loan repayment offers

[JohnUC33]

To those nearing the end your residencies, what kind of loan repayment options have you been offered thus far? I know the pro is that you get your student loan payed in part or whole. However, what cons have you ran into with these offers? I'm starting MS1 in the fall and have no idea what I want to specialize in. Yet, I know I'll have a big student loan, and am interested in hearing what kind of offers some of you have received thus far.
Thanks

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[JohnUC33]

bump

 

[LO281OK]

budump!

 

[JohnUC33]

anyone? no one? (redundant question)

 

[Darth Asclepius]

Bump. I'm curious about this too.

 

[dawg44]

Some will repay it lock stock and barrel and attach it to a 4-5 year commitment if you leave you owe a prorated amount at usually 9! percent interest. Others will knock 20 to 25 thousand off per year of service and that way if you leave after 2-3 years you aren't left with a 80,000 bill from the hospital that is due immediatly, with interest. So you have to definitely watch that. That, tail coverage and accounts receivable are the biggest issues that can cost you a ton if things don't work out in an area. These loan repayments are becoming the norm in certain specialties and if a hospital wants to compete it almost has to offer this with a very competitive salary and signing bonus. Its becoming very tight out there with the projected specialty shortage.

 

[beriberi]

Q:What is the difference between a job that starts at $225K per year, and one that starts at $200k and offers $25k per year of loan repayment?

A: Not a whole lot. I think even the $25k is taxable.


As far as I can figure, loan repayment is part of a bigger compensation package. There is always some way of getting more money for the work you are trained to do -- live in an undesireable location (rads in the southeast, EM in florida, etc), work longer hours, take more call, work more night shifts, etc. Loan repayment is just one form of compensation. When (in 7-10 years) you finish training, you should have many options of where you want to work. Don't make loan repayment more important than it should be (e.g. the two packages above are nearly identical, but if you take the bigger direct compensation, you can pay the minimum loan payment and invest the difference).