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These topics may be controversial. But I'll share my thoughts and why you should borrow the maximum for medical school (only do federal loans. Do private loans if interest is 2% or lower) and repay through IBR or in residency/as an attending.
We all know medical school is expensive, and 90% of us who don't have trust funds will have to borrow some money unless we get scholarships or go through the military. It may get to a point where $50k and $500k are the same amount of money. They only differ by one zero and is money we can't ever fathom. While this money seems like a lot of money to us right now, as attending they won't seem like nearly as much. For example, $10 may seem like a lot of money to a homeless person. He/she can eat for maybe 2-3 days with that much money. But for other people, they may not even realize if $10 disappears from their wallet, under their bed, or their bank account.
Likewise, as medical students, the difference between living in a blighted gentrified inner city apartment versus one in a safe middle class area is huge. So is the difference between driving a 20 year old Buick and getting that new or late model Toyota Corolla or Mazda 3. And the chance to backpack Europe, go on a Caribbean cruise, hike Machu Picchu, Trek across South East Asia, explore Australia, or visit Hawaii when you are young is something that money can't ever buy in your older years.
Given, these actions do have some consequences. You may have to repay more loans and have less disposable income as an attending. But those sacrifices are much smaller because of your income. There's a much smaller difference between a $250k home and $750k home (maybe 3bd/2ba vs 5bd/4 ba), than between a $300/month apartment in the inner city and a $600-$700/month apartment in a safe area. There's a smaller difference between a $95k Mercedes S-class and a $60k Mercedes E-Class than between a $2k 2001 Chevy Cavalier and a $10k 2019 Mitsubishi Mirage (cheapest new car). The memories you get spending $4k backpacking/sleeping in hostels for 6 weeks around Thailand, Malaysia, Cambodia, Vietnam, Singapore, and Indonesia is an experience you can never have once you're married with children. The damage you do to your body eating unhealthy to save money can cause thousands of medical bills farther down the line.
Given that the federal government is keeping interest rates at historic lows, I would borrow as much money as you WANT, not what you need. Furthermore, with IBR, I calculated after 20 years of payments, the effective interest rate is similar to that of a mortgage. So go out and go on your dream vacation, buy that expensive engagement ring for your girlfriend so she doesn't ditch you for an investment banker, live in that luxury apartment with marble countertops and stainless steel appliances. YOU ONLY LIVE ONCE.
We all know medical school is expensive, and 90% of us who don't have trust funds will have to borrow some money unless we get scholarships or go through the military. It may get to a point where $50k and $500k are the same amount of money. They only differ by one zero and is money we can't ever fathom. While this money seems like a lot of money to us right now, as attending they won't seem like nearly as much. For example, $10 may seem like a lot of money to a homeless person. He/she can eat for maybe 2-3 days with that much money. But for other people, they may not even realize if $10 disappears from their wallet, under their bed, or their bank account.
Likewise, as medical students, the difference between living in a blighted gentrified inner city apartment versus one in a safe middle class area is huge. So is the difference between driving a 20 year old Buick and getting that new or late model Toyota Corolla or Mazda 3. And the chance to backpack Europe, go on a Caribbean cruise, hike Machu Picchu, Trek across South East Asia, explore Australia, or visit Hawaii when you are young is something that money can't ever buy in your older years.
Given, these actions do have some consequences. You may have to repay more loans and have less disposable income as an attending. But those sacrifices are much smaller because of your income. There's a much smaller difference between a $250k home and $750k home (maybe 3bd/2ba vs 5bd/4 ba), than between a $300/month apartment in the inner city and a $600-$700/month apartment in a safe area. There's a smaller difference between a $95k Mercedes S-class and a $60k Mercedes E-Class than between a $2k 2001 Chevy Cavalier and a $10k 2019 Mitsubishi Mirage (cheapest new car). The memories you get spending $4k backpacking/sleeping in hostels for 6 weeks around Thailand, Malaysia, Cambodia, Vietnam, Singapore, and Indonesia is an experience you can never have once you're married with children. The damage you do to your body eating unhealthy to save money can cause thousands of medical bills farther down the line.
Given that the federal government is keeping interest rates at historic lows, I would borrow as much money as you WANT, not what you need. Furthermore, with IBR, I calculated after 20 years of payments, the effective interest rate is similar to that of a mortgage. So go out and go on your dream vacation, buy that expensive engagement ring for your girlfriend so she doesn't ditch you for an investment banker, live in that luxury apartment with marble countertops and stainless steel appliances. YOU ONLY LIVE ONCE.