Student Loan Advice: 7 Important Rules of Thumb

Where do you get your student loan advice? From blogs? Podcasts? Friends and neighbors?

It’s an important question because bad advice can cost you tens of thousands of dollars in unnecessary interest.

Refinancing privately when you could have qualified for PSLF could cost you hundreds of thousands of dollars in lost loan forgiveness.

Student Loan Advice: 7 Important Rules of Thumb

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The first piece of student loan advice I can give you is the simplest. Yet, it is also the most important: Your loans are not going to magically disappear. Despite this being self-evident, physicians frequently stick their heads in the sand when it comes to student loan management.

1. Make a Student Loan Plan

The most common question I get from my residents is whether they should refinance their loans or pursue public service loan forgiveness. The best rule of thumb that I’ve found to help sort through this problem is the Debt to Income Ratio (DIR).

2. Focus on Your Debt to Income Ratio

If you file your taxes as “Single” and have (non-private) student loan debt in training, then REPAYE will be the right program for you the vast majority of the time.

3. Single Resident = REPAYE 99% of the time

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