The Doctor’s Life Podcast 022- Easy Student Loan Options

Easy student loan options. It’s what you dream about…especially when you’re looking at that mountain of debt after med school.

Justin Nabity is in The Doctor’s Life Podcast studios with some student loan options that will make it easier on you regardless of how long you’ve had the debt. All episodes of The Doctor’s Life Podcast are available here, iTunes, Android, and on SoundCloud. Make sure to subscribe and you will be the first to get new episodes of The Doctor’s Life Podcast.

Time to pay back student loans. What options are available?

There are three categories of plans: Traditional, Expense Based and Income Oriented

Traditional Repayment

Standard allows up to 10 years to repay for all borrowers and consolidated loans may get up to 30 years

Graduated offers a lower up front commitment and then it increases over time.

Extended provides up to 25 years to pay back and the minimum loan balance required is $30,000

Expense Based Repayment

Pay as You Earn is available to new borrowers who have taken loans out after 2007. The payment is based on 10% of discretionary income. The payment amount cannot be more than what it would be for Standard. At the end of 20 years the remaining balance is forgiven

Revised Pay as You Earn is for any Direct loan borrower. Payment amount is 10% of discretionary and they can be more than the Standard. After making payments for 20-25 years the balance is also forgiven

Income Oriented Repayment

Income Based is 10-15% of discretionary income, Stafford loans can be included and are forgiven after 20-25 years

Income Contingent would be 20% of discretionary or what you’d have to pay over 12 years. This one also provides forgiveness at 25 years

Income Sensitive is a program that is based on your income. The more you make the more you have to pay. There is no forgiveness allowed.

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