![Page 1: University of Mississippi Medical Center M3 Financial Aid Update](https://reader036.vdocument.in/reader036/viewer/2022062411/568168fd550346895de00c42/html5/thumbnails/1.jpg)
University of Mississippi Medical Center
M3 Financial Aid Update
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Disbursement Dates1st Disb- June 3rd
2nd Disb- January 2nd
* Make sure you have determined your budget prior to accepting your Financial Aid.
Financial Aid Updates
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Component M3Tuition/Fees 23,149Housing/Food 18,000Books/Supplies 582Transportation 4,800Personal Misc 5,400Medical Insurance 2,236USMLE 2/ State Lic 1,760Loan Fees 472
Total 56,399
M3 Cost of Attendance
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©2012 Association of American Medical Colleges. All rights reserved.
88% of class report having educational debt
62% of class report debt $150,000 or higher
Public Schools
Private Schools
All Schools
Median $160,000 $190,000 $170,000
Class of 2012 Indebtedness
Source: AAMC 2012 Graduate Questionnaire (GQ)
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©2012 Association of American Medical Colleges. All rights reserved.
Know the Details of Your Loans
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©2012 Association of American Medical Colleges. All rights reserved.
The FIRST Stop…
www.aamc.org/FIRST
Medloans® Organizer and Calculator
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©2012 Association of American Medical Colleges. All rights reserved.
Master Promissory Note
A contract with the lender
Has a multi-loan feature
Carefully read before signing
Rights and responsibilities
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©2012 Association of American Medical Colleges. All rights reserved.
Rights include the ability to:
Prepay any federal loan without penalty
Request a shorter repayment schedule
Change repayment plans
Request a deferment or forbearanceReview your promissory note for all rights
Rights and Responsibilities
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©2012 Association of American Medical Colleges. All rights reserved.
Rights and Responsibilities
Responsibilities include:
Make on time loan payments Make payments despite receipt of billNotify the lender of changes in contact infoAttend an Exit Counseling sessionReview your promissory note for all responsibilities
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©2012 Association of American Medical Colleges. All rights reserved.
Finding Your Federal Loans
To access, provide:
- SSN- Date of Birth- First 2 letters of last name- FAFSA PIN (
www.pin.ed.gov)
www.nslds.ed.gov
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©2012 Association of American Medical Colleges. All rights reserved.
Finding Other Loans
www.annualcreditreport.com
To access, provide:- Name - Address- Date of Birth- SSN
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©2012 Association of American Medical Colleges. All rights reserved.
Interest Rates
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©2012 Association of American Medical Colleges. All rights reserved.
Capitalization
Addition of unpaid interest to the principal
Principal + Interest = Larger Principal
$162,000$185,029
$23,029
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Debt Management TipPay the interest on
unsubsidized loans PRIOR to capitalization
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©2012 Association of American Medical Colleges. All rights reserved.
The Repayment Timeline
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©2012 Association of American Medical Colleges. All rights reserved.
Grace Periods
Grace
A period when payments are not required
Occurs automatically
Subsidized loans are interest free during grace
Unsubsidized loans continue to accrue interest
Availability and duration is based on loan type
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©2012 Association of American Medical Colleges. All rights reserved.
Grace Periods
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©2012 Association of American Medical Colleges. All rights reserved.
Direct PLUS loans
Enters repayment upon full disbursement
In-school deferment will post-pone payments
Interest begins accruing upon disbursement
Interest accrues continuously
Maximum interest rate is 7.9%
NOTICE: Repayment Begins
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©2012 Association of American Medical Colleges. All rights reserved.
Options During Residency
During residency, there are two choices:
Postpone Payments
Make Payments
DefermentForbearance
Select a Repayment Plan
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©2012 Association of American Medical Colleges. All rights reserved.
Deferment
A period when payments are not required
Must apply and qualify
Interest does not accrue on subsidized loans
Unsubsidized loans continue to accrue interest
NOTE: For more details on deferment or to request a deferment, contact your servicer
Options During Residency
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©2012 Association of American Medical Colleges. All rights reserved.
Options During Residency
Forbearance
A period when payments are not required
Must request from the servicer
Interest accrues on all loans
Many types (administrative, discretionary, mandatory)
NOTE: For more details on forbearance or to request a forbearance, contact your servicer
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©2012 Association of American Medical Colleges. All rights reserved.
Options During Residency
Determines the payment
amount &
interest cost
$2,130/mo
$1,280/mo
$1,050/mo
$ 630/mo
$ 400/mo
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©2012 Association of American Medical Colleges. All rights reserved.
Estimated Monthly Payment Amounts
Repayment Plans
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©2012 Association of American Medical Colleges. All rights reserved.
Have a Spending Plan
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©2012 Association of American Medical Colleges. All rights reserved.
Have a Spending Plan
A Spending Plan in 1-2-3
1) Put it in writing
2) Review periodically to identify leaks
3) Make necessary adjustments
“Live like a student while you are a student…”
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©2012 Association of American Medical Colleges. All rights reserved.
Have a Spending Plan
www.aamc.org/FIRST
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©2012 Association of American Medical Colleges. All rights reserved.
The Basics of BudgetingRefer to page 33
Your Total Income
Your Total Expenses
= Your Discretionary Income
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©2012 Association of American Medical Colleges. All rights reserved.
Spending Wants: Leaks
Small amounts add up over time
It may not look like much in the short term
$5 gourmet coffeeX 25 weekdays/mo$125 per month
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©2012 Association of American Medical Colleges. All rights reserved.
Spending Wants: Leaks
Small amounts add up over time
It may not look like much in the short term
$125 in coffee per mo.X 10 months$1250 per year
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©2012 Association of American Medical Colleges. All rights reserved.
Spending Wants: Leaks
Small amounts add up over time
It may not look like much in the short term
Total Cost of Starbucks:
$5,000
But it adds up over time
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©2012 Association of American Medical Colleges. All rights reserved.
Spending Alternatives
Pay attention to the small stuff…
Commit to review your budget regularly
$8 coffee beans per weekX 4 bags per month$32 per month
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©2012 Association of American Medical Colleges. All rights reserved.
Spending Alternatives
Pay attention to the small stuff…
Commit to review your budget regularly
$32 per monthX 10 months$320 per year
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©2012 Association of American Medical Colleges. All rights reserved.
Spending Alternatives
Pay attention to the small stuff…
Commit to review your budget regularly
Total Cost of coffee beans:
$1,280
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©2012 Association of American Medical Colleges. All rights reserved.
Spending Alternatives
Pay attention to the small stuff…
Commit to review your budget regularly
Savings $3,720
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©2012 Association of American Medical Colleges. All rights reserved.
Credit: Understand & Protect
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©2012 Association of American Medical Colleges. All rights reserved.
35%
30%
15%
10%10%
Payment history
Amount Owed
Length of history
New credit
Type of credit
A FICO Score is Based On…
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©2012 Association of American Medical Colleges. All rights reserved.
How to Improve Your Score
During medical school, be sure to:
Pay bills on time
Pay down debt on lines of credit
Apply for credit sparingly
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©2012 Association of American Medical Colleges. All rights reserved.
Check your Credit Report
www.annualcreditreport.com
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Financial Aid Wellness DayComing in February
Make sure to be watching your email
REMINDERS