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Improving medical students

Archive for the ‘Debt’ Category

How to Repay Medical School Debt

Posted by medliorator on August 27, 2009

The median debt load for the 87 percent of medical school graduates who have some debt was $155,000 in 2008, according to the Association of American Medical Colleges, up 11 percent from just one year earlier.

Sharply rising tuition explains much of the increase — the American Medical Student Association says public medical school debt has grown by more than 300 percent in the last 20 years

  • If you’re consolidating federal loans, the sooner you lock in the better because rates today are low… For details, go to loanconsolidation.ed.gov. Remember to only consolidate variable-rate loans so you can keep your lowest fixed-rate loans from being wrapped into a consolidated higher rate
  • Loan forgiveness programs offered by the federal government or individual states in exchange for public service can wipe out a lot of debt worries, but only if the terms (such as living in a rural area) are right for you… It makes little sense to spend a fortune on a medical education just to end up in a practice situation you dislike for years, he says.  FinAid offers details on forgiveness programs.
  • If you can’t afford the payments under an income-based repayment plan, you’ll likely need to consider medical residency forbearance, which postpones payment of principal and interest during residency years. But be careful: Unlike traditional deferment, loans in forbearance keep accruing interest while you delay payment

Repaying Medical School Debt [Physicians Practice]

Correlate: How to Defer Federal Student Loans

Correlate: How to Live with Debt

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Medical Student Debt Data

Posted by medliorator on January 6, 2009

  • $139,517 – According to the Association of American Medical Colleges, the average educational debt of indebted graduates of the class of 2007. The average debt of graduating medical students increased in 2007 by 6.9 percent over the previous year.
  • 75.5 percent of graduates have debt of at least $100,000
  • 87.6 percent of graduating medical students carry outstanding loans

Student Loan Debt [Student Doctor Network]

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Funding Medical School – Loan Crisis

Posted by medliorator on March 12, 2008

Paying for medical school could get tougher.

The credit crunch is hitting the college classroom.

 

Borrowers will have a more limited choice of lenders and find discounts for on-time payments or direct debit scarce. On top of that, they’ll see higher rates and fees.

 

The credit crisis, which started last year with mortgages and has bled into many other areas, is now affecting student loans. Many lenders, particularly smaller companies not affiliated with banks, are finding their main source of funding for private student loans cut off as investors balk at buying securities backed by these loans. This will force some to boost interest rates on private loans by up to 1 percentage point, raise minimum credit scores to 650 and require parents to co-sign the loans, experts said.

 

While the interest rates on federal loans are set annually by the government, many lenders will stop waiving origination fees and cut out the discounts offered borrowers after they start repaying the loan, boosting the overall cost.

Loan crisis goes to college [CNN Money]

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