Personal loan as a resident

[Regmata]

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I am currently in the last year of residency and in need of some cash. Our program has an overseas component that is largely financed by the resident and I anticipate some expense with relocation, boards, DEA etc. It seems that I am no longer eligible for a residency and relocation loan.

I am going to look into Lending Club and Prosper. Does anyone have any better ideas or has anyone had any recent experience with this?

Thanks in advance.

 

[The White Coat Investor]

My initial thought is to ask "Why didn't you see this coming?" You knew about this from the time of your residency interview, so you probably should have put a little money away each month knowing this was coming down the road. However, I recognize that isn't particularly helpful for you. Prosper/Lending club will loan you money most likely (although they turn down lots of people) but probably at a relatively high rate. There are a number of banks that offer "signature loans" to physicians, and it's quite likely you'll both qualify and get a rate under 15%, perhaps under 10%. But if I were you, I'd just use a credit card or two with a 15-18 month 0% rate and put your expenses on it. Then pay it off with your first attending paycheck.

 

[QofQuimica]

How much money are we talking about here?

Also, what is your job situation for next year like? Find out what, if anything, they'll pay for. My employer is reimbursing me for my boards, paid for my DEA, and will also partially reimburse me for my move.

 

[camilagrace]

Rather than the credit card, it will be better to contact the bank and ask their terms and conditions for the personal loan for the time you are in the city. How much amount you need, for how much time and at what percent bank is giving the loan. If you know all these three subjects, then you can calculate its EMI on the basis of the below mentioned mathematical formula:-

[P x R x (1+R)^N]/[(1+R)^N-1
where P stands for the loan amount or principal,
R is the interest rate per month [if the interest rate per annum is 11%, then the rate of interest will be 11/(12 x 100)],
and N is the number of monthly installments.

and if it suits you then you can apply for it. Source:http://emicalculators.in/

 

[StudentsWithAMission]

It doesn't appear that the above link takes you to any sort of useful calculator. If you want to be able calculate a loan payment then this may be of more use.
I do agree that you probably shouldn't begin by going to Lending Club or Prosper. Those two sites can really try to expose and take advantage of borrowers with higher interest rates than might be normal. Perhaps a bank would offer more attractive finance options. If you aren't from the United States, it might be more difficult to get a loan here in the states. In some cases a zero APR for a certain period credit card would be better than a loan from Lending Club or Prosper. If you think you can pay the loan back in a timely fashion as soon as residency is finished, then I wouldn't worry as much about it.

 

[goodoldalky]

I would consider not taking the loan out. You should not be taking out additional personal loans as a resident. Period. My 02.