According to the Association of American Medical Colleges, 75% of medical students graduated in 2018 with debt. Graduates had an average student loan burden of over $196,520. It was $190,694 in 2017. This includes debt from undergraduate, medical, and other higher education.

Assume a 6.25 percent interest rate on the $197,000 loan debt. And owes up to $2,212 each month over ten years. This may surprise you, but don’t worry, this blog will help you comprehend the average medical school debt.

How much does medical school cost?


A survey indicated that medical school graduates have more student loan debt than those with a bachelor’s degree as their greatest education. But only doctors are outsized student loans.


We’ve shown how these average medical school loans relate to other fields of study in 2008:


$29,180 average dental school debt


It costs an average of $182,015.







So, how much do you owe on medical


Doctorate debt is better managed by median medical loans, which are owned by half of graduates in less or more values. In 2008, it was worth $200,000.00. This covers most medical school debt. Moreover, the median medical school debts do not include premedical education loans from 2018 graduates, which were $194,000.


According to the AAMC research, private medical school graduates now have higher student debt. Compared to graduates of public medical institutions. Moreover, the private medical student loan is approximately $210,000, compared to $190,000 for graduates from public medical schools.


Factors affecting medical school debt repayment


The cost of repaying average medical school debt is based on three parameters:





How much do medical school debts cost?


The interest rate for student loans is determined by three factors: graduation, undergraduate, and PLUS loans. Several doctors graduate from medical school with three types of loans.


The interest rate on a federal student loan is fixed for life. For new borrowers, the offered rates are adjusted annually to reflect the government’s borrowing costs. According to recent research, an average medical school debt loan has an interest rate of:




Type and amount of loan Average interest rate


$19,300 grad loans 4.79 percent


PLUS loans $70,300 7.41%


Graduate students can borrow up to $162,000 in unsubsidized loans.


Total: $251,000 Average rate: 6.6%


Average medical school debt balances and interest rates


Before applying for PLUS loans, medical students can borrow up to $224,000 in unsubsidized and subsidized direct loans. But there is a $40,000 annual cap for several medical students.


As the annual medical school borrowing reaches $60,000, most students turn to federal private or PLUS student loans to bridge the funding gap.


How much does a medical school graduate make?


Although some doctors graduate from medical school with typical six-figure debts, and after they complete their residencies. Then one might simply expect the debts.


According to recent BLS data, medical school graduates earned an average of:


Physicians: $183,240.



Doctors: $255,110.


How to pay off medical school debt


Doctors confront unique hurdles in repaying their medical school debt because they borrowed more than undergraduates and graduates. Several of them will be able to comfortably repay the debts. After medical school, they must do three to seven years of lower paying resident work.


We’ve highlighted some ways to pay off your typical medical school debt:




Find out if you qualify for loan forgiveness


If one intends to work for a qualified organization or government agency, one can apply for Public Service Loan Forgiveness after 10 years of successful payments. If you don’t have one, you can ask for loan forgiveness after 20-25 years of payments based on your salary.


Plan how to use the loans during residence.


Several medical school grads are unable to pay back their loans. Forbearance, graduated repayment, and income-driven repayment are three well-known approaches to manage loans during residency.


Choose a repayment plan after residency


After completing the residency, one may try fresh repayment strategies and techniques that benefit long term. The income increase occurs when the residency is completed, allowing one to save money by paying off loans faster.


Check if refinancing makes sense.


As you may be aware, borrowers with strong credit and future earnings can easily qualify for lower rate loans from private lenders.




That is why this blog has provided the required information on average medical school debt. Also, what is the median medical school debt, reasons for repaying loans, loan interest rates, and steps to pay off loans. All of these ideas assist you pay off medical school debts, but keep in mind that interest rates might make things more difficult. So pay them off as quickly as possible. Then you’ve come to the right place. Our finance professionals deliver the best service at a fair price.