August 30, 2006
Loan Consolidation for Doctors (and Other Students Too)
Written by: Juanchito
Today I went to lunch with one of the doctors I work with. In our discussion I made a passing phrase about him making “the big bucks.” He then went on to tell me that I didn’t have all the massive student loans that he’d accrued getting his title of Doctor. He went on to tell me that he had taken students loans of $30,000 a year to get through med school. Multiply that by 8 years of school and that equals a lot of debt.
I told him the following:
Student loan consolidation Student Loan Consolidation STUDENT LOAN CONSOLIDATION!!
It’s really quite simple. Just by consolidating his student loans he’d be able to do all of the following:
- Cut his monthly payment up to 50%
- Improve his credit score
- Only have one payment a month
The most important of those is having one payment a month. He said that because he has so many loans he often has missed payments on some of his loans. I can’t imagine how hard it is to keep track of which one is due when. Missing these payments means he has to pay a late fee and his credit score also takes a hit.
I finally sent him the following link: student loan consolidation with StudentLoanConsolidator.com. Now he has no excuse for not consolidating his student loans.
Your doctor friend left one thing out. The government subsidizes his loans. Yes, the loans have half the APR that non-doctors would receive. My loans were at 8%, but my wife’s are at 2.5%.
Oh, one other thing, I only got 10yrs to pay my 8% loan off. My wife gets 25. Yes, 25!!!! Amortize 300,000 @ 2.5% over thirty years and it’s less than $1,200 or about one overtime shift per month.