Line of Credit Options NEW INFO

[synch]

I gave them a call and I wasn't overly impressed. They do not have specialists that handle medical students specifically and there aren't any perks. Its just going to be your basic $150,000 limit @ 2.25%, I believe there was an annual limit, they don't offer any special perks on credit cards, etc.

 

When I emailed the rep for Queen's, I was told that the overall limit is $200 000 at prime. The limit on first year is $60 000, with the balance distributed evenly over the remaining years. They offer life and critical injury/illness insurance, and a credit card with a limit of $5000 (lower than some of the other banks).

[Ollie]

They looked good to me for the same reasons. One concern I have is that it seems that, at least on first glance, the debit card associated with the account is outside the Interac network and so won't work at a lot of ATMs. Can anyone confirm or deny this? If I am correct, does anyone who currently uses MD Financial have a strategy to get around this somewhat annoying problem?

 

National Bank is part of the Exchange network, which includes all credit unions as well as HSBC, so you can use any of those ATMs for withdrawals and deposits with no fees. I actually find that there are more of them around than any one specific bank. And it is also part of Interac so it works at all ATMs, you just have to pay the fee if it's not an Exchange, just like you would if it wasn't your bank.

[meds2014]

Are MD Financial and National Bank reputable banks? I've never heard of either of them. Why are they viewed so highly for LOCs?

[maodiddymao]

Are MD Financial and National Bank reputable banks? I've never heard of either of them. Why are they viewed so highly for LOCs?

 

MD financial is a company (Maybe that's not the right word for them) set up by the CMA to specifically handle the finances of physicians and their direct families as well as med students. They are financial advice catered specifically towards people in the medical profession, so they're ridiculously knowledgeable. I'm with them right now, and I wouldn't have it any other way. The advisor that I meet with regularly is an amazing financial planner, and knows all about the ins and outs of the cost of medical school.

[nemesis]

MD financial is a company (Maybe that's not the right word for them) set up by the OMA to specifically handle the finances of physicians and their direct families as well as med students. They are financial advice catered specifically towards people in the medical profession, so they're ridiculously knowledgeable. I'm with them right now, and I wouldn't have it any other way. The advisor that I meet with regularly is an amazing financial planner, and knows all about the ins and outs of the cost of medical school.

 

Except switch 'OMA' with CMA!

[maodiddymao]

Except switch 'OMA' with CMA!

 

Ahahah, fixed. That's so embarrassing, I'm not even from ontario.

[bluekazoo]

National Bank is part of the Exchange network, which includes all credit unions as well as HSBC, so you can use any of those ATMs for withdrawals and deposits with no fees. I actually find that there are more of them around than any one specific bank. And it is also part of Interac so it works at all ATMs, you just have to pay the fee if it's not an Exchange, just like you would if it wasn't your bank.

 

Thanks for the info, that doesn't sound as bad as I had envisioned. Also, good point luckythirteen--thinking more about it I don't even know how much I would use the debit function on a day-to-day basis for security reasons.

[Guest viscous]

MD financial is a company (Maybe that's not the right word for them) set up by the CMA to specifically handle the finances of physicians and their direct families as well as med students. They are financial advice catered specifically towards people in the medical profession, so they're ridiculously knowledgeable. I'm with them right now, and I wouldn't have it any other way. The advisor that I meet with regularly is an amazing financial planner, and knows all about the ins and outs of the cost of medical school.

Since MD financial caters to a specific niche of people, doe they have hidden costs for running their services? In addition, the LOC ptovided by MD financial, does it have the same perks which one would get by going to national bank directly without using an intermediary?

[BigM]

Since MD financial caters to a specific niche of people, doe they have hidden costs for running their services? In addition, the LOC ptovided by MD financial, does it have the same perks which one would get by going to national bank directly without using an intermediary?

 

I doubt there are hidden fees as the staff are paid salary by the CMA. This means that the costs will be split by all individuals that pay for a CMA membership.

 

I checked out the National Bank website and it doesn't look like there is a Medical Student LoC seperate from the one arranged through the CMA.

[maodiddymao]

Since MD financial caters to a specific niche of people, doe they have hidden costs for running their services? In addition, the LOC ptovided by MD financial, does it have the same perks which one would get by going to national bank directly without using an intermediary?

 

As far as I can tell Scotia has the best perks from what my colleagues tell me. I don't really pay attention to that stuff. All I know is I don't pay them for anything and their service rocks

[rmorelan]

As far as I can tell Scotia has the best perks from what my colleagues tell me. I don't really pay attention to that stuff. All I know is I don't pay them for anything and their service rocks

 

heheh kind of nice when their rep comes to the school every single tues and thurs and just sit in the cafe for two hours just in case someone has any questions etc. Now that is service

[dr_horrible]

Haha, yeah, that sounded pretty cool! And free business cards too! I met him last week to talk about my LOC, and was really impressed.

 

heheh kind of nice when their rep comes to the school every single tues and thurs and just sit in the cafe for two hours just in case someone has any questions etc. Now that is service

[rmorelan]

Haha, yeah, that sounded pretty cool! And free business cards too! I met him last week to talk about my LOC, and was really impressed.

 

yeah, pretty impressive You will find out all the other things that bank does for our school when you get here next year.

 

(not to over sell a bank over another one, it's just I have had good experience with that rep in particular)

[chuck62]

careful if you are choosing to go with RBC's med LOC.

I went in to speak with them, and the interest is at prime during your schooling/residency & the 12 month grace period after residency, at that point it becomes prime + something.... like prime + 2%.

[HBP]

Are any LOC's prime during repayment?

 

I thought all would move you to a higher rate during the repayment amortization.

[rmorelan]

Are any LOC's prime during repayment?

 

I thought all would move you to a higher rate during the repayment amortization.

 

pretty much or at least that is what I understand it to be.

 

I am kind of hoping not to have any loans by the time I am done resisdency + one year anyaway. I guess I will be able tos hop around at that point anyway - if there is anyone with a better loan offer I can just get it then.

[chuck62]

when i met with a woman at an alberta branch of Scotiabank, she told me it will stay prime through out.

[amska]

careful if you are choosing to go with RBC's med LOC.

I went in to speak with them, and the interest is at prime during your schooling/residency & the 12 month grace period after residency, at that point it becomes prime + something.... like prime + 2%.

 

Just wanted to clarify that this is absolutely not true for the medical student LOC. I just signed on with RBC last week, and my loan will always stay at prime + 0% until the loan is completely paid off, no matter how many years that takes. This is standard at banks EXCEPT CIBC, they convert it to a personal loan (prime + whatever %) after the 12 month grace period.

[nemesis]

...I have it in writing that my loan will always stay at prime + 0% until the loan is completely paid off, no matter how many years that takes...

 

The RBC Website mentions that the interest rate is prime + 1%...

 

I'm hoping you're right! (or am I missing something?)

 

Also, isn't it strange that 'medicine' isn't listed under the Professional Degree designation at RBC:

 

Professional Degrees.

The Royal Credit Line for Students – Professional Designation is available for students pursuing select degrees that include: optometry, veterinary medicine, pharmacy, podiatry, nursing, chiropractic, law, engineering, occupational therapy, physiotherapy, MBA/EMBA and accountancy.

[HBP]

The RBC Website mentions that the interest rate is prime + 1%...

 

I'm hoping you're right! (or am I missing something?)

 

Also, isn't it strange that 'medicine' isn't listed under the Professional Degree designation at RBC:

 

Professional Degrees.

The Royal Credit Line for Students – Professional Designation is available for students pursuing select degrees that include: optometry, veterinary medicine, pharmacy, podiatry, nursing, chiropractic, law, engineering, occupational therapy, physiotherapy, MBA/EMBA and accountancy.

 

Medicine is different. Medicine's rate is prime. Not advertised on websites.

 

Stays prime in repayment too.

[nemesis]

...Medicine's rate is prime. Not advertised on websites.

 

Stays prime in repayment too.

 

...you're right! (about the first part! )

 

That's awesome!

[runningdoc]

Bottom line, you need to have a conversation with any bank you are interested in before you can make a firm decision. They want your business. If you ask them about something, you should know what it is you are getting into in detail. If there is anything you are concerned about, make sure they give it to you in writing.

[chuck62]

Just wanted to clarify that this is absolutely not true for the medical student LOC. I just signed on with RBC last week, and I have it in writing that my loan will always stay at prime + 0% until the loan is completely paid off, no matter how many years that takes. This is standard at banks EXCEPT CIBC, they convert it to a personal loan (prime + whatever %) after the 12 month grace period.

 

Well I am happy to hear that I've been misled, but if that is the case, then I was told false information directly from the "professional medicine LOC "person at the rbc in my city. I even specifically said that I didn't like that aspect of the LOC and all she said was that " perhaps at the period of repayement that I could renegotiate". So that's good if that is what your person gave you, bui still think I am going to go with scotia.

[runningdoc]

Agreed. And be willing to walk out. I met with ~10 people last week, and walked out on quite a few because they weren't being respectful or had no idea what they were talking about. Also, don't be afraid to push the boundaries of what they tell you. Ask to increase the limit, remove caps, or go for more perks.

 

Exactly. Even if you don't actually want/need the extra limits, caps, or perks knowing that the banks are willing to do it for you shows that they actually want your business. If they are going to plug you in with an entirely set plan and are unwilling to make any concessions it pretty much means that they view you as just one of many and they most likely aren't going to be the kind of bank that goes to bat for you if you need something down the road.

[bluekazoo]

Could anyone who has already started visiting banks (or is already holding a LOC from a previous year) comment on the general process/approach they are using? Have you been setting up an appointment with someone? Going in person to a bank and asking to speak to a loan specialist? How sleazy are the people in general in terms of trying to pressure you etc.? I have to admit I'm slightly dreading the whole process as my various experiences with banks up to this point have been on the same level as dealing with a used car salesman.

 

Also, what perks have people been getting that are worthwhile?