Stafford loan vs institutional loan

[hannahrenee]

Is a 5% interest rate low enough to be worth giving up the perks that come with stafford loans (i.e. REPAYE)? I took out both loans first year, but my COL is decreasing for second year.

Choice 1: 40,500 stafford
Choice 2: 35,400 stafford + 5,000 institutional (5% interest and 0 origination)

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[TMP-SMX]

What will your repayment plan be long term? In general you shouldn't be taking out more than what you need but you will need some money for moving for residency and for interviews. During medical school those unsub loans are generating interest. The REPAYE benefit doesn't kick in until repayment.

 

[hannahrenee]

What will your repayment plan be long term? In general you shouldn't be taking out more than what you need but you will need some money for moving for residency and for interviews. During medical school those unsub loans are generating interest. The REPAYE benefit doesn't kick in until repayment.
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I plan to use something like repaye during residency then refinance and try to keep living like a resident after and pay off the loans in a few years. The ~40k is what I need for tuition and living. I took out more for first year but then I got a job where I can study and now I need less for the next year. I do have a little in savings in case I have to quit my job earlier than I anticipated though.