Comments on: $327,000 in debt, and she doesn’t even own a house http://www.mightybargainhunter.com/2007/08/12/327000-in-debt-and-she-doesnt-even-own-a-house/ Helping readers to use bargains wisely since 2005 Sun, 12 Feb 2012 16:24:19 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: Jack http://www.mightybargainhunter.com/2007/08/12/327000-in-debt-and-she-doesnt-even-own-a-house/comment-page-1/#comment-291484 Jack Fri, 11 Mar 2011 19:41:34 +0000 http://www.mightybargainhunter.com/2007/08/12/327000-in-debt-and-she-doesnt-even-own-a-house/#comment-291484 This is a typical mis-perception. Even at 150K a year, it will take probably more like 6-7 years to pay off. Don't forget taxes and interest that keeps growing. This is a typical mis-perception. Even at 150K a year, it will take probably more like 6-7 years to pay off. Don’t forget taxes and interest that keeps growing.

]]> By: Jerry http://www.mightybargainhunter.com/2007/08/12/327000-in-debt-and-she-doesnt-even-own-a-house/comment-page-1/#comment-104842 Jerry Sat, 24 Nov 2007 04:47:27 +0000 http://www.mightybargainhunter.com/2007/08/12/327000-in-debt-and-she-doesnt-even-own-a-house/#comment-104842 Yes, that amount of debt is shocking. But, she is going to be a physician and her salary will lead to a significant reduction in her student loan debt. Her income potential is much greater than someone racking up $200,000 in loans and they have a Ph,d in the Fine Arts. A medical degree isn't insurance she'll be debt free (I know many doctors who are quite the opposite) but she has a better chance than most at getting those numbers down. Jerry www.leads4insurance.com Yes, that amount of debt is shocking. But, she is going to be a physician and her salary will lead to a significant reduction in her student loan debt. Her income potential is much greater than someone racking up $200,000 in loans and they have a Ph,d in the Fine Arts. A medical degree isn’t insurance she’ll be debt free (I know many doctors who are quite the opposite) but she has a better chance than most at getting those numbers down.

Jerry
http://www.leads4insurance.com

]]> By: Minimum Wage http://www.mightybargainhunter.com/2007/08/12/327000-in-debt-and-she-doesnt-even-own-a-house/comment-page-1/#comment-86216 Minimum Wage Tue, 21 Aug 2007 14:20:45 +0000 http://www.mightybargainhunter.com/2007/08/12/327000-in-debt-and-she-doesnt-even-own-a-house/#comment-86216 No mortgage! The only collateral is her car. At least they can’t repossess her diploma. ;) I *wish* they could repossess MY degree! Because I have a degree, I am ineligible for Pell Grants even though I earn minimum wage. If I didn't have a degree, I would have been able to get one. I have $30,000 in debt'; on minimum wage, it's gonna be a loooooong and hard road to pay it off. No mortgage! The only collateral is her car. At least they can’t repossess her diploma. ;)

I *wish* they could repossess MY degree! Because I have a degree, I am ineligible for Pell Grants even though I earn minimum wage. If I didn’t have a degree, I would have been able to get one.

I have $30,000 in debt’; on minimum wage, it’s gonna be a loooooong and hard road to pay it off.

]]> By: e http://www.mightybargainhunter.com/2007/08/12/327000-in-debt-and-she-doesnt-even-own-a-house/comment-page-1/#comment-83897 e Mon, 13 Aug 2007 21:01:27 +0000 http://www.mightybargainhunter.com/2007/08/12/327000-in-debt-and-she-doesnt-even-own-a-house/#comment-83897 One important thing to keep in mind when trying to imagine how a resident should be cutting costs to pay back loans is the professional demands. Having lived it both ways, I can say it's sure a lot easier to live frugally (find an out of the way apartment with cheaper rent, bus to work, cook your own food, shop sales, wear used cloths) when you have a bit of time and a flexible work environment. As soon as you're working 80 hour weeks with 2 weeks of not very flexible vacation time a year and strange hours (can't take the bus home at 3am post-call), in an environment where you have to maintain a professional appearance, it gets much, MUCH harder. Even if you did have the time to cook food at home to bring for the 2-3 meals a day you eat at work, you don't have a space to store it or much time to eat it. Just... keeping that on the table! If nothing else, perhaps it's a useful reminder to those with the freedom to be frugal to appreciate it! One important thing to keep in mind when trying to imagine how a resident should be cutting costs to pay back loans is the professional demands.

Having lived it both ways, I can say it’s sure a lot easier to live frugally (find an out of the way apartment with cheaper rent, bus to work, cook your own food, shop sales, wear used cloths) when you have a bit of time and a flexible work environment. As soon as you’re working 80 hour weeks with 2 weeks of not very flexible vacation time a year and strange hours (can’t take the bus home at 3am post-call), in an environment where you have to maintain a professional appearance, it gets much, MUCH harder.

Even if you did have the time to cook food at home to bring for the 2-3 meals a day you eat at work, you don’t have a space to store it or much time to eat it.

Just… keeping that on the table! If nothing else, perhaps it’s a useful reminder to those with the freedom to be frugal to appreciate it!

]]> By: Anitra http://www.mightybargainhunter.com/2007/08/12/327000-in-debt-and-she-doesnt-even-own-a-house/comment-page-1/#comment-83894 Anitra Mon, 13 Aug 2007 20:49:35 +0000 http://www.mightybargainhunter.com/2007/08/12/327000-in-debt-and-she-doesnt-even-own-a-house/#comment-83894 I know people who have almost $100k in debt just from their Bachelor's degree, so this story doesn't surprise me in the slightest. I no longer look down on kids who go to community college or choose not to go to college at all. It's not worth the price to go to an expensive private school - it's better to go to a community college or public university and simply work hard. I know people who have almost $100k in debt just from their Bachelor’s degree, so this story doesn’t surprise me in the slightest.

I no longer look down on kids who go to community college or choose not to go to college at all. It’s not worth the price to go to an expensive private school – it’s better to go to a community college or public university and simply work hard.

]]> By: Dr. T http://www.mightybargainhunter.com/2007/08/12/327000-in-debt-and-she-doesnt-even-own-a-house/comment-page-1/#comment-83887 Dr. T Mon, 13 Aug 2007 20:06:50 +0000 http://www.mightybargainhunter.com/2007/08/12/327000-in-debt-and-she-doesnt-even-own-a-house/#comment-83887 Unfortunately there are not very many good opportunities to "work your way" through medical school. As you can imagine, most of the students are very bright and are very hard workers. The shear volume of material prohibits most from even attempting to work. The competitive "premed" stereotype doesn't fade away when they get to med school, so it can be a bit over the edge to earn a Residency spot in the competitive specialties. The few funding sources I have seen are: 1. bank of mom and dad, still a fair amount of nepotism around 2. student loans(majority of my class) 3. have the military pay your tuition(a few in my class) 4. combination of part time jobs like MCAT test prep instructors, selling plasma, being human guinea pigs for research studies, etc... The problem is you are in class/lab all day and have to study all night. that being said, I had more fun in medical school. Work hard/play hard. The good days were better but the bad days were worse compared to undergrad. Unfortunately there are not very many good opportunities to “work your way” through medical school. As you can imagine, most of the students are very bright and are very hard workers. The shear volume of material prohibits most from even attempting to work. The competitive “premed” stereotype doesn’t fade away when they get to med school, so it can be a bit over the edge to earn a Residency spot in the competitive specialties.

The few funding sources I have seen are:
1. bank of mom and dad, still a fair amount of nepotism around
2. student loans(majority of my class)
3. have the military pay your tuition(a few in my class)
4. combination of part time jobs like MCAT test prep instructors, selling plasma, being human guinea pigs for research studies, etc…

The problem is you are in class/lab all day and have to study all night.

that being said, I had more fun in medical school. Work hard/play hard. The good days were better but the bad days were worse compared to undergrad.

]]> By: mbhunter http://www.mightybargainhunter.com/2007/08/12/327000-in-debt-and-she-doesnt-even-own-a-house/comment-page-1/#comment-83867 mbhunter Mon, 13 Aug 2007 16:40:47 +0000 http://www.mightybargainhunter.com/2007/08/12/327000-in-debt-and-she-doesnt-even-own-a-house/#comment-83867 Dr. T, thanks for sharing! I went through six years of grad school but it was for a PhD, not an MD, so I had modest funding along the way. Did you have such funding opportunities available to you? The numbers are bigger, but the payoff method is the same. Dr. T, thanks for sharing! I went through six years of grad school but it was for a PhD, not an MD, so I had modest funding along the way. Did you have such funding opportunities available to you?

The numbers are bigger, but the payoff method is the same.

]]> By: Dr. T http://www.mightybargainhunter.com/2007/08/12/327000-in-debt-and-she-doesnt-even-own-a-house/comment-page-1/#comment-83456 Dr. T Mon, 13 Aug 2007 03:46:01 +0000 http://www.mightybargainhunter.com/2007/08/12/327000-in-debt-and-she-doesnt-even-own-a-house/#comment-83456 Her story is very common for young physicians today who didn't get loans from the bank of mom and dad. I am "ONLY" $130,000 in the hole facing the same prospects. However, I look at my loans as an investment in a highly specialized, non-outsourceable skill. With this skill I should be able to pay back these loans without too much difficulty. Many young residents spend too much money initally and I was guilty of the same mistakes. They(we) tend to rationalize bad finaical decsions based upon the premise "We should be able to pay it off when we get a real job." You can follow my journey over the next few years if you would like. Her story is very common for young physicians today who didn’t get loans from the bank of mom and dad. I am “ONLY” $130,000 in the hole facing the same prospects.

However, I look at my loans as an investment in a highly specialized, non-outsourceable skill. With this skill I should be able to pay back these loans without too much difficulty.

Many young residents spend too much money initally and I was guilty of the same mistakes. They(we) tend to rationalize bad finaical decsions based upon the premise “We should be able to pay it off when we get a real job.”

You can follow my journey over the next few years if you would like.

]]> By: Pinyo http://www.mightybargainhunter.com/2007/08/12/327000-in-debt-and-she-doesnt-even-own-a-house/comment-page-1/#comment-83412 Pinyo Mon, 13 Aug 2007 02:11:31 +0000 http://www.mightybargainhunter.com/2007/08/12/327000-in-debt-and-she-doesnt-even-own-a-house/#comment-83412 My dentist owe $250,000. My friend who is a dentist also owe a whole bunch of money (no, I don't let him work on me). The doctor who interviewed me still owe student loan. This is why I am happy I didn't go to medical school. My dentist owe $250,000. My friend who is a dentist also owe a whole bunch of money (no, I don’t let him work on me). The doctor who interviewed me still owe student loan. This is why I am happy I didn’t go to medical school.

]]> By: Neely O'Hara http://www.mightybargainhunter.com/2007/08/12/327000-in-debt-and-she-doesnt-even-own-a-house/comment-page-1/#comment-83400 Neely O'Hara Mon, 13 Aug 2007 00:44:14 +0000 http://www.mightybargainhunter.com/2007/08/12/327000-in-debt-and-she-doesnt-even-own-a-house/#comment-83400 Chris is right -- maybe the three figure is a tad optimistic, but she could sell her car, get an apartment with a roommate - in other words, NOT live the way doctors normally live. She may be embarassed in front of her peers, but too bad. It's temporary. This is TOTALLY do-able in just a few years. She just needs to get serious about paying it off. Chris is right — maybe the three figure is a tad optimistic, but she could sell her car, get an apartment with a roommate – in other words, NOT live the way doctors normally live. She may be embarassed in front of her peers, but too bad. It’s temporary.

This is TOTALLY do-able in just a few years. She just needs to get serious about paying it off.

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