Navigating your medical career

AS YOU APPROACH THE END OF YOUR RESIDENCY, you may still have that one unanswered, looming question: “How am I going to repay my student loans?” 

If so, you’re not alone. 

According to the Education Data Initiative, 73% of medical student graduates have educational debt. To add fuel to the fire, medical school graduates owe $264,519 on average. That’s a whopping 2.25 times as much as the average postgraduate college student. 

And if we are being completely honest, navigating between your student loans, repayment plans, compound interest and loan service agencies is hard—all while trying to find a job that brings you joy and pays the bills. 

That’s why we’ve compiled the top 3 things to watch for while navigating your student loan repayment plan and why using a loan servicing company could be just the answer you’re looking for. 

1. Watch for loan repayment program changes 

In the past five years, there were more than two dozen major student loan repayment program changes. A handful of these changes revolved around: 

-Forbearance 

-Extension of income-driven repayment (IDR) recertification 

-Reimbursement of payments 

-IDR account adjustment 

-Public Service Loan Forgiveness (PSLF) employment verification 

It takes a lot of time to stay current with these changes and how they impact your unique situation. 

This is a great time to consider using a loan counseling service. It’s their job to monitor these changes and know how to expertly communicate with your loan providers. 

Look for a company that will schedule an annual check-in appointment with you to see if there’s been any changes to your loan programs and to discuss your IDR recertification. After that, you should be on the “set it and forget it” plan for the rest of the year! 

2. Watch for loan servicing company errors 

It is not uncommon for your loan servicing company to make an error that could affect your repayment plan. In fact, an investigative report in 2020 documented 5 million errors by one loan servicing company alone! 

If you ever notice something odd or different with your account, even if it’s something small, it’s always good practice to call your loan provider and ask questions. 

Just a heads up: The wait time to your loan company’s call center can be very long (up to an hour or more). 

Complications can also arise when the loan company’s call center representatives are unfamiliar with your specific scenario. It’s common for physicians to make multiple calls about the same issue and receive conflicting information. 

We highly recommend using a student loan expert for physicians to watch out for and catch any errors that could affect your loan. 

A professional student loan consultant is well versed in the regulations, plans and common errors. They can quickly identify the problem and propose a solution. Look for a company that offers to make a joint call to your loan servicer to correct the error. 

3. Watch out for the wrong plan 

We know you want to pay off your student loans, but determining the best repayment strategy, selecting a program and managing the repayment plan can be tough and time consuming. 

Are you someone who wants to pay off their loans as soon as possible? Find a student loan specialist who will walk you through the steps to becoming debt free in two to three years. This plan does take sacrifice, living like a resident and making large loan payments—but you’ll be debt free in just a couple years. 

Wanting to work in concierge medicine or private practice? You can reduce your loan payments by refinancing your loan for a lower interest rate. 

Or are you a physician looking to pay as little as possible? Loan forgiveness could be the path for you. Programs like Public Service Loan Forgiveness, National Health Service Corps Loan Forgiveness, and the Indian Health Service Loan Forgiveness are available. 

There’s a wide range of loan payment options, and it ’s important to pick the one that works best for you. Start your career out strong by working with a professional loan consultant who can assist with research, plan design and management. 

Why work with a student loan expert? 

These experts specialize in helping physicians and other health care practitioners take control of their student debt and live life on their terms. They provide: 

-Student loan counseling and helping physicians get PSLF and other loan forgiveness programs 

-Comparing offers from different hospitals to help you make informed decisions 

-Showing you both the intrinsic and extrinsic benefits of working for either a for-profit or nonprofit health care organization. 

Using a student loan consultant to help with these and other issues will save you time and provide peace of mind that someone has your back. •