Loans for MD/PhD students

[MEDUSA23]

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I know there are some older threads on loans for MD/PhD students but the financial climate has changed since then. I am in need of additional financial help during the first year as a MD/PhD student. I own a home and there may be a period of time where I am paying mortgage payments in addition to rent or payments on a small, second home. My husband and I are also expecting our first child in October. I would like to have a little safety for unanticipated expenses.

Does anyone have experience taking out loans above COA?

 

[chutzpah]

I think MD/PhD students also qualify for Cost of Living loans from the government try applying through fafsa and the like. Many universities have their own institutional loans for medical students so you could look into that.

 

[gstrub]

At my school, our stipend is paid through our graduate department, and thus is not counted against our COA, and thus I can borrow ~20k/year in FAFSA, and thus I have the same debt as my non md/phd counterparts. But I refuse to live like I am in college, and IBR/PSLF now makes it so there is no difference between paying back 100k or 200k.

Some schools count the stipend against your COA, which means you can borrow very little standard direct loans.

 

[echod]

But I refuse to live like I am in college, and IBR/PSLF now makes it so there is no difference between paying back 100k or 200k.

gstrub, how are you planning on having your loan forgiven through public service? If you don't mind me asking.

 

[peanut11]

I've taken out loans as well as part of my program. I'd recommend talking to your med school financial advisors. Our's is brilliant at setting up budgets for cost of living.

 

[bd4727]

It is 100% school dependent. How they calculate cost of living, how they categorize the various parts of your grant (stipend, health insurance), whether they subtract your stipend from COL, etc. I was able to take ~9k per year in interest-subsidized loans, and was able to take a lot more in non-subsidized government loans, but didn't.

Obviously, you will be able to get private loans pretty easily as a MD-PhD student assuming you don't have a prior history of bad credit.

 

[isidella]

gstrub, how are you planning on having your loan forgiven through public service? If you don't mind me asking.

Not sure about gstrub, but I hope to get some loan forgiveness (~35K/year of research) during fellowship/postdoc assuming this program is still around in a few years

http://www.lrp.nih.gov/about_the_programs/index.aspx

 

[bd4727]

Not sure about gstrub, but I hope to get some loan forgiveness (~35K/year of research) during fellowship/postdoc assuming this program is still around in a few years

http://www.lrp.nih.gov/about_the_programs/index.aspx

FYI the payline for the LRP is on par with R01 grants...

 

[gstrub]

gstrub, how are you planning on having your loan forgiven through public service? If you don't mind me asking.

IBR/PSLF says that if you make 120 on time payments under IBR, and work for any non-profit for at least 30hrs/week (read any major academic center), they forgive your remaining loan.

So if you are choosing a long residency (say 7yrs) you pay the IBR amount/month, which is way less than the 30yr monthly payment (may not even cover interest). You do this for 7 years, and all you have to do is spend the next 3 in academics or under any non-profit and they forgive your balance.

I did some math a while back...I have 220k, I pay a small sum to just offset the interest for 10 years, then puff the 220k is gone. And you don't even get taxed on it!

Check it:
http://www.ibrinfo.org/faq.vp.html#_My_spouse_and

 

[Guero]

IBR/PSLF says that if you make 120 on time payments under IBR, and work for any non-profit for at least 30hrs/week (read any major academic center), they forgive your remaining loan.

So if you are choosing a long residency (say 7yrs) you pay the IBR amount/month, which is way less than the 30yr monthly payment (may not even cover interest). You do this for 7 years, and all you have to do is spend the next 3 in academics or under any non-profit and they forgive your balance.

I did some math a while back...I have 220k, I pay a small sum to just offset the interest for 10 years, then puff the 220k is gone. And you don't even get taxed on it!

Check it:
http://www.ibrinfo.org/faq.vp.html#_My_spouse_and

😍 That makes me *love* rather than dread the length of an MD/PhD with a neurosurgery residency. Word.