So how do I pay back medical school??

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Hello all,

I begin a surgical residency this summer, and am starting to think about the massive debt I've accumulated over the past 4 years (~200k). My school offers little guidance in regards to options for paying this back, so, I'm hoping someone out there can lend some insight.

Aside from outright paying a chunk out of every paycheck, are there any other options? Is there any way I can do a few years on (non-military) service in exchange? Does it make sense financially (ie, would it make more sense for me to just get into the regular workforce sooner)? Does anyone have any good websites?

Thanks in advance

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There are service programs that will repay your debt, but the ones I know about are for people in primary care (i.e. National Health Service Corps http://nhsc.bhpr.hrsa.gov/join_us/lrp.asp). My state has a program where you work in an underserved or rural area and they will pay back one year of school for each year of service. Maybe your state has something similar?
 
There are service programs that will repay your debt, but the ones I know about are for people in primary care (i.e. National Health Service Corps http://nhsc.bhpr.hrsa.gov/join_us/lrp.asp). My state has a program where you work in an underserved or rural area and they will pay back one year of school for each year of service. Maybe your state has something similar?

That's only for primary care.

Since you are doing surgery I'd recommend a well paying job, living cheaply, investing well, and being wise on getting all possible tax refunds.
 
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Hello all,

I begin a surgical residency this summer, and am starting to think about the massive debt I've accumulated over the past 4 years (~200k). My school offers little guidance in regards to options for paying this back, so, I'm hoping someone out there can lend some insight.

Aside from outright paying a chunk out of every paycheck, are there any other options? Is there any way I can do a few years on (non-military) service in exchange? Does it make sense financially (ie, would it make more sense for me to just get into the regular workforce sooner)? Does anyone have any good websites?

Thanks in advance

Because you are going into residency, you should know that while your income is low and your debt load is high - you have options to postpone payment all throughout your residency. This doesn't mean you can't make payments if your budget allows, but you don't have to.

The first option that most residents will utilize is Economic Hardship Deferment. This was you can postpone and receive the subsidized benefit. I recommend that if you have loans that will enter immediate repayment (ie. Consolidation or GradPlus loans) that you apply and get approved for deferment as close to graduation as possible. Because there of changing legislation, the debt to income ratio, used by many, may no longer be a qualifying option after 7/1/09. Ideally if you appply sooner - you could qualify for EHD longer.

Also note that while in residency you are always eligible for Residency Forbearance, which all lenders are mandated to give to residents. You don't get the subsidized benefit while in a forbearance, but still payments are not required.
 
As a surgeon, you may can find a group that will pay some of it back.

More likely, you will just have to be financially smart.

Not go nuts and make bad decisions like buying 80K cars, etc.

My personal idea is to see a financial planner. I mean docs would be the medical experts why not see a finance guy to help sort out the best approach.

Just think this way: 200K / 10 yr = 20k/yr

20k/yr / 12 months = $1,667/month

Not too hard to pay with a surgeon salary.

Just develop a plan that works for you and do it responsibly.
 
Hello all,

I begin a surgical residency this summer, and am starting to think about the massive debt I've accumulated over the past 4 years (~200k). My school offers little guidance in regards to options for paying this back, so, I'm hoping someone out there can lend some insight.

Aside from outright paying a chunk out of every paycheck, are there any other options? Is there any way I can do a few years on (non-military) service in exchange? Does it make sense financially (ie, would it make more sense for me to just get into the regular workforce sooner)? Does anyone have any good websites?

Thanks in advance

First, economic hardship deferment, then, forbearance, if needed.

Do a 30-year, graduated repayment plan.

Pay off high interest loans first.
 
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