Context:
So due to the “big beautiful bill”, I will have to take out both federal and private loans as federal loans cannot fully cover the tuition + cost of living for medical school alone.
This will be the first time I take out loans as I was lucky enough to receive scholarships in Undergrad.
Though I have been accepted at a medical school, I am also waitlisted in 4 others which I greatly prefer. The school that has accepted me will bill me the tuition next month in June, but waitlist movement can last until July.
Problem:
I not sure what the exact process is to switch my loans to another school. I have read for federal loans I should notify both schools’ financial aid offices and update FAFSA to include the new school. What would the process be for private loans? Would it depend on who I loan money from? And how late is it still feasible to apply for private loans, as there approximately 1 month before I am billed?
Need to take out federal and private loans for medical school: how to switch universities if needed
byu/Xicuni inStudentLoans
Posted by Xicuni
2 Comments
> I have read for federal loans I should notify both schools’ financial aid offices and update FAFSA to include the new school.
Correct. (You could even add all of your prospective schools to your FAFSA now so that any of them can access your information right away if you decide to switch.)
> What would the process be for private loans? Would it depend on who I loan money from?
Yes, you would need to notify your lender (assuming you’ve already accepted the loan contract) and follow their process for getting your eligibility certified by your new school. It’s also possible that the lender will cancel your contract and make you re-apply from Step 1 — it depends on the specific language of your contract and what the lender chooses to allow.
> And how late is it still feasible to apply for private loans, as there approximately 1 month before I am billed?
Most private loans won’t disburse money until you’re actually enrolled in classes; if you have bills due to the school before that date, you may need to pay out-of-pocket or work with the school to get an extension due to the forthcoming aid. Generally, private loans can be issued pretty quickly (they want your business), but there can be delays if (for example) your school doesn’t certify your eligibility for private loans right away. I would give at least two weeks if you are able to.
As someone mentioned, your loans only get disbursed once your attendance is verified about a week after classes start; HOWEVER, your seat is contingent on your having valid loans pending or having paid a deposit, if that applies.
Did you accept a seat at this school i.e. plan to enroll / commit to enroll?
It is unlikely you will get any deposit back but you may still transfer loans if waitlist movement is occurring. If you commit to enroll by whatever the deadline is, there is no moving around after. Usually this is before orientation which is probably coming up. Personally I was already moved into a place by June. One of my waitlists sent an email after I accepted my seat at the school I went to, and I didn’t bother opening it, I had already signed a lease. In other words what I’m saying is you’re down to the wire here. Unless there is a massive cost savings by going to one of the waitlist schools, I would just begin moving forward with what you’ve got.