Loans with MD/PhD?

[Bcblazer]

Just out of curiosity, are you current MD/PhD students taking out loans? And are you future students planning on doing so? I was hoping to buy a house, and it would be helpful to have some loans to assist me in the paying the mortgage.

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[gstrub]

Yes, there are plenty of us. It depends on your program...some schools will not let you borrow because they will include your stipend toward your COA calculation, and some schools like mine will not count it and thus you can borrow the maximum allowed.

I'm sure I may regret it a bit later, but I used these funds for all kinds of important things (got married, bought car, etc) that I couldn't have done otherwise. Plus I was sick of not being able to buy nice things, go out to dinner, etc. So I guess I will graduate with an average debt for a medical student, but have been living on closer to 40K a year than 18K.
Good luck,
G

Edit: not sure I would have borrowed as much if I was just starting...most of my loans are consolidated at 2.7 %...I only have 1 years worth of the 6.8 BS rate.

 

[Bcblazer]

Thanks for the reply. At the school I will likely be matriculating at, the stipend is provided by the graduate school, so it doesn't count in the COA calculation. I'm currently thinking about taking out between 5 and 10 thousand extra per year in addition to the 24 or so thousand dollar stipend. My loan rate will be 6.8%.

 

[Calf]

I am most likely going to have my significant other living with me, so that will help with housing costs etc, so I'm hoping I won't have to take out any loans. *crosses fingers*

 

[Katatonic]

I am most likely going to have my significant other living with me, so that will help with housing costs etc, so I'm hoping I won't have to take out any loans. *crosses fingers*

Same here, hopefully the rent/food costs will be affordable on the stipend since everything will be 1/2 cost (assuming I get in this coming cycle).

 

[gbwillner]

Just out of curiosity, are you current MD/PhD students taking out loans? And are you future students planning on doing so? I was hoping to buy a house, and it would be helpful to have some loans to assist me in the paying the mortgage.

I took out loans for a bulk of my training. Right now most is at 3.61%, but I have 2 years of Stafford loans at 6.8%.

I would say to hold off on loans until they come back below the stratosphere. I makes more sense to take out a house mortgage than a student loan!

 

[Bcblazer]

That's a good point. Do you think that interest rates will come down again, though?

 

[gstrub]

No.

 

[gbwillner]

That's a good point. Do you think that interest rates will come down again, though?

I think they will renew the old bill that stated that student loans should be 1/2 the mortgage rate. This ran out in 2005. I think there will be a significant reduction in grad students until they fix this problem.

 

[saco]

In my school you can take about 8K subsidized plus 8K unsubsidized. I've been taking the subsidized loan every year just to make a decent living in Manhattan.