line of credit

[aspiringdentist 2]

For those who have gotten the line of credit, how does the process work? What do we need to bring with us to the bank? And when are we able to get the line of credit?

[patrickstar 2]

Following. And to add on to OP: what bank offers the best perks?

[McMarauder 80]

Best to call the banks up first.  Let them know that you've gotten into dental school and would like to apply for a LOC, and they'll tell you what you need.  I remember just walking into TD back in 2011, and they scheduled an appointment with an advisor, and they told me what to bring with me the following time.   As working MD's and DDS/DMD's, my friends and I are all with RBC.

[TheMolarBear 12]

2 hours ago, aspiringdentist said:

For those who have gotten the line of credit, how does the process work? What do we need to bring with us to the bank? And when are we able to get the line of credit?

 

36 minutes ago, patrickstar said:

Following. And to add on to OP: what bank offers the best perks?

Just need to go to your bank, ask to speak with a professional student loan advisor. They'll ask you to show a piece of government I.D. and your proof of enrolment (email the school for a letter). 

CIBC and Scotia-bank are probably the top 2 right now. Basically, CIBC is the bank that always sets the bar for the loan amount and other banks update their terms shortly after. All the banks will offer you some different perks with their packages so just shop around and see what you like. Also, once you're in school and for whatever reason decide that another bank is offering better terms and what not, it's really easy to switch over to another bank that offers the same program. 

[McMarauder 80]

6 minutes ago, TheMolarBear said:

Also, once you're in school and for whatever reason decide that another bank is offering better terms and what not, it's really easy to switch over to another bank that offers the same program. 

to add to this, you can switch over once you start working as well.  Just keep track of what each bank is offering, and which one of their plans best suit your changing needs.

[aspiringdentist 2]

14 hours ago, TheMolarBear said:

 

Just need to go to your bank, ask to speak with a professional student loan advisor. They'll ask you to show a piece of government I.D. and your proof of enrolment (email the school for a letter). 

CIBC and Scotia-bank are probably the top 2 right now. Basically, CIBC is the bank that always sets the bar for the loan amount and other banks update their terms shortly after. All the banks will offer you some different perks with their packages so just shop around and see what you like. Also, once you're in school and for whatever reason decide that another bank is offering better terms and what not, it's really easy to switch over to another bank that offers the same program. 

at what point can we get proof of enrolment though from the school?

[TheMolarBear 12]

7 hours ago, aspiringdentist said:

at what point can we get proof of enrolment though from the school?

As soon as you get your acceptance. Just shoot an email to the admissions office and they'll send you a standard letter. 

[Censored 12]

On 4/11/2020 at 9:46 PM, TheMolarBear said:

 

Just need to go to your bank, ask to speak with a professional student loan advisor. They'll ask you to show a piece of government I.D. and your proof of enrolment (email the school for a letter). 

CIBC and Scotia-bank are probably the top 2 right now. Basically, CIBC is the bank that always sets the bar for the loan amount and other banks update their terms shortly after. All the banks will offer you some different perks with their packages so just shop around and see what you like. Also, once you're in school and for whatever reason decide that another bank is offering better terms and what not, it's really easy to switch over to another bank that offers the same program. 

I am not sure about CIBC. I read some awful stuff about their customer service. 

[DentKoolKid 6]

https://www.scotiabank.com/healthcare/ca/en/banking-solutions-for-medical-students.html

Scotiabank is giving out $500 when you open, or transfer to, a Scotia Professional® Student Plan (SPSP) Line of Credit through MD Financial before April 30.

Do banks do this often or does it sound like a good deal?

 

edit: nvm it's only for MD students

[TheMolarBear 12]

23 hours ago, DentKoolKid said:

https://www.scotiabank.com/healthcare/ca/en/banking-solutions-for-medical-students.html

Scotiabank is giving out $500 when you open, or transfer to, a Scotia Professional® Student Plan (SPSP) Line of Credit through MD Financial before April 30.

Do banks do this often or does it sound like a good deal?

 

edit: nvm it's only for MD students

A lot of the perks are the same for med and dent. Banks group you into a category of professional students. Just call them and ask. TD offered something similar. 

[cleanup 433]

On 4/20/2020 at 11:59 AM, DentKoolKid said:

https://www.scotiabank.com/healthcare/ca/en/banking-solutions-for-medical-students.html

Scotiabank is giving out $500 when you open, or transfer to, a Scotia Professional® Student Plan (SPSP) Line of Credit through MD Financial before April 30.

Do banks do this often or does it sound like a good deal?

 

edit: nvm it's only for MD students

Honestly you should be far more worried about the terms of the LOC than a measly $500 in credit. Go with the plan that works best for you, from an advisor you trust the most. Shop around. $500 is meaningless.

[JohnGrisham 1,700]

50 minutes ago, cleanup said:

Honestly you should be far more worried about the terms of the LOC than a measly $500 in credit. Go with the plan that works best for you, from an advisor you trust the most. Shop around. $500 is meaningless.

The terms are mostly the same, and you can switch out at any time - so actually in a lot of cases, the 500$ is the differentiator for most students hah.  Not to mention most advisors are hit or miss, and dont really offer much value add, especially for those who don't intent to do investing with a mutual fund sales rep at a big 5 bank.

[DentKoolKid 6]

2 hours ago, cleanup said:

Honestly you should be far more worried about the terms of the LOC than a measly $500 in credit. Go with the plan that works best for you, from an advisor you trust the most. Shop around. $500 is meaningless.

 

1 hour ago, JohnGrisham said:

The terms are mostly the same, and you can switch out at any time - so actually in a lot of cases, the 500$ is the differentiator for most students hah.  Not to mention most advisors are hit or miss, and dont really offer much value add, especially for those who don't intent to do investing with a mutual fund sales rep at a big 5 bank.

Thank you guys for the suggestions. May I ask which bank are you guys using if you are taking LOC?

[toothurty 33]

Lots of people I know are switching from Scotia to RBC. Last summer they started offering infinite grace period vs. 2 year grace period with scotia. All other terms the same as far as I know. 

[cleanup 433]

10 hours ago, toothurty said:

Lots of people I know are switching from Scotia to RBC. Last summer they started offering infinite grace period vs. 2 year grace period with scotia. All other terms the same as far as I know. 

Sounds like something worth $500! 

[Censored 12]

If ur being cheap, u can technically take the LOC from scotia, get the 500, switch to RBC when u graduate, pay back scotia, enjoy infinite grace period from RBC.

 

[TheGreatPiper 7]

8 minutes ago, Censored said:

If ur being cheap, u can technically take the LOC from scotia, get the 500, switch to RBC when u graduate, pay back scotia, enjoy infinite grace period from RBC.

 

I wouldn't be surprised if people do that haha

[SamR 13]

I went with RBC because the infinite grace period is awesome, and I think the advisor told me we keep the LOC for the rest of our life, so if you needed that money to invest in something down the line its always available.

[toothurty 33]

7 hours ago, SamR said:

I went with RBC because the infinite grace period is awesome, and I think the advisor told me we keep the LOC for the rest of our life, so if you needed that money to invest in something down the line its always available.

Advisor told me the same thing. LOC stays open as a professional loc which you can use for whatever you want. 

[HouseBunny 7]

Can someone explain the infinite grace period? Does that mean they won't make you pay back interest? im confused hahah

[ag17 7]

2 hours ago, HouseBunny said:

Can someone explain the infinite grace period? Does that mean they won't make you pay back interest? im confused hahah

Anytime you borrow money, overtime you pay back the principal (the amount you borrowed) plus interest. While you're in school, you only have to pay interest, and since many dental students don't have a source of income, you end up paying the interest from the LOC. Once you graduate, different banks have different guidelines on when you will start having to pay back the principal. At the time of writing, for most banks this period is 24 months after graduation. Note that you can start paying the principal before if you want and that you will still have to pay the interest during this period. RBC in particular has as you mentioned, an "infinite grace period", which means that you have the flexibility to start paying back the principal anytime you like, whether it'd be 10 months after graduation, or 10 years. Just remember that the more money you have borrowed, the more interest will accrue. So ideally you want to start paying back the principal as soon as you can.

[HouseBunny 7]

7 hours ago, ag17 said:

Anytime you borrow money, overtime you pay back the principal (the amount you borrowed) plus interest. While you're in school, you only have to pay interest, and since many dental students don't have a source of income, you end up paying the interest from the LOC. Once you graduate, different banks have different guidelines on when you will start having to pay back the principal. At the time of writing, for most banks this period is 24 months after graduation. Note that you can start paying the principal before if you want and that you will still have to pay the interest during this period. RBC in particular has as you mentioned, an "infinite grace period", which means that you have the flexibility to start paying back the principal anytime you like, whether it'd be 10 months after graduation, or 10 years. Just remember that the more money you have borrowed, the more interest will accrue. So ideally you want to start paying back the principal as soon as you can.

Thanks so much for that explanation!! Reallly helped

[ffheynowff 0]

Is RBC still offering Infinite Grace Period? I look through their website and it says "RBC gives you 2 years after you finish school before you have to start repaying your loan with full access to your credit line during the grace period."

[ellorie 609]

12 minutes ago, ffheynowff said:

Is RBC still offering Infinite Grace Period? I look through their website and it says "RBC gives you 2 years after you finish school before you have to start repaying your loan with full access to your credit line during the grace period."

I am finishing this week - was told by RBC that they have converted my LOC to a professional LOC and that it will never go into repayment.

[offmychestplease 178]

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