Stafford Loans during clinical years question

[p9142]

So I know that you can only take out 38.5 for staffords during a 9 month program, but what about during third and fourth years? I was looking at a http://www.northstar.org and I noticed this:

Loan Limits
Annual $18,500 - $38,500 (programs longer than 9 months may be eligible for up to $45,167)

So we may be eligible for more, but it doesn't say what the eligibility is. Some schools mention the 45,167 figure, but the vast majority do not. In your experience, is everyone eligible for this extra money in third and fourth years?

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[DrZeke]

So I know that you can only take out 38.5 for staffords during a 9 month program, but what about during third and fourth years? I was looking at a http://www.northstar.org and I noticed this:

Loan Limits
Annual $18,500 - $38,500 (programs longer than 9 months may be eligible for up to $45,167)

So we may be eligible for more, but it doesn't say what the eligibility is. Some schools mention the 45,167 figure, but the vast majority do not. In your experience, is everyone eligible for this extra money in third and fourth years?

I love that you are so intent on finding out how you will fund your medical education so early in the game. As always, I salute you, because you are going to help me find all these answers to questions I would just forget to ask or things that I wouldn't think of looking into until something went wrong.

You still leaning towards Miami?

 

[p9142]

I love that you are so intent on finding out how you will fund your medical education so early in the game. As always, I salute you, because you are going to help me find all these answers to questions I would just forget to ask or things that I wouldn't think of looking into until something went wrong.

You still leaning towards Miami?

Yeah, I'm still leaning heavily towards Miami, but I want to figure this crap out before I start.

I am still trying to figure out a way to monetize the value of happiness due to good weather.

 

[mshheaddoc]

Yes you can usually get more loans than the 9 mn program. You'd have to check with your individual schools budget to find out how much. Usually its a few thousand more ... I've seen a few schools that increase the living expenses mostly. Usually tuition and fees stay the same or go down a little the last two years.

 

[Twitch]

Stafford loans require atleast half time attendance during the semester. So for you to get stafford loan money for summer, you'd be taking that many hours. Typically people do repeat classes during summer which they had previously failed as regular classes (unlike college) aren't offered then during pre-clinical years. Now for clinical years, this stipulation may not apply for obvious reasons.

EDIT: Unless you feel you'll be miserable at that place, goto the least expensive school.

 

[mshheaddoc]

I'm not sure if the last post was meant for this thread as the OP wasn't asking about summer classes and was talking about clinical years (which aren't really considered summer from my experience you just got 2 disbursements a year - which I have heard can vary from year to year).

 

[GeauxMD]

So I know that you can only take out 38.5 for staffords during a 9 month program, but what about during third and fourth years? I was looking at a http://www.northstar.org and I noticed this:

Loan Limits
Annual $18,500 - $38,500 (programs longer than 9 months may be eligible for up to $45,167)

So we may be eligible for more, but it doesn't say what the eligibility is. Some schools mention the 45,167 figure, but the vast majority do not. In your experience, is everyone eligible for this extra money in third and fourth years?

I've asked a couple schools about this issue as well. So far I've gotten different answers from the financial aid office's at various schools:

Vandy: You get the full 45,167 if your efc is over this amount
Iowa: 45,167
SLU: 45,167
Miami: 38,500
UChicago: 45,167
LSUHSC-S: COA is only 33,000 so that is all you get

I have no idea why Miami only lets you take out 38,500. When I talked to the financial aid lady about it, she said that is how it is at every school
These are only schools that I am personally interested in, but it would be great if other students would add to the list so future students know.

 

[Droopy Snoopy]

I'm not sure if the last post was meant for this thread as the OP wasn't asking about summer classes and was talking about clinical years (which aren't really considered summer from my experience you just got 2 disbursements a year - which I have heard can vary from year to year).

I think it's important to understand things like this though, since they can take you unawares. Friend of mine failed the Step I, and it forced him to live off of one disbursement for twice as long. Had to sell his house, for a profit at least but still... dealing with that while trying to study for the Step (again)? Definitely have a plan to cover you through a year without financial aid, just in case an emergency occurs that forces you to be out of school for longer than 3 months.

 

[p9142]

I've asked a couple schools about this issue as well. So far I've gotten different answers from the financial aid office's at various schools:

Vandy: You get the full 45,167 if your efc is over this amount
Iowa: 45,167
SLU: 45,167
Miami: 38,500
UChicago: 45,167
LSUHSC-S: COA is only 33,000 so that is all you get

I have no idea why Miami only lets you take out 38,500. When I talked to the financial aid lady about it, she said that is how it is at every school
These are only schools that I am personally interested in, but it would be great if other students would add to the list so future students know.

Every time I post a question you come back with bad news about Miami. I am starting to think you really don't want us to go to Miami

Anyways how could one school have a different limit than the others. I understand about LSU because the cost of attendance is lower, but Miami has crazy high tuition and goes for 12 months. The Stafford loans are government loans, so I don't understand how Miami could keep you from getting the loans. Sounds like a Sallie Mae conspiracy to me.

Does anyone else go to a school which doesn't let you take the full $45k during clinical years?

 

[deleted109597]

At some schools, the financial aid office (that's a joke, aid) are more like loan nazis. Our school refuses to go over what they gave you for a budget, regardless of how ridiculous it is ($400 a month for rent, $200 a month to live on, 10 month aid for a school year that starts the last week of July and ends the first week of June). You just have to learn to budget. And get a roommate.
Although you are free to get other loans through other agencies, but they aren't staffords.

 

[p9142]

Does anyone know why different schools allow students to take out different amounts for Staffords?

Also, if you use a third part lender like T.H.E. do you get the full amount?

 

[mshheaddoc]

Its all based on the budget they come up with on tuition costs, living expenses, traveling expenses, etc. Every area is different so every school budget is different

 

[p9142]

Its all based on the budget they come up with on tuition costs, living expenses, traveling expenses, etc. Every area is different so every school budget is different

I am not talking about the budget, but rather the amount of Stafford loans a student may take out. Specifically I am looking at Miami. The cost of attendance is around $63k/year, but the school only lets you take out $38.5k/year in Staffords. Why would a school not let you take out the maximum amount of Stafford loans if the cost of attendance is over that limit?

 

[p9142]

bump

 

[deleted109597]

I am not talking about the budget, but rather the amount of Stafford loans a student may take out. Specifically I am looking at Miami. The cost of attendance is around $63k/year, but the school only lets you take out $38.5k/year in Staffords. Why would a school not let you take out the maximum amount of Stafford loans if the cost of attendance is over that limit?

Probably better to ask them.

 

[Droopy Snoopy]

There are federal limits to Stafford loans. Not sure what they are, but I think it's somewhere around $130,000 for total graduate education. Maybe the school is allowing you to cover the cost of tuition, while making sure you don't exhaust your Stafford loans too soon and are later stuck relying on high(er)-interest loans that have qualification criteria? In other words, if they let you take out as much as you want first year and you go buy a Ferrari or something. Come second year, you can't take out any more federal loans, can't get approved for a large private loan, and have to drop out. Just a theory, I really have no idea.

 

[p9142]

There are federal limits to Stafford loans. Not sure what they are, but I think it's somewhere around $130,000 for total graduate education. Maybe the school is allowing you to cover the cost of tuition, while making sure you don't exhaust your Stafford loans too soon and are later stuck relying on high(er)-interest loans that have qualification criteria? In other words, if they let you take out as much as you want first year and you go buy a Ferrari or something. Come second year, you can't take out any more federal loans, can't get approved for a large private loan, and have to drop out. Just a theory, I really have no idea.

Yes there is a limit, and it is $189k. You are not going to hit that limit even if you took the $45,167 each year (unless you had previous loans from undergrad/grad.) The financial aid office at Miami is very unhelpful, and won't even discuss the issue. I am just wondering how they can limit the amount of federal financial aid you get when other schools do not.

 

[p9142]

I still don't have an answer to why some schools let you take out more than others, but I did find out that the loan limits go up next year. Next year we can take out $40,500.

from http://www.finaid.org/loans/studentloan.phtml
Starting on July 1, 2007, Stafford Loans allow dependent undergraduates to borrow up to $3,500 their freshman year (up from $2,625), $4,500 their sophomore year (up from $3,500) and $5,500 for each remaining year (independent students and students whose parents have been turned down for a PLUS loan can borrow an additional unsubsidized $4,000 the first two years and $5,000 the remaining years). Graduate students can borrow $20,500 per year (up from $18,500), although only $8,500 of that is subsidized. There are also cumulative limits of $23,000 for an undergraduate education and a $65,500 combined limit for undergraduate and graduate. (For independent students and for students whose parents were denied a PLUS loan the cumulative limits are $46,000 and $138,500, respectively. Some medical school students may be able to borrow up to $40,500 a year (up from $38,500) and $189,125 total.)