Guest ssup Posted June 30, 2003 Report Share Posted June 30, 2003 Hey guys, I thought it would be interesting to start a thread where current med students could write out the details for the offers they are receiving from different banks... In my case, RBC is offering me prime+0% up to a total of $120,000 What all have you guys found so far? Ssup I've edited your title to get rid of the all-caps. Please don't post in all capital letters; it's tough to read. Thx. -Ian Link to comment Share on other sites More sharing options...
Guest Ian Wong Posted June 30, 2003 Report Share Posted June 30, 2003 Just as a note, you should also specify which city you are in. Your second year class can probably give you additional advice once you arrive, but there should be a few common things to look for. 1) Interest rate should be prime. Accept nothing else. 2) You should be getting anywhere from $100,000-$125,000 over the course of your four years of med school. 3) Look for a plan where you don't need to start repaying principle for as long as possible (you may be able to delay payments on the principle until after you complete your residency). I'm also going to move your thread into the Med Students forum... Ian Link to comment Share on other sites More sharing options...
Guest mdgazou Posted July 1, 2003 Report Share Posted July 1, 2003 Also you should try to get a deal not including any student loans in the total of you credit line limit (for those of you who had a good amount of student loans even before entering med school you now what i'm saying) cheers Link to comment Share on other sites More sharing options...
Guest UWOMED2005 Posted July 2, 2003 Report Share Posted July 2, 2003 Yeah, that's the problem with Royal - they'll say you can get $125k, but in reality they'll often assess you as getting full OSAP and count ANY credit you have (including credit cards) against that $125k. Link to comment Share on other sites More sharing options...
Guest lcloh Posted July 2, 2003 Report Share Posted July 2, 2003 Although - and I think I pointed this out on the UWOMeds.com forums - I have a line of credit with Royal, they do NOT count credit cards towards my limit, and they assessed my OSAP dollar for dollar what I was assessed for. If what meds2005 says it true, then perhaps it is because I'm a longtime customer of RBC that I got special treatment, but as far as I know, the case with my line of credit is this: - credit cards are NOT deducted from my line of credit limit (all credit cards, not just my RB Visa) - OSAP was assessed to the exact amount that I received last year and deducted from my line of credit limit. I will point out that RBC is the only bank that deducts OSAP from the line of credit (as far as I can recall.) I certainly don't think they have the best line of credit out there for everyone, but it was the best for me seeing as I'm too lazy to switch my bank, they offered me the most money (even after OSAP deductions over four years) and I'd rather just stay with going to and dealing with one branch and one financial planner. It was mostly convenience plus an above-average product that got me to stick with RBC - your situation is likely different, so always assess on that! Link to comment Share on other sites More sharing options...
Guest UWOMED2005 Posted July 2, 2003 Report Share Posted July 2, 2003 Yeah, every situation is different. If you're ineligible for OSAP, I think RBC is definitely the way to go. Is it possible my credit cards counted against me because they weren't RBC cards? Link to comment Share on other sites More sharing options...
Guest lcloh Posted July 3, 2003 Report Share Posted July 3, 2003 Potentially, but I have two credit cards non-RBC (a Western alumni one and a Sears Visa) and I don't think they counted those against me either. Might be a case of the special treatment again though - I heard one of my other friends only got exempt on his RBC Classic II Visa but his massive MBNA Platinum card would have been counted against him... Moral of the story is, if the bank you're already with for your chequing and savings account is giving you a sweet deal, then... take it Link to comment Share on other sites More sharing options...
Guest faqir9 Posted July 4, 2003 Report Share Posted July 4, 2003 why do you think with no osap RBC is definitely the best? Link to comment Share on other sites More sharing options...
Guest UWOMED2005 Posted July 4, 2003 Report Share Posted July 4, 2003 RBC offers $125k but subtracts OSAP = less than $100k BMO and Scotiabank offer $100k in addition to OSAP. Make sense? Link to comment Share on other sites More sharing options...
Guest faqir9 Posted July 4, 2003 Report Share Posted July 4, 2003 so bloody confusing I think I'll put together a webpage when I finally do this (I assume there's no rush, wait til the reps arrive on campus right?). My question was directed primarily to Citi vs RBC. I guess it ultimately really doesn't matter because you can always just borrow from one bank (q: is it rbc or scotia that lets you get at it all right off the bat?) and then transfer to another the next year anyways, right? Is there an issue with prime (ie, folks say "prime" a lot but I assume that the rate is not really bank of canada prime (or is it?) but just institutional ... what I don't know is do the different banks have different primes? I've read before that scotia allows 125 but then from your post I gather that really means 100 + 25 in residency. Am I correct is assuming the RBC is 125 over 4 years? Anything for residency? Also, I know its important, but I've had a difficult time figuring out when repayment starts/can be deferred with the various banks??? Final question -- citi actually has a good credit (>1 year) requirement. Does this apply (or not apply) to the other banks? Sorry for the length. Link to comment Share on other sites More sharing options...
Guest Toonces Posted July 4, 2003 Report Share Posted July 4, 2003 I was just checking out the BMO website: they appear to have subdivided their professional student LOC into one for medical students, and others (or maybe it was always so, I can't remember). Medical students get a pretty good deal: $100,000 to $125,000 ($25,000 per year plus $12,500 in residency for 2 years), interest is at prime, and you have several options when it comes to repayment options starting 2nd year of residency, one of which is an additional three years of interest only payments. Life insurance is an option; you may require a co-signer (possibly if your credit is bad??) I also remember seeing SOMEWHERE (osap or omsas website?) about a program in which you do your residency in an underserviced area and the tuition you've paid for med school to that point is given back to you. I'm not sure whether "underserviced" implies underserved for GPs or for your particular specialty.. Link to comment Share on other sites More sharing options...
Guest UWOMED2005 Posted July 4, 2003 Report Share Posted July 4, 2003 Some provinces now offer (partial) tuition reimbursements for working in an "underserviced area." Currently in Ontario, that can range from Moose Factory to Guelph or Waterloo. But the plan pisses some med students off more than it helps. Officially in Ontatio it's called something like the tution reimbursement program, yet hasn't covered full tuition at any of the schools since about 2000 - there's a maximum of $10k for 4 years, or $40k. Worse, you only get the money once you've started earning $$ so you're taxed at a marginal rate that approaches 50%. So that $40k quickly becomes $20k, at which point you're only getting about 1/3 what you spent on tuition, and only about 1/5 to 1/6 of what you owe total! So in the end it doesn't really convince many many people to go into underserviced areas, but is rather just a decent bonus if you choose that career direction. And btw, the citibank-MD management plan has been suspended at this time. All current LOC agreements will be honoured, but no new ones will be setup. Link to comment Share on other sites More sharing options...
Guest mdgazou Posted July 4, 2003 Report Share Posted July 4, 2003 Hi UWOMED2005, That's why I was asking about the others LOC the other because i was told that the program might not go further from the guy at MD. Last time I checked last year, Scotia bank was offering 125000 but including osap and credit cards? now they are offering 100000 with no osap? Also, the curent LOC at RBC only includes Osap and no credit cards(i have one with them and one with another bank) but the problem is that I had alot of osap before entering med school. When i signed 3 years ago RBC had by far the best deal but they haven't changed since while the other banks have, and tuition/cost of life keeps increasing. cheers Link to comment Share on other sites More sharing options...
Guest seedstrike Posted July 5, 2003 Report Share Posted July 5, 2003 I was looking forward to applying for the citi-md bank loan. It seems to be the best one so far for my needs. Anyone know why it was cancelled/suspended? Also, I have sent in my 1k deposit to queen's. When do we have to pay the rest of the fees? Would it be okay to apply for the LOC during orientation week when the banks come around visiting or do we have to pay some sum of $$ towards the tuition before the school starts? Thanks Edited to Add: Also, Queen's 0-week lists that MD would be coming in on sept 3rd to talk to the students. Is that still on or is that cancelled considering MD has suspended its loans for med students. Link to comment Share on other sites More sharing options...
Guest JSS02 Posted July 6, 2003 Report Share Posted July 6, 2003 MD Management gives free financial advice to medical students, so I think they'd still show up. They've been doing it since well before this line of credit deal became available. The LOC through CitiBank only became available 3 or 4 months ago, and was discontinued shortly after... I remember reading somewhere (maybe even these forums?) that MD Management was trying to get another LOC plan set up with another financial institution. Link to comment Share on other sites More sharing options...
Guest lcloh Posted July 7, 2003 Report Share Posted July 7, 2003 ----- Original Message ----- From: "Ruddock, Mary" To: lcloh Sent: Wednesday, June 25, 2003 8:57 AM Subject: RE: Citbank MEA > Hi (lcloh), > Unfortunately I don't have a lot of the details. I was told there were > several reasons for the decision, one being MD Management was looking for a > larger range of products to offer ALL physicians...It was sudden---at least > telling the consultants was. We have been getting calls from students who > received the package as well---all I can tell them at this point is as of > last week we have suspended offering the Citibank Medical Education Account. > I have been giving them tips on what to expect when going to the banks--ie/ > how to get prime on your line of credit..I apologize for any inconvenience > this has caused METTA. > If you have any questions please do not hesitate to call me..Thanks..MR > > Mary Ruddock, CFP > Senior Financial Consultant > MD Management Ltd. Link to comment Share on other sites More sharing options...
Guest BBB Posted July 11, 2003 Report Share Posted July 11, 2003 I wonder why medical students can get a similar or higher LOC than dental students. After all, the tuition is much lower in medicine than dentistry. :x Link to comment Share on other sites More sharing options...
Guest UWOMED2005 Posted July 11, 2003 Report Share Posted July 11, 2003 Thanks Lawrence. As far as I know, the cancellation of the MD Management plan had to do with miscommunication between the two on some issues - it was brought in earlier this year after being negotiated, but apparently citibank may have been changing the deal in some provinces. Those of us on the citibank LOC (ie me!) are good for the time being. And yes, MD Management is supposedly trying to negotiate something else with someone else. As for interest rates and prime. . . know your numbers when you go in. The bank of Canada Prime lending rate is available in the globe and mail. . . know THAT number when you discuss LOCs with the banks. You can also check their primes on their websites. And as far as Scotiabank and BMO vs. Royal Bank, the key is in how they treat OSAP. If you have the current average amount of student debt (quoted from the CFS as roughly $30k) and are planning on getting full OSAP (roughly $45k or more) throughout med school, Royal will kill you: you will only be eligible for $80k. But if you aren't going to have much OSAP (parents make decent income, you haven't been out of high school that long) than the Royal plan may be better. You've got to look at your own situation and figure it out yourself. Oh - and DON'T forget to check out the repayment schemes. Those are pretty key. Link to comment Share on other sites More sharing options...
Guest Carolyn Posted July 13, 2003 Report Share Posted July 13, 2003 I used Scotiabank for my LOC at Mac. I ended up with a LOC of $100,000 with no cosigner at Prime. The principal is not due until I'm finished Post-graduate training. The interest is due monthly (I believe this is standard). I was not penalized for having OSAP nor credit cards (I have too many of these right now... I need to figure out what I don't need -- but I definitely wasn't penalized for these). While the details of the plan are of great importance, I think that the banker that you will be dealing with in the city of your medical school is also extremely important. I found my banker, Susan, phenomenal. She has gone to bat for many of my classmates who had 'unique' situations and required limits above the standard amount and seemed to almost always be available to discuss any issues/provide help (even evenings if necessary)... which is pretty important when you don't have a lot of extra time available or are on a wierd schedule. This turned out to be a real problem for some of my friends whose bankers at other institutions were only available 3 days a week between 9 and 4... Even since moving to Toronto, Susan has been in regular touch with me about this and that... She attended our graduation and really seems interested in all of us. Having been in sales before, I realized quickly that she wasn't just interested in us because we helped finance her salary... The other thing that Susan arranged for me was a 2nd line of credit account (still under the original limit) which paid off all of my OSAP/CSL at the end of may. The interest from this will come off of my original LOC so that this amount will stay the same. With all of the paperwork done for me by scotiabank, I will receive a document at the end of December outlining the amount of interest I paid on this account so that I can claim it at tax time as interest paid on Student Loans. At first I was concerned that you could only claim it if you kept your student loans with OSAP etc... but this turned out not to be the case IF you keep the paperwork and keep it very simple (I.e. the bank account is separate and stays the same amount)... So... you asked for my two cents... That is it. I was very content with my experience with Scotia. I think a lot of it has to do with a great banker. I found the package very competitive. My first paycheque since I started medical school is coming in two days... time to start making a dent in that LOC! (or hopefully a little nibble at least) Link to comment Share on other sites More sharing options...
Guest mdgazou Posted July 13, 2003 Report Share Posted July 13, 2003 Hi Carolyn, Is it been like that since you joined with them because when I checked with them last year they were offering 125000$ in total but including credit cards and OSAP, kinda like the RBC LOC? Thanks Link to comment Share on other sites More sharing options...
Guest Carolyn Posted July 14, 2003 Report Share Posted July 14, 2003 As far as I know that was the plan... I didn't realize it had changed... However, I really urge you all to go talk to the bankers and explain your individual situation and concerns... You will get an idea of which banks can make special exceptions (and I know of a couple of people who got them through my banker) and which ones are really tied to the plan... All the best... ONE day to my first paycheque... Carolyn Link to comment Share on other sites More sharing options...
Guest Shahenshah Posted July 16, 2003 Report Share Posted July 16, 2003 well let me the first to wish you- CONGRATULATIONS on your first paycheque after starting medical school! . Link to comment Share on other sites More sharing options...
Guest Blackbird15 Posted July 24, 2003 Report Share Posted July 24, 2003 Hey, Does anyone know whether these LoC deals are valid for all the branches of a particular bank? I seem to be getting different information depending on who I talk to. when I called RBC, the rep told me that the maximum amount you could get was $75 000 during undergrad (more when you're doing your residency) at prime. However, when I met with an RBC rep in person today, he told me that the maximum amount during undergrad was $125,000 at prime + 0.25 (you can get more money when you're doing your residency). He also told me that you could start paying back on the principal "whenever you want". Does that sound right to anyone? thanks in advance for any insight. p.s. does anyone know where I can find the current prime rate? I went to the bank of canada website, but I wasn't really sure where to look... take care, Blackbird Link to comment Share on other sites More sharing options...
Guest fox Posted July 24, 2003 Report Share Posted July 24, 2003 Hey Blackbird I think it depends on who you talk to at RBC, obvisouly not everyone knows what they're talking about. My LOC through RBC is for $125K over four years, and the interest rate is at prime. From what others have said on this board, don't settle for anything above prime. Right now prime is at 4.75%. I don't know where you find that out, but it tells me what prime is when I log into my bank account online. Link to comment Share on other sites More sharing options...
Guest Ian Wong Posted July 24, 2003 Report Share Posted July 24, 2003 Blackbird, You gotta figure out which branch every from your class and preceding years has gone to. Med students get better deals that are not available to other clients; unfortunately, if the bank location you are at isn't experienced with handling med students, you could end up getting a worse deal. Here's a thread on the U of A forum addressing the same issues. pub125.ezboard.com/fpremed101frm15.showMessage?topicID=155.topic Does anyone know whether these LoC deals are valid for all the branches of a particular bank?So, to answer your question, yes and no. Theoretically, any branch of a particular bank should be able to get you a "med student"-level line of credit. Practically speaking, the branch that will actually be knowledgeable enough to do this for you will be the branch closest to the med school that has been doing this for all your classmates and senior med students. Ian Link to comment Share on other sites More sharing options...
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