Refinancing as a 4th year medical student or resident

[Borybory]

Hello!

I am new on the forum, and I apologize if this has been posted already. I couldn't find it on a quick search.

I am currently a 4th year medical student hoping to match into radiology. My goal is to aggressively pay down my debt as fast as possible.

By graduation I will have taken out a total of $141,363 in private loans from my medical school.

$17,000 of my loan is at 5% fixed interest.

$124,363 at 6.5% variable interest.

I know you can refinance at the end of 4th year medical school. I was wondering when the best time to refinance is? During the start of residency or after residency when you have an attending salary?

Thank you for your help!!

[Craigy]

Best time to refinance is as soon as you've determined you won't be pursuing any of the loan forgiveness programs.

You're going to have to show enough income in order to be able to refinance.  If your spouse has some income, that might help.  There are some lenders refinancing residents on just a resident stipend, but it's more difficult and the rates aren't as good if your debt to income is less than ideal.

[Borybory]

Thank you so much for your advice!

I have matched into a radiology program, and I am now looking around to refinance my loans.

I know Dr. Dahle stated that variable interest rates are good if you can aggressively pay down your loan. If you are a 4th year medical student that just matched, would it be better to refinance your loans with a variable or fixed interest rate?

[Theotherguy]

Like you I am new here as well. I am in same boat as you except I have higher debt and its private loan. I learned about WCI just couple of weeks back and going through Podcast etc. right now.

From what I have learned with private loans, its better to refinance asap we are out of Med school. Initially, we should refinace with variable rate, because I learned with many refinancing lender the interest doesnt get added to principle during residency. Plus, we can again refinance once out of residency, at that time we should carefully decide variable vs fixed.

I am still a newby, so any input from anyone will be better. Please, correct me if I am wrong