Jump to content
Premed 101 Forums

Lines of Credit for Medical Students (Scotia is the best option)


Recommended Posts

I went to both RBC and Scotia in downtown T.O today.

While meeting with the RBC rep was a bit unpleasant, the Scotia rep impressed me with her knowledge and down-to-earth attitude. And the RBC rep implied that the interest rate *might* change from prime rate to something else over the course of repayment period whereas the Scotia rep guaranteed prime rate for the entire duration.

 

As well, the Scotia rep said that the limit for first year could go up to 70k but it means that the annual cap for the remaining three years would decrease accordingly to meet the maximum cap of 200k in total.

 

Oh well, I can't access LOC anyways until the end of August because of U of T's reluctance to help its students, but just wanted to share information for those of you who are interested.

Link to comment
Share on other sites

So I recently signed on to get an RBC line of credit to finance med school, and would like to get the RBC Avion card. I read on here that some were able to get the first year fee of $120 waived, but was told by the account manager that this was not possible (I would like this card for the out of country health insurance it provides). He told me that people who got this waived were likely not also getting the student banking package, which guarantees free banking.

 

Anyways, just wanted to see if that was the case for anyone else.

 

Also, he told that the funds will only be released once I forward them the enrolment letter (acceptance letter not sufficient). Apparently, this can take until July to be sent. Any way to get this sooner? I could use the funds...

 

I am a UBC student, enrolled in the Southern Medical Program.

 

TIA

 

I was told that I could get the $120ish card (Avion) for free in first year and then I would have to pay for it (could get it for $39 off regular price/year). The card that's a notch below the avion. however, would be available free of charge (points are transferable so you could use avion first year and then transfer to the next).

 

The Rep also said that I would also be given an Unlimited Free account (unlimited transactions + free chequing for no cost). You definitely could do both and I would recommend you talk to them again. I talked to the Ottawa Representatives over the phone. The Rep was really nice and was experienced working with medical students, so if you would like, try giving them a call and they you could do the application over the phone (this is what I did). You don't necessarily have to work with the local RBC, all the paperwork will be sent to the local branch once it is approved.

 

I went to both RBC and Scotia in downtown T.O today.

While meeting with the RBC rep was a bit unpleasant, the Scotia rep impressed me with her knowledge and down-to-earth attitude. And the RBC rep implied that the interest rate *might* change from prime rate to something else over the course of repayment period whereas the Scotia rep guaranteed prime rate for the entire duration.

 

As well, the Scotia rep said that the limit for first year could go up to 70k but it means that the annual cap for the remaining three years would decrease accordingly to meet the maximum cap of 200k in total.

 

Oh well, I can't access LOC anyways until the end of August because of U of T's reluctance to help its students, but just wanted to share information for those of you who are interested.

 

I believe RBC's interest is prime+3% during repayment. However, people were able to negotiate it down to prime (when they went to repayment). Your right, Scotia gurantees prime during repayment.

 

I am starting to think that if you don't need the full 250k over the next 4 years (and don't need more than 50k per year), Scotia might be the better option (free gold card+capitalizing interest+guaranteed prime interest during repayment).

Link to comment
Share on other sites

Also, he told that the funds will only be released once I forward them the enrolment letter (acceptance letter not sufficient). Apparently, this can take until July to be sent. Any way to get this sooner? I could use the funds...

 

TIA

 

It is amazing to me what different reps from RBC tell people.....they might need to implement a little bit of quality control.

 

I just set up my LOC and all I needed was the offer email and a copy of my bank draft for the deposit. I literally did ALL of this by email and never set foot in a branch.

 

Find a different rep @ RBC? You really want a "senior account manager" who knows what they are doing

Link to comment
Share on other sites

Line of Credit Problem:

For those of you who require access to the professional student LOC prior to September, I've found only two reps willing to sign with only the offer letter. One is a ScotiaBank rep in Hamilton and the other is an RBC rep in British Columbia. I think (though am not sure) that the RBC rep in Ottawa also signs with just the offer letter.

 

If you really want RBC, then those branches can set up the paperwork and fax it over to your home city for signing if you wish. I do think it's a hassle and that's one of the reasons I decided to go with Scotia in Hamilton. All I needed was the Offer Letter and a copy of the $1K depot cheque. I'm driving over to sign today and will have access to funds Monday onwards.

 

Every other branch of RBC and Scotia refused to sign without proof of enrollment (which UofT refuses to provide until August 26- I think the other medical schools are much more flexible). Beware of some banks saying they will "Set your LOC up." What they mean is that they'll get you to sign everything and have your LOC ready but funds may not be released until Sept. I made sure to get everything in writing before approving my application for processing.

 

I hope this info helps someone! I've basically spent 2 weeks on the phone on long distance calls!

 

The Scotia Rep in Hamilton:

 

Adam Bonnell

Small Business Advisor

University Plaza

101 Osler Dr, Unit #138

Dundas, Ontario, L9H4H4

Direct: (905)627-9211

Ext. 4300

Fax: (905)627-2977

E: Adam.bonnell@scotiabank.com

 

The RBC rep in BC:

 

Da Ke Zhao | Account Manager - UBC Wesbrook Village Branch, RBC Royal Bank | Royal Bank of Canada

Da Ke Zhao | Mutual Funds Representative | Royal Mutual Funds Inc.

5905 Berton Ave. Vancouver, BC, V6S 0B3 | T.604.221.5736 | F.604.221.5729 |

Link to comment
Share on other sites

wow - you have been doing your homework :)

 

Not sure how long this will last of course - it would seem logical that there would be a collective policy on this - something caused all of them to change how they did things relatively quickly(?) If I was someone interested in this I would ask relatively quickly in case it goes away

 

Line of Credit Problem:

For those of you who require access to the professional student LOC prior to September, I've found only two reps willing to sign with only the offer letter. One is a ScotiaBank rep in Hamilton and the other is an RBC rep in British Columbia. I think (though am not sure) that the RBC rep in Ottawa also signs with just the offer letter.

 

If you really want RBC, then those branches can set up the paperwork and fax it over to your home city for signing if you wish. I do think it's a hassle and that's one of the reasons I decided to go with Scotia in Hamilton. All I needed was the Offer Letter and a copy of the $1K depot cheque. I'm driving over to sign today and will have access to funds Monday onwards.

 

Every other branch of RBC and Scotia refused to sign without proof of enrollment (which UofT refuses to provide until August 26- I think the other medical schools are much more flexible). Beware of some banks saying they will "Set your LOC up." What they mean is that they'll get you to sign everything and have your LOC ready but funds may not be released until Sept. I made sure to get everything in writing before approving my application for processing.

 

I hope this info helps someone! I've basically spent 2 weeks on the phone on long distance calls!

 

The Scotia Rep in Hamilton:

 

Adam Bonnell

Small Business Advisor

University Plaza

101 Osler Dr, Unit #138

Dundas, Ontario, L9H4H4

Direct: (905)627-9211

Ext. 4300

Fax: (905)627-2977

E: Adam.bonnell@scotiabank.com

 

The RBC rep in BC:

 

Da Ke Zhao | Account Manager - UBC Wesbrook Village Branch, RBC Royal Bank | Royal Bank of Canada

Da Ke Zhao | Mutual Funds Representative | Royal Mutual Funds Inc.

5905 Berton Ave. Vancouver, BC, V6S 0B3 | T.604.221.5736 | F.604.221.5729 |

Link to comment
Share on other sites

wow - you have been doing your homework :)

 

Not sure how long this will last of course - it would seem logical that there would be a collective policy on this - something caused all of them to change how they did things relatively quickly(?) If I was someone interested in this I would ask relatively quickly in case it goes away

 

Haha, I hate depending on anyone else so I was determined to set everything up on my own. First and last rent payment alone is almost 3K for a nice place in downtown TO!

 

The changes began 2 years ago and have been strengthening ever since. One of reps said this all happened due to someone intercepting an offer letter in the mail and mis using it to get access to a 250K LOC they were not entitled to. The person then withdrew funds and vanished. I'm not sure how credible this story is (it seems rather insane) but it would make sense if this is why banks are suddenly stricter with medical students, who've always been viewed as reliable investments from the bank's perspective.

 

The different branches have different "Heads" who do the LOC Approval. That's the only reason my little trick is working right now! Once all the "Heads" (for want of a better term) become on board with the new policy, it will be impossible to get a medical student LOC Without proof of enrollment. Personally, I think this will happen in the near future and I'm intending to speak with the UT administration about this as it's a lot of unnecessary trouble for us. I hope at least next year's batch is spared this nonsense. I mean- who would get into medical school, get the LOC, and then DROP OUT?

 

That's the only reason I can see for UT being so adamant about not providing proof of enrollment- them wanting to not be responsible for such an event. None of the other schools are this difficult to work with- Wendy at Mac simply shoots off a confirmation e-mail to the bank and that's all they need. -.-"

Link to comment
Share on other sites

Haha, I hate depending on anyone else so I was determined to set everything up on my own. First and last rent payment alone is almost 3K for a nice place in downtown TO!

 

 

The key is a 'nice place'...I lived in a bachelor apartment with 10 foot ceilings on Madison avenue about 10 min walk from med sci for 3 years at $700/month (later raised to $740) inclusive...if you look hard, you can find some deals.

Link to comment
Share on other sites

Obviously, RBC don't have their act together - and it going to cost them market share and loss of credibility for the future.

 

ROFL.

 

Yeah, they're really hurt by losing out on potential future physician business.

 

$7.5B net income in 2012

$4.8B net income in 2011

$5.2B net income in 2010

3.5B net income in 2009

$4.5B net income in 2008

Link to comment
Share on other sites

I thought I would share my experience since it seems to have been different and much more smooth than everybody else's. All of my banking has been with RBC (chequing/savings, Visa, RESP, RRSP, previous LOC), so I decided to go with them; here's my timeline:

 

May 14: Offer from Western

May 22: Accepted offer and mailed deposit. Emailed RBC rep for Western (got contact details from the website). Sent rep my offer of admission and a sample budget.

May 23: Phone appointment to confirm all of the details and officially apply for the LOC.

May 28: LOC approved, paperwork sent to my home branch.

June 4: Signed the application and sent it back to the London branch.

June 5: LOC activated; I now have full access to the $250k.

 

For everyone reading this thread: Don't despair! Sometimes it works out just as easily as you'd hoped.

Link to comment
Share on other sites

Haha, I hate depending on anyone else so I was determined to set everything up on my own. First and last rent payment alone is almost 3K for a nice place in downtown TO!

 

The changes began 2 years ago and have been strengthening ever since. One of reps said this all happened due to someone intercepting an offer letter in the mail and mis using it to get access to a 250K LOC they were not entitled to. The person then withdrew funds and vanished. I'm not sure how credible this story is (it seems rather insane) but it would make sense if this is why banks are suddenly stricter with medical students, who've always been viewed as reliable investments from the bank's perspective.

 

The different branches have different "Heads" who do the LOC Approval. That's the only reason my little trick is working right now! Once all the "Heads" (for want of a better term) become on board with the new policy, it will be impossible to get a medical student LOC Without proof of enrollment. Personally, I think this will happen in the near future and I'm intending to speak with the UT administration about this as it's a lot of unnecessary trouble for us. I hope at least next year's batch is spared this nonsense. I mean- who would get into medical school, get the LOC, and then DROP OUT?

 

That's the only reason I can see for UT being so adamant about not providing proof of enrollment- them wanting to not be responsible for such an event. None of the other schools are this difficult to work with- Wendy at Mac simply shoots off a confirmation e-mail to the bank and that's all they need. -.-"

 

that is similar to what I heard - basically someone forge acceptance, got the LOC, liquidated it, and vanished.

 

and I agree - banks don't have separate policies on big things like this for long. They also are on this forum as well - so the fact that it is being discussed even changes things potentially :)

Link to comment
Share on other sites

Line of Credit Problem:

For those of you who require access to the professional student LOC prior to September, I've found only two reps willing to sign with only the offer letter. One is a ScotiaBank rep in Hamilton and the other is an RBC rep in British Columbia. I think (though am not sure) that the RBC rep in Ottawa also signs with just the offer letter.

 

If you really want RBC, then those branches can set up the paperwork and fax it over to your home city for signing if you wish. I do think it's a hassle and that's one of the reasons I decided to go with Scotia in Hamilton. All I needed was the Offer Letter and a copy of the $1K depot cheque. I'm driving over to sign today and will have access to funds Monday onwards.

 

Every other branch of RBC and Scotia refused to sign without proof of enrollment (which UofT refuses to provide until August 26- I think the other medical schools are much more flexible). Beware of some banks saying they will "Set your LOC up." What they mean is that they'll get you to sign everything and have your LOC ready but funds may not be released until Sept. I made sure to get everything in writing before approving my application for processing.

 

I hope this info helps someone! I've basically spent 2 weeks on the phone on long distance calls!

 

The Scotia Rep in Hamilton:

 

Adam Bonnell

Small Business Advisor

University Plaza

101 Osler Dr, Unit #138

Dundas, Ontario, L9H4H4

Direct: (905)627-9211

Ext. 4300

Fax: (905)627-2977

E: Adam.bonnell@scotiabank.com

 

The RBC rep in BC:

 

Da Ke Zhao | Account Manager - UBC Wesbrook Village Branch, RBC Royal Bank | Royal Bank of Canada

Da Ke Zhao | Mutual Funds Representative | Royal Mutual Funds Inc.

5905 Berton Ave. Vancouver, BC, V6S 0B3 | T.604.221.5736 | F.604.221.5729 |

 

RBC in Ottawa will NOT let you have access to funds before the a course schedule is provided (late summer).

 

Scotiabank in Ottawa WILL let you get access with just a letter of offer. They want a course schedule once you have one.

Link to comment
Share on other sites

I'm all for proof of enrollment. It only took Western 1 day to email me such a letter. I've already opened up my LoC with Scotia

 

RBC in Ottawa will NOT let you have access to funds before the a course schedule is provided (late summer).

 

Won't this be too late for a lot of students? Relocation can be expensive

Link to comment
Share on other sites

I'm all for proof of enrollment. It only took Western 1 day to email me such a letter. I've already opened up my LoC with Scotia

 

 

 

Won't this be too late for a lot of students? Relocation can be expensive

 

Yes but the schools are taking too long to respond to the bank changes. They probably eventually will but we're caught in between until the policies are synchronized!

Link to comment
Share on other sites

Yes but the schools are taking too long to respond to the bank changes. They probably eventually will but we're caught in between until the policies are synchronized!

 

Probably limits to how much they can change too - fortunately at worst this is just a one off thing for the start of the program.

Link to comment
Share on other sites

Probably limits to how much they can change too - fortunately at worst this is just a one off thing for the start of the program.

 

Congrats on the 10,000 posts! :P

 

It looks like most of Canada's medical schools provide some proof beyond just an offer letter very early and this is accepted by most banks. UofT's one of the few that doesn't and I think they can at least provide a written statement that you're in the class. I think the reason they hold off until August is because they want to make sure they get the police clearance, immunization etc but if every other school provides confirmation early on, then why not UT? The banks literally said "your medical school is making this unnecessarily difficult for you" and I pretty much had nothing to say to that since it was true. I'm just going to drop a few words by their Finance Office so they take into account that relocation costs etc need to be met by students who aren't financially well off and that they should at least try to find a way to make things easier for the accepted class. They pride themselves on student feedback so I hope this makes a difference next year.

Link to comment
Share on other sites

Congrats on the 10,000 posts! :P

 

It looks like most of Canada's medical schools provide some proof beyond just an offer letter very early and this is accepted by most banks. UofT's one of the few that doesn't and I think they can at least provide a written statement that you're in the class. I think the reason they hold off until August is because they want to make sure they get the police clearance, immunization etc but if every other school provides confirmation early on, then why not UT? The banks literally said "your medical school is making this unnecessarily difficult for you" and I pretty much had nothing to say to that since it was true. I'm just going to drop a few words by their Finance Office so they take into account that relocation costs etc need to be met by students who aren't financially well off and that they should at least try to find a way to make things easier for the accepted class. They pride themselves on student feedback so I hope this makes a difference next year.

 

ha! :) I didn't notice that. Wow!

Link to comment
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
×
×
  • Create New...