How A Student Loan Financial Advisor Can Help Your Finances

If you’re an undergraduate medical student, you’re likely considering federal student loans or are already starting to weigh on you as a graduate doctor of medicine.

Student loan financial advisors may not always be on the student loan borrowers’ radar.

In reality, they can take your financial stability to the next level, from selecting the best student loan to providing the best strategy to pay for that loan and creating a stable retirement plan.

Key Takeaways

A student loan financial advisor can help you select the best plan and loan servicer according to your individual circumstances.
Financial advisors provide a variety of plans and strategies to help you gain the most benefits while keeping as much of your salary as possible.
If there’s a loan forgiveness program that you qualify for, a student loan financial advisor will find it.

Table of Contents

What Is a Student Loan Financial Advisor?

A student loan financial advisor is a professional who helps people manage their student loans.

Such advisors have a thorough understanding of different types of student loans, repayment options, and strategies to reduce debt.

Student loan financial advisors can help graduates, as well as parents who consigned loans on behalf of their children.

Typically, financial advisors charge a fee of 1% of the assets under management (AUM).

However, in the context of student loans, they may charge a flat fee or an hourly rate.

Related: Pay Off Student Loans or Invest

How Can a Student Loan Financial Advisor Help You?

No matter if you’re a graduate or undergraduate, a student loan financial advisor can help you get the best possible strategy to pay off your loan according to your current situation.

Here are a few examples:

1. Loan Counseling and Education

Advisors can explain the different types of student loans, which is useful even before you acquire the loan.

You can opt between various kinds of student loans, such as federal and private student loans, subsidized and unsubsidized loans, and PLUS loans.

Student loan advisors can clarify the terms and conditions of each loan, including interest rates, repayment methods, and grace periods, helping you select the most appropriate loan for your situation.

2. Repayment Planning

Financial advisors can help you understand different repayment plans, such as standard, graduated, income-driven repayment plans (like SAVE), and extended repayment plans.

They also explain the loan consolidation and refinancing options, as well as the consequences of student loan default (when multiple repayments are not made over a long period).

3. Debt Management Strategies

Student loan advisors may also help you create a budget plan that prioritizes loan repayment while still maintaining a balanced lifestyle.

They do so by offering strategies that reduce interest payments over the life of the loan, such as making extra student loan payments or paying more than the minimum amount due.

4. Loan Forgiveness Programs

You may qualify for various loan forgiveness programs without knowing it, but financial advisors can help you land those chances whenever you are eligible.

For example, advisors can help you understand and apply for Public Service Loan Forgiveness (PSLF).

This program forgives the remaining balances on direct loans after 120 qualifying monthly payments while working full-time for a qualifying employer.

Another program you can qualify for is the National Health Service Corps (NHSC) Loan Repayment.

Advisors can assist you in applying for NHSC programs, which offer loan repayment assistance to clinicians who work in underserved areas.

5. Dealing with Financial Hardships

Even with everything planned, financial dips and hardships are bound to happen.

Financial advisors explain how to temporarily postpone or reduce loan payments during financial hardships.

They also provide strategies to get loans back in good standing, such as loan rehabilitation or consolidation.

6. Tax Management

Financial advisors help you understand how different loan repayment plans and forgiveness programs can impact your taxes.

They also inform you about potential tax deductions and credits related to your student loans, such as the student loan interest deduction.

Finally, they also help you file and plan your taxes correctly to avoid any accidental issues with the IRS.

Secure Your Finances With Physician’s Thrive

As a medical student/doctor, securing a student loan financial advisor can surely put you up to speed, but what can really help you thrive is working with a financial advisor who specializes in doctors’ financial plans.

That’s how Physician’s Thrive stands out among others.

To us, help with student loans and financial stability is only one piece of the puzzle.

If you decide to collaborate with us, we can help you: