Loan Repayment Choices
Loan Repayment Options
With medical school behind you and your residency completed, you're certainly due for congratulations. But that's not all that's due—loan payback time is just around the corner. Fortunately, though, you have a good deal of flexibility in structuring your repayment schedule by choosing from among five basic options.
This repayment plan for repaying federal student loans may be especially appealing to students with high debt and low earnings as payments are kept affordable through "caps" based on income and family size.
Income-Driven Repayment Plans and Public Service Loan Forgiveness
Managing Federal student loan payments while in residency can be difficult. Income-Based Repayment (IBR) may offer manageable payments and may count toward Public Service Loan Forgiveness (PSLF).
Public Service Loan Forgiveness
If you aspire to work in the public service sector, you'll find that the reward is not only psychological—but possibly monetary, as well. That's because the College Cost Reduction and Access Act of 2007 established a program that forgives some federal student loans under certain circumstances.
Commissioned Corps, U.S. Civil Service, and Military Scholarship and Loan Repayment Options
Interested in a service career? Or maybe you want to pay off your medical school debt by working in public service? Good news—there are numerous scholarship and loan repayment possibilities in the Commissioned Corps, and in the U.S. Civil Service. With each program, there are many options to consider, each with different financial benefits.
Postponing Loan Repayment During Residency
There's a benefit to federal student loans of which you may be unaware, and that's the ability to temporarily postpone your loan payments through grace, deferment, or forbearance. When you're in the early phase of your medical career—and money is tight—a temporary reprieve often proves to be the real "budget-saver" you need.
Pay As Your Earn Repayment
For those who qualify, this repayment plan may offer one of the lowest monthly payments. This plan bases your monthly payment on your household income and family size.
Loan Repayment/Forgiveness Programs
Extensive list of loan repayment and/or forgiveness programs.