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*Official student loan pay off thread*

Home Student Loan Management *Official student loan pay off thread*

  • Avatar Dermonc 
    Participant
    Status: Resident
    Posts: 13
    Joined: 04/21/2017

     

    #54291 Reply
    Avatar EDDOCMOM 
    Participant
    Status: Physician
    Posts: 68
    Joined: 01/23/2016

    I DID IT!!!!  As of today I have $0 in student loans.

     

    Paid off total of $320,000 since graduating medical school in 2010.  Majority were at 6.8%.

     

    Since February of 2016 I paid of $186,777 (refinanced to 3.25%) in student loans.

    Prior to this we also paid off 2 cars, a second mortgage and various small debts.

    The total was over $300,000 in 23 months.

    Next up we have a mortgage which we plan to pay off somewhat more slowly over the next 2-5 years.

    Thanks to WCI and all the other encouragement on this website/forum.  We did utilize the Dave Ramsey plan (some modifications with regards to retirement contributions).

     

    Avatar PNWskindoc 
    Participant
    Status: Physician
    Posts: 99
    Joined: 01/10/2016

    Outstanding! I hope you have something planned to celebrate!

    #63725 Reply
    Avatar dentoid 
    Participant
    Status: Dentist
    Posts: 86
    Joined: 02/08/2016

    I DID IT!!!!  As of today I have $0 in student loans.

     

    Paid off total of $320,000 since graduating medical school in 2010.  Majority were at 6.8%.

     

    Since February of 2016 I paid of $186,777 (refinanced to 3.25%) in student loans.

    Prior to this we also paid off 2 cars, a second mortgage and various small debts.

    The total was over $300,000 in 23 months.

    Next up we have a mortgage which we plan to pay off somewhat more slowly over the next 2-5 years.

    Thanks to WCI and all the other encouragement on this website/forum.  We did utilize the Dave Ramsey plan (some modifications with regards to retirement contributions).

     

    Click to expand…

    Congratulations!

    Out of curiosity- what were the interest rates between the cars and the student loans? Did you complete the snowball with regards to the car loan?

    #63751 Reply
    Avatar Decapolis 
    Participant
    Status: Physician
    Posts: 75
    Joined: 11/04/2016

    This isn’t awesome! Congrats

    #63812 Reply
    Liked by jhwkr542
    Avatar Decapolis 
    Participant
    Status: Physician
    Posts: 75
    Joined: 11/04/2016

    *is awesome

    #63813 Reply
    MPMD MPMD 
    Participant
    Status: Physician
    Posts: 2488
    Joined: 05/01/2017

    we did it.

    shade over 5 years.

    drank $100 bottle of champagne with the wife to celebrate and made a special treat for the dog.

    modified snowball up to the last big 4 then by interest rate.

    chase 757 5.5
    acs7 1000 3.18
    aes2 1749 2.2
    ecsi 3300 5
    aes3 3500 2.8
    aes1 4289 2.2
    acs4 4300 8.5
    acs2 7300 8.5
    acs8 17000 3.8
    acs3 48000 2.9
    acs1 51000 4.75
    acs5 53000 2.36
    acs6 56000 6.8
    Avatar Drmaseofbase 
    Participant
    Status: Physician, Other Professional, Small Business Owner
    Posts: 5
    Joined: 09/20/2017

    First and foremost…..the people in this thread are amazing and inspirational. Now on to the nitty gritty….

    I was a little late to the get out of debt party mostly (okay, entirely) due to poor decision making and planning. I spent my first 4 years after residency taking on even more debt. I am a podiatrist, so hopefully there are others like me who will read this thread. Went to a state university for undergrad, but of course went to an out of state private college for podiatry in a HCOL area and borrowed too much. Finished school in 2005 and residency in 2008.

    Total loan amount: $200,000; $95k remaining

    Loan interest: 2.75%

    Yearly income: $350,000 I’m a part owner of a group practice

    Goal pay off date: 9/1/2018

    Personal information: wife stays at home . 2 small children

    Living expenses: live in a low cost of living area; $6000/monthly expenses

    Misc: no other debt of any kind except modest house. Max out 401k. Also aggressively contribute to college funds so my student loan will be the last our family ever has

     

    #64901 Reply
    Avatar EDDOCMOM 
    Participant
    Status: Physician
    Posts: 68
    Joined: 01/23/2016

    The car interest rates were 0.9% each. We sold one care and bought a beater, we paid off the family minivan ($40,000).  The student loan interest rates were 6.8% but refinanced to 3.25% in Feb 2016.

     

    We did do the complete snowball – including paying off $50,000 on our second mortgage before we finished the student loans.

    #65441 Reply
    Avatar MochaDoc 
    Participant
    Status: Physician
    Posts: 239
    Joined: 08/25/2016
    made a special treat for the dog.

    Click to expand…

    you might be the first person to include the dog/a pet in your celebration.

    “Money is numbers and numbers never end. If it takes money to be happy, your search for happiness will never end.”

    ― Bob Marley

    #65446 Reply
    Liked by EDDOCMOM, hatton1
    MPMD MPMD 
    Participant
    Status: Physician
    Posts: 2488
    Joined: 05/01/2017
    made a special treat for the dog. 

    Click to expand…

    you might be the first person to include the dog/a pet in your celebration.

    Click to expand…

    part of the family!

    #65449 Reply
    Avatar Brutus1 
    Participant
    Status: Physician
    Posts: 4
    Joined: 09/23/2017

    I completely paid off my student loans last year and the feeling is amazing. Psychology definitely plays a role in how quickly you decide to pay off your loans. All my loans were 6.8% and the thought of losing that much on interest a year was a huge drag. If the loans were 2-3% I would have put more money towards my taxable account, as historically your investments returns should be higher. After maxing out all retirement accounts I put about $3:1 into loans:taxable account. I was doing the same with my mortgage but now that my principal is under $200k at 4.2% interest I’ve done the reverse $1:3 mortgage:taxable account. I couldn’t stomach losing $20k a year in interest as opposed to putting money aside I don’t plan on using for 20 or so years. Isn’t the first rule of investing don’t lose your money and the only gaurunteed return is losing money in debt interest. My advice, max out your retirement accounts and find a happy balance of additional loan payment and added investment income.

    #66925 Reply
    Avatar skidoc 
    Participant
    Status: Physician
    Posts: 13
    Joined: 12/16/2016

    Add another one to the list. I can’t remember peak probably 270-300k at med school graduation. Paid about 1k/month during 3 year residency. Went from ~250k to 0 in past 3 years as attending, refinancing to good variable rate from CommonBond 2.5 years ago. Still maxing retirement, some taxable, some 529. Had the itch that must be scratched in paying it off, it feels good. Dual physician but spouse with lower paying job. Likely to stretch her loans (not as much) out for PSLF but who knows. Both of us have always been frugal people, but props to WCI and this community to give tools to us for financial education to better spend effort on big stuff than lower yield cheapness.

    #68767 Reply
    Veiled Veiled 
    Participant
    Status: Resident
    Posts: 16
    Joined: 10/15/2017

    Congrats to all who have repaid loans! I’m getting on the train, too. I’m currently a PGY3 in OBGYN. I’m almost done paying off my college debt during residency (about 13k) and I’m going to start working on med school debt. I’d like to go another 3 years in fellowship and am setting a goal for myself: to finish paying med school loans with my first signing bonus as an attending. I want to use this lower tax bracket for credits as long as I can, and I live in a relatively LCOLA.

    I have 120k in federal loans (mostly direct stafford at 6.5%), and 12k in private loans. I’m should be done with the private loans by residency graduation and I’m refinancing the federal loans to make my goal more achievable. I budget that 2-3k per month in fellowship should almost decimate my debt, and I think my current SR (40%) will allow that amount with a fellow’s salary.

    The prospect of being debt free is exciting but it requires so much patience that I appreciate that this thread is here, to hold me accountable!

    #69087 Reply
    Avatar IRdoc 
    Participant
    Status: Physician
    Posts: 34
    Joined: 01/10/2016

    Question,

     

    I recently refinanced from SoFi fixed to Laurel Road/Mohela 160K @2.5% variable x 5 years.  I obviously enrolled in autopay feature to get lowest possible rate.  I have been reading about bi-monthly payments to keep accumulated interest as low as possible.  My question is, with autopay feature, is this possible through Mohela?  I don’t see an option to split my monthly payment, only to add in additional payment and my base payment is fairly high where I’m comfortable paying at $2850/month.

    Anyone do this?  Is it worth it?

    #69217 Reply

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