LOC Cosigner

[campmonkey]

Have any of you had to get a cosigner to get your med school LOC.

 

I went to my bank this morning and my financial advisor (with TD) kept of telling me I would probably need a cosigner. I was under the impression that most med students got their LOC without a cosigner. Now, this woman did not seem to have any experience with the med school LOC and basically just printed out a bunch info which she gave me before sending me home to "talk to my parents". I do not have a stable income (what student does?) but do not owe anyone anything and never have.

 

What are your thoughts on this?

[slikz]

Talk to someone who has a clue about Professional LOCs.

[campmonkey]

Any suggestions? Apparently, I just don't know where to start from!

[Satsuma]

Any suggestions? Apparently, I just don't know where to start from!

 

You need to ask your bank who the medical student/resident rep is for your region.

 

TD historically has not had med student LOCs and as these are relatively new for that bank, I imagine many employees aren't familiar with them.

 

There is not a rep at every branch - so find out how to get in touch with the proper rep. If there is no rep wherever you happen to live, there will be a rep in the area where you are going to be attending med school for sure.

 

You do not need a cosigner - unless for some reason you have a terrible credit rating.

[hking03]

Any suggestions? Apparently, I just don't know where to start from!

 

go to TD's website and search for student line of credit.

 

Also, the school you have been accepted to will usually have the list of banks and what loans they offer. They will also, or should also have the contact information for the specific people at each bank that set these things up.

 

It seems like, in Canada at least, you don't need a cosigner for medical school lines of credit, but maybe you would if you had terrible credit...

 

Good luck and congratulations!

 

edit: satsuma beat me to it!!!

[CREA.tive]

What if someone (like me) has never had credit (only a debit card:p )? Would I need a cosigner?

[hking03]

What if someone (like me) has never had credit (only a debit card:p )? Would I need a cosigner?

 

The only way to know for sure is to ask the bank and possibly fill out an application once you have an acceptance letter.

 

Technically, you will have built up a relationship with that bank so that might help... Provided of course the bank you are currently with offers student locs.

 

There is an old saying with respect to credit... Bad credit is better Ryan no credit... Not sure if that still holds true.

 

I'm sure you'd be fine, but the bank will let you know either way.

[rmorelan]

What if someone (like me) has never had credit (only a debit card:p )? Would I need a cosigner?

 

maybe lost the train of the thread but for what? A canadian medical school LOC almost never requires a co-signer regardless of what state you are in

[Wellington Boots]

I'm glad this topic has come up because I was asked for a co-signer as well from both TD and RBC.

I was at RBC yesterday and called in the branch manager to the discussion because as I understood, and according to their website, there is no need for a co-signer. The manager them called in to the head office and it was confirmed that I needed someone to co-sign (RBC professional lines of credit are handled at the head office, not at the branch level). My financial background is good in terms of credit rating, employment, assets so I know that was not the reason they said I needed a co-signer.

The other kicker ? RBC does not release the funds until THIRD YEAR !! So what good is the LOC then ?

The manager's explanation for their policy on granting professional lines if credit was that there have been med/dent students in the past who have taken these LOCs, squandered the money and then declared bankruptcy leaving the banks to handle the delinquent loans.

Now, I don't know if the RBC peep I spoke to knew the details of med/dent professional LOCs (they weren't med/dent reps) but the manager should know about this, right ?

I hope to get some more clarity about this from the UofT Meds financial services and planning info session tonight.

[NLengr]

Try asking for the person who deals specifically with medical students/residents/physicians.

 

If that doesnt help or you are unhappy with how they treat you, try another bank. Remember you are gonna give them lots and lots of money in the end. Make them work for it.

[mavrik13]

If they tell you that you need a cosigner, you are talking with the wrong person. Your best bet is to get in contact with the branch closest to the med school you're attending. They will have someone dedicated to these professional student line of credits who will know what they are talking about.

[CREA.tive]

The only way to know for sure is to ask the bank and possibly fill out an application once you have an acceptance letter.

 

Technically, you will have built up a relationship with that bank so that might help... Provided of course the bank you are currently with offers student locs.

 

There is an old saying with respect to credit... Bad credit is better Ryan no credit... Not sure if that still holds true.

 

I'm sure you'd be fine, but the bank will let you know either way.

 

maybe lost the train of the thread but for what? A canadian medical school LOC almost never requires a co-signer regardless of what state you are in

 

 

Thank you:)

[Satsuma]

What if someone (like me) has never had credit (only a debit card:p )? Would I need a cosigner?

 

Have you ever had a utility bill in your name, phone ... something? all that builds your credit for you. But like someone mentioned already, likely won't matter in terms of the LOC.

[Addy K]

Has anyone found a particularly good LOC? Or are they all pretty much the same?

[PhoenixFlare500]

Has anyone found a particularly good LOC? Or are they all pretty much the same?

 

They should all be the same, and if one stands out the other banks will change theirs pretty fast to remain competitive. I picked my bank pretty much based on which med school representative I liked most since. Also based on location to where I live, but I screwed that up so I might change banks next year.

[rmorelan]

They should all be the same, and if one stands out the other banks will change theirs pretty fast to remain competitive. I picked my bank pretty much based on which med school representative I liked most since. Also based on location to where I live, but I screwed that up so I might change banks next year.

 

there are a couple that aren't good and then the rest are very similar. You wind up worrying more about the day to day stuff than what you might think worried you. RBC wouldn't automatically deduct the loc interest payment from the LOC, and instead I had to remember each money to move money out of the LOC so it could get put back on it later. That drove me nuts

[sixstars]

You shouldn't need a cosigner. If you don't need the money right away, I'd recommend waiting until orientation week. There should be reps from the various banks and from MD financial, and any one of them would be eager to sign you up.

[MD2015]

campmonkey, the person you saw at TD is an idiot. I found the best (in my opinion) were RBC and BN but BNS ought to be good, stay away from CIBC.

[campmonkey]

Thank you all. I met with a small business specialist at Scotiabank this morning and I had a great experience. I'll probably be signing up with them.

[MD/CMA]

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[bloh]

The specialist for scotia in calgary is in the downtown branch in the tower. I forget his name but he is African-(Canadian) lol. He's excellent and you'll have no problems with him.

[The Ace of Spades]

My first visit to TD resulted in the same experience. Cosigner required, maximum like $20,000, $5000 annually.

 

I still feel a bit like a d-bag for saying this, but I said (rudely, I might add - but she was rude to me first):

 

"Well, can you find someone who knows more than you do?"

 

The woman had to go and speak to her boss, who then went to speak to HIS boss, and they both came back to me with a detailed information sheet and apologies.

 

At TD, it was $200,000 at prime, no cosigner, and the only limit was $60,000 in the first year. I believe all you need to qualify is the acceptance letter and your ID. This is about the standard in the industry and you probably won't get much better from anywhere else, but you can and should look around. Scotiabank seems alright, but BMO was only $30,000 per year, with $150,000 total.

[HBP]

My first visit to TD resulted in the same experience. Cosigner required, maximum like $20,000, $5000 annually.

 

I still feel a bit like a d-bag for saying this, but I said (rudely, I might add - but she was rude to me first):

 

"Well, can you find someone who knows more than you do?"

 

The woman had to go and speak to her boss, who then went to speak to HIS boss, and they both came back to me with a detailed information sheet and apologies.

 

At TD, it was $200,000 at prime, no cosigner, and the only limit was $60,000 in the first year. I believe all you need to qualify is the acceptance letter and your ID. This is about the standard in the industry and you probably won't get much better from anywhere else, but you can and should look around. Scotiabank seems alright, but BMO was only $30,000 per year, with $150,000 total.

 

Not that I need more than $60,000 in first year... but I think RBC has no limits.

[DocT7]

My first visit to TD resulted in the same experience. Cosigner required, maximum like $20,000, $5000 annually.

 

I still feel a bit like a d-bag for saying this, but I said (rudely, I might add - but she was rude to me first):

 

"Well, can you find someone who knows more than you do?"

 

The woman had to go and speak to her boss, who then went to speak to HIS boss, and they both came back to me with a detailed information sheet and apologies.

 

At TD, it was $200,000 at prime, no cosigner, and the only limit was $60,000 in the first year. I believe all you need to qualify is the acceptance letter and your ID. This is about the standard in the industry and you probably won't get much better from anywhere else, but you can and should look around. Scotiabank seems alright, but BMO was only $30,000 per year, with $150,000 total.

 

Hey Guys:

 

Thinking about going with Scotiabank over here... any cons with them that anyone knows of? I do realize that there's a $50,000 limit per year. Has this been known to be a problem for anyone (either you, or someone you know, or...?) Any pros/cons welcome! Thanks!

[MD2015]

You will have no reason to exceed that limit unless you want to buy a home. That won't be a deal breaker.