Angela Posted October 13, 2009 Report Share Posted October 13, 2009 Just want to be sure, but if accepted into an Ontario Medical School, side from OSAP, the Professional Student Lines of Credit offered by the banks do not require a co-signer do they? Just want to make sure.. Link to comment Share on other sites More sharing options...
rmorelan Posted October 13, 2009 Report Share Posted October 13, 2009 Just want to be sure, but if accepted into an Ontario Medical School, side from OSAP, the Professional Student Lines of Credit offered by the banks do not require a co-signer do they? Just want to make sure.. Nope, you are free from such constraints unless something unusual is going on - like your went bankrupt somehow in the past LOC in particular required nothing like that. Link to comment Share on other sites More sharing options...
Angela Posted October 13, 2009 Author Report Share Posted October 13, 2009 Nope, you are free from such constraints unless something unusual is going on - like your went bankrupt somehow in the past LOC in particular required nothing like that. THanks for your reply; by chance do you know if the interest rate adjusts once you have completed residency? ie if it is prime once in medical school, but does it increase during residency, or after residency? Link to comment Share on other sites More sharing options...
rmorelan Posted October 13, 2009 Report Share Posted October 13, 2009 THanks for your reply; by chance do you know if the interest rate adjusts once you have completed residency? ie if it is prime once in medical school, but does it increase during residency, or after residency? Depends on the bank, most place hold it fixed until after residency and then it increases. After that it will rise, and we will realize how spoiled we were OSAP doesn't require you to pay back the loan until you are in residency UNLESS you are doing that residency in Ontario in which case it is held over until after residency is done. Link to comment Share on other sites More sharing options...
Angela Posted October 13, 2009 Author Report Share Posted October 13, 2009 Depends on the bank, most place hold it fixed until after residency and then it increases. After that is will rise, and we will realize how spoiled we were OSAP doesn't require you to pay back the loan until you are in residency UNLESS you are doing that residency in Ontario in which case it is held over until after residency is done. Good to know...now if only it was disclosed which banks keep the interest rates fixed and which increase their rates after residency. Link to comment Share on other sites More sharing options...
jwp2000 Posted May 16, 2010 Report Share Posted May 16, 2010 I think it's done on an individual basis. So you negotiate with your bank. Some people keep a LOC and pay back as they can. Others negotiate a loan that they pay back a fixed amount each month, etc... But unfortunately, in all cases, your interest will rise post-residency! Link to comment Share on other sites More sharing options...
rmorelan Posted May 16, 2010 Report Share Posted May 16, 2010 Good to know...now if only it was disclosed which banks keep the interest rates fixed and which increase their rates after residency. It is disclosed - each bank will tell you in the contract you sign and when you ask. Some have standard policies and of course remember if it isn't in that contact it doesn't exist. I switch LOC companies actually because I learned there was differences and went to one that standardly locks in the interest rate at prime during resisdency - happened to be scotia, there are probably others you can force it with as well but if I were you I would regardless. There is little difference at this point but it can be thousands of dollars more with even one percentage above prime later on (100,000 taken out, one percentage is 1000 a year, how many years will it take you pay that off? Probably not a lot during residency (2-6 years......)). Don't fall for a trap Link to comment Share on other sites More sharing options...
chemgirl Posted May 16, 2010 Report Share Posted May 16, 2010 I'm starting residency this year. I was with MD Management which keeps the LOC at prime throughout residency (not sure if they have a grace year after that). I just switched to RBC and they keep the loan at prime throughout residency plus one grace year. The grace year is very helpful if you are a female thinking about having children. We switched to RBC because they are the only bank that will give us a mortgage at a decent rate with my $130K LOC debt load. I've switched LOC providers 3 times, so don't worry about being locked in to one. If you find a better deal, the banks are more than happy to take care of the paperwork for you. Link to comment Share on other sites More sharing options...
rmorelan Posted May 16, 2010 Report Share Posted May 16, 2010 I'm starting residency this year. I was with MD Management which keeps the LOC at prime throughout residency (not sure if they have a grace year after that). I just switched to RBC and they keep the loan at prime throughout residency plus one grace year. The grace year is very helpful if you are a female thinking about having children. We switched to RBC because they are the only bank that will give us a mortgage at a decent rate with my $130K LOC debt load. I've switched LOC providers 3 times, so don't worry about being locked in to one. If you find a better deal, the banks are more than happy to take care of the paperwork for you. Nice to know flexible it is to shift it is almost like we are valuable clients of theirs of something........ Link to comment Share on other sites More sharing options...
Recommended Posts
Archived
This topic is now archived and is closed to further replies.