How to Deal with Medical School Debt

Resident physicians are well aware of the statistics regarding medical school debt. Repaying student loans is frustrating and can become overwhelming. Dozens of unfamiliar terms litter paperwork and mailers. Maintaining awareness about loans is important, but difficult for those with full schedules. Those already bogged down with the strain of exorbitant loans have several options. There are also preemptive measures that can prevent confusion.

When it comes to simplifying loan repayment and preventing hassles, the overarching theme is organization. Medical school financial aid exit interview information should stay with you and be accessible. Keep up with mail, which may have information regarding deadlines. A long-term calendar will allow you to track deadlines instead of relying on reminders. The Association of American Medical Colleges (AAMC) also offers other strategies for managing medical school loans.

These tips can help thwart problems, but offer little solace to those already mired in debt. Medical Economics magazine’s article about eliminating medical school debt covers options such as military or public service career opportunities, consolidation, and forbearance. Deferment and forbearance can delay loan repayment until you have greater income, but it is wise to at least pay interest that may accrue during these periods so that you avoid capitalization. Additionally, if you have multiple loans, be sure to keep track of various periods of grace, forbearance, and deferment, since they can all be loan specific.

Besides easing a debtor’s burden by reducing the overall cost of repayment, consolidating multiple loans also makes repayment more convenient; however, when and how to consolidate can be tricky. There are also differences between consolidating private and federal loans.

There is no easy way out of significant student loan debt, but you do have choices. Being disciplined, organized, and exploring consolidation or other options can prevent stress and get you out of the red.