that off at best.

Somewhere deep inside I feel, Canadians are pretty much screwed if they attend schools priced at 500K+. Unless family got savings that they wish to offer you at very minimal to no interest. 500K US is 640K Canadian and that's $200k/year of gross family income to quality. Maybe few years ago when rate was somewhat the same I wouldn't have trouble securing 500k Canadian.

 

[garrypayton]

You can borrow against the house if it has enough equity, but again, I would want to try other options before stripping down parent's assets. It's not like I will be able to pay off $500k USD in few years after graduation. There are things like taxes and life expenses that must be taken into account after graduation. I would assume it will take 10-15 years to pay that off at best.

Somewhere deep inside I feel, Canadians are pretty much screwed if they attend schools priced at 500K+. Unless family got savings that they wish to offer you at very minimal to no interest. 500K US is 640K Canadian and that's $200k/year of gross family income to quality. Maybe few years ago when rate was somewhat the same I wouldn't have trouble securing 500k Canadian.

I knew a friend personally who attended NYU. Got out of NYU with around 450k USD amounts of debt. Worked rural for a few years earning 200-300k and managed to pay off that debt within 5 years. There are options, you just have to be smart when it comes to your income and your quality of life when you graduate.

 

[LFA20]

I knew a friend personally who attended NYU. Got out of NYU with around 450k USD amounts of debt. Worked rural for a few years earning 200-300k and managed to pay off that debt within 5 years. There are options, you just have to be smart when it comes to your income and your quality of life when you graduate.

I call that BS

 

[738177]

You either need two cosigners for two independent loans or borrow against the house. There really is no other way.
Perhaps consider Australian schools if your end goal is to practice in Canada. They're expensive as well but they're not NYU expensive.

 

[garrypayton]

I call that BS

Call it what you want bud lol. Go look at job openings for dentists in rural area. Do your research, look at indeed dental job openings in texas and tell me their listed income. Its 200-300k with 1 year of experience or some even require no experience.

 

[PhansterZ]

I call that BS

Some of my classmates are doing that right now. 200k-250k/year to work in a rural area is not uncommon.

 

[WOWOWOW]

Call it what you want bud lol. Go look at job openings for dentists in rural area. Do your research, look at indeed dental job openings in texas and tell me their listed income. Its 200-300k with 1 year of experience or some even require no experience.

says by the Pre-dent. It is the biggest BS i've ever heard. I originally answered to this thread
Canadian studying Dentistry in USA, Tuition Help

I am a Canadian dentist working in the US. 200~300k right out of school? It maybe possible, if you take over your parents practice. Even if you do, you don't have the speed right out of school.

450k USD amounts of debt will take you at least 10 years to pay it back. If you have family (wife and 2 kids), I would say 20 years make more sense. Trust me, taking 450~500k loan will hurt you financially. It will take you a long time to pay it back as a dentist. Dentists are not orthopedic surgeons or other medical specialists, our average income is around 120~150k. Yes 200~300k is possible 5~10 years out of school, and that is when you own your own practice.

To answer the original question on this thread,
I am sorry to say this to you, but I personally think it is very dangerous to take loans out from Canadian bank to pay US dental school tuition.
I use this website for currency conversion
XE: Convert CAD/USD. Canada Dollar to United States Dollar
Right now, 1 CAD = ~0.80 USD.

Say you borrow 250k from a Canadian bank. IF CAD somehow recovers when your paying back this loan, you have to pay back extra percentage you borrowed from the bank (depending on how much CAD recovers). It is very risky.

IF you can, it would be better to take loans from the US Bank with a US cosigner (because of fluctuating CAD, it is safer to borrow USD imo).

 

[PhansterZ]

At first I want to note that I am from British Columbia, Canada and I've finally got accepted to my school of choice in US, unfortunately tuition is $500K (US dollars), but that my only option. I've inquired with the bank about loan, the most I can receive is $275K Canadian dollars (thats 220K US). Osap is very minimal about $40K (Canadian) over the course of my education.

So far I get get $315K Canadian dollars which converts to $252k US dollars
Need another $248K US dollars to cover the full loan.

What are my other options? Help out.

Tough spot you are in right now. Dental school is extremely expensive and without American federal loans, it is almost impossible for anyone to afford it.
Like someone stated earlier, you can also practice in Australia, like Melbourne, where the tuition is around 60k AUD = 60k CAD/year. You can live frugally for 25k/year, making it 85k/year.
85kx4 = 340k, and with tuition increases it may be up to 360-380k when you graduate in 4 years.

You can also work in Alberta for 1 year to obtain residency there. OSAP is pretty terrible for helping, but word on the street is that Alberta lends 150k for professional school. This information was from when I applied 7 years ago, but may still be true. If you can get BC student loans, they will give you 18k/year, which is ~72k.

So there are options out there if you want to do dentistry internationally. Australia and Canada currently has the reciprocal agreement so you can practice in Canada once you're finished school after completing the Canadian boards. Unfortunately, American schools are just too expensive for the loans to cover.

 

[garrypayton]

says by the Pre-dent. It is the biggest BS i've ever heard. I originally answered to this thread
Canadian studying Dentistry in USA, Tuition Help

I am a Canadian dentist working in the US. 200~300k right out of school? It maybe possible, if you take over your parents practice. Even if you do, you don't have the speed right out of school.

450k USD amounts of debt will take you at least 10 years to pay it back. If you have family (wife and 2 kids), I would say 20 years make more sense. Trust me, taking 450~500k loan will hurt you financially. It will take you a long time to pay it back as a dentist. Dentists are not orthopedic surgeons or other medical specialists, our average income is around 120~150k. Yes 200~300k is possible 5~10 years out of school, and that is when you own your own practice.

To answer the original question on this thread,
I am sorry to say this to you, but I personally think it is very dangerous to take loans out from Canadian bank to pay US dental school tuition.
I use this website for currency conversion
XE: Convert CAD/USD. Canada Dollar to United States Dollar
Right now, 1 CAD = ~0.80 USD.

Say you borrow 250k from a Canadian bank. IF CAD somehow recovers when your paying back this loan, you have to pay back extra percentage you borrowed from the bank (depending on how much CAD recovers). It is very risky.

IF you can, it would be better to take loans from the US Bank with a US cosigner (because of fluctuating CAD, it is safer to borrow USD imo).

LOL.

OP whatever you do don't let money be a determining factor. You can take out 2 line of credits if you have to from scotiabank or RBC. At the end of the day you can pay it back in a few years if you live with your parents, drive a corolla, and/or live on rent. You can also move to rural Texas as dentists there have a substantially higher income than most states. Good luck

 

[PrePreDental]

Have you got accepted to any other cheaper schools?

Another but risky option is trying to transfer to a Canadian school after 1st year but that depends how many available seats there are at that time (Second Year Transfer Students - Schulich Dentistry - Western University)

You need to have a strong co-signer to get a $250K loan, and the rest will have to supported by OSAP, parent's income and their line of credit. I highly doubt that banks will give you TWO $250K lines of credit, as its a HUGE risk for them to do so. I would also look into schools in Australia, Ireland, or even Poland (my friend is currently attending a school there).

All of the best luck. Keep us updated.

 

[738177]

Have you got accepted to any other cheaper schools?

You need to have a strong co-signer to get a $250K loan, and the rest will have to supported by OSAP, parent's income and their line of credit. I highly doubt that banks will give you TWO $250K lines of credit, as its a HUGE risk for them to do so. I would also look into schools in Australia, Ireland, or even Poland (my friend is currently attending a school there).

All of the best luck. Keep us updated.

I'd honestly avoid Poland just because it's not accredited by CDA. Going to Poland for dental school is basically equivalent to going to a dental school in India, and the latter costs substantially less. You also can't stay back in Poland (because you have to pass a Polish language exam) and can't realistically go to UK (if you're Non-EU).

The banks will give you two lines of credits given you can provide them more cosigners. I looked into this extensively when i got into NYU. Dropped the acceptance like it's hot and chose Medicine instead 👍. I definitely think OP should try Australia/Ireland as well if money is a concern.

 

[oralcare123]

says by the Pre-dent. It is the biggest BS i've ever heard. I originally answered to this thread
Canadian studying Dentistry in USA, Tuition Help

I am a Canadian dentist working in the US. 200~300k right out of school? It maybe possible, if you take over your parents practice. Even if you do, you don't have the speed right out of school.

450k USD amounts of debt will take you at least 10 years to pay it back. If you have family (wife and 2 kids), I would say 20 years make more sense. Trust me, taking 450~500k loan will hurt you financially. It will take you a long time to pay it back as a dentist. Dentists are not orthopedic surgeons or other medical specialists, our average income is around 120~150k. Yes 200~300k is possible 5~10 years out of school, and that is when you own your own practice.

To answer the original question on this thread,
I am sorry to say this to you, but I personally think it is very dangerous to take loans out from Canadian bank to pay US dental school tuition.
I use this website for currency conversion
XE: Convert CAD/USD. Canada Dollar to United States Dollar
Right now, 1 CAD = ~0.80 USD.

Say you borrow 250k from a Canadian bank. IF CAD somehow recovers when your paying back this loan, you have to pay back extra percentage you borrowed from the bank (depending on how much CAD recovers). It is very risky.

IF you can, it would be better to take loans from the US Bank with a US cosigner (because of fluctuating CAD, it is safer to borrow USD imo).

He doesn't have a cosigner in the US

 

[chondria]

thanks for the responses! I will try my best by speaking to various financial institutions, maybe I will be able to secure a loan at a decent interest rate. Also, I will meet with a a financial advisor next week, crunch down all the numbers.

I did read on this SD forum that it's possible to make 200-300k US after grad, in that case loan will be covered in few years. Making a financial decision based on forum posts (scratching head). I am thinking $150k range as a starting salary is a reasonable bet.

 

[PrePreDental]

I'd honestly avoid Poland just because it's not accredited by CDA. Going to Poland for dental school is basically equivalent to going to a dental school in India, and the latter costs substantially less. You also can't stay back in Poland (because you have to pass a Polish language exam) and can't realistically go to UK (if you're Non-EU).

The banks will give you two lines of credits given you can provide them more cosigners. I looked into this extensively when i got into NYU. Dropped the acceptance like it's hot and chose Medicine instead 👍. I definitely think OP should try Australia/Ireland as well if money is a concern.

I agree that that Australia/Ireland are the next best options if your parents have equity - Poland or any other non-accredited schools is your LAST LAST LAST option, as there are a LOT of hurdles in order to get back to Canada to practice but its still possible.

thanks for the responses! I will try my best by speaking to various financial institutions, maybe I will be able to secure a loan at a decent interest rate. Also, I will meet with a a financial advisor next week, crunch down all the numbers.

I did read on this SD forum that it's possible to make 200-300k US after grad, in that case loan will be covered in few years. Making a financial decision based on forum posts (scratching head). I am thinking $150k range as a starting salary is a reasonable bet.

It's possible to pay off your debts after you graduate if you work in a rural area and live as a student - one of the best comments I've seen on SDN is that you'll have like a dental hygienist for the first couple of years to pay off your debts before you can live as a dentist

 

[Ostracized]

I'm a Canadian dentist. My advice would be don't even consider going into that much debt for dental school. I have a hard time recommending even $250K Canadian debt now-a-days. Dentists are pouring into Canada. Good work is harder and harder to get and our incomes are dropping.

Even if you can get funding, you'll be a slave to your debt for most of your adult life. And if for some circumstance you have to stop working or can't find work (even temporarily) your cosigners (parents) will may their homes.

 

[chondria]

I'm a Canadian dentist. My advice would be don't even consider going into that much debt for dental school. I have a hard time recommending even $250K Canadian debt now-a-days. Dentists are pouring into Canada. Good work is harder and harder to get and our incomes are dropping.

Even if you can get funding, you'll be a slave to your debt for most of your adult life. And if for some circumstance you have to stop working or can't find work (even temporarily) your cosigners (parents) will may their homes.

If you don't mind asking, what is the average salary for Canadian dentists practicing in major cities these days ?

Originally my goal was to practice on visa for a few years at US, pay off 60%-70% of the loan and then return back to Canada and continue practicing locally.

 

[chondria]

I'll be honest, now I have some very mixed feelings whether I am making a right choice.

 

[Ostracized]

If you don't mind asking, what is the average salary for Canadian dentists practicing in major cities these days ?

I really couldn't tell you what an average income would be, but major cities will always be your worst bet for income. I work in Toronto, and fortunately I am fairly lucky to work in a well established practice with a family member. I have colleagues who have left the city for more rural areas because they couldn't even break 6-figures in the city. I have no doubt that some new dentists can do very well, but usually in the more remote and undesirable parts of the country.

Even though I am doing well enough, a loan like you would be taking would eat up 50% of my net income for 20 years. My lifestyle would have to be extremely modest and precarious.

 

[WOWOWOW]

I really couldn't tell you what an average income would be, but major cities will always be your worst bet for income. I work in Toronto, and fortunately I am fairly lucky to work in a well established practice with a family member. I have colleagues who have left the city for more rural areas because they couldn't even break 6-figures in the city. I have no doubt that some new dentists can do very well, but usually in the more remote and undesirable parts of the country.

Even though I am doing well enough, a loan like you would be taking would eat up 50% of my net income for 20 years. My lifestyle would have to be extremely modest and precarious.

Thanks for your input Ostracized. A lot of predents do not understand how hard it is going to pay off 500k loan. Taking 500k USD student loans = about 625k CAD.

 

[garrypayton]

If you take a look at NYUs tuition which is probably the most expensive dental school, their tuition is around $340,00 USD which is about 425,000 CAD. This is obviously without living but you can live in jersey city right across the Hudson river and pay ~$500 per month. Even then its still not close to 600k Canadian.

 

[chondria]

If you take a look at NYUs tuition which is probably the most expensive dental school, their tuition is around $340,00 USD which is about 425,000 CAD. This is obviously without living but you can live in jersey city right across the Hudson river and pay ~$500 per month. Even then its still not close to 600k Canadian.

To be on the safe side, I need to get the official tuition loan amount school asks. Only once I am on campus and get adjusted to life in US, then I can think about taking shortcuts. But for now the main problem is qualifying for such 500k loan without putting family in jeopardy as they are cosigners. See what I mean.

Thanks for your input Ostracized. A lot of predents do not understand how hard it is going to pay off 500k loan. Taking 500k USD student loans = about 625k CAD.

I sincerely appreciate all responses! Too bad there are not too many practicing dentists on this forum. Appreciate suggestions by Ostracized and WOWOWOW

 

[nerdatwork]

I'll be honest, now I have some very mixed feelings whether I am making a right choice.

I am in the same boat as you.