I agree that all of that seems pretty accurate. I had Psych right before Christmas break, which was an excellent time to take it. I actually had time to do some of the things that I wanted to do. All of our third year rotations are 8 weeks, and since I did OB/Gyn first, followed by Surgery, I was ready for the break! 😀
I think that one big advantage of taking Psych early is that you really learn how to interact and deal with difficult patients. My Medicine attending was really impressed with how I was able to relate to a borderline patient on the wards. I don't think that I would have done so well with this particular patient if it hadn't been for my doing Psych before Medicine.
The only other thing that I would suggest is that you borrow or buy a Pocket DSM-IV and become very familiar with the diagnostic criteria for bipolar disorder, schizophrenia, borderline personality, etc. Our attendings really liked to pimp us on that kind of stuff and it does help for the Shelf exam!