Update on Student Loans
On June 30, 2023, the US Supreme Court overturned President Biden’s one-time sweeping student loan forgiveness plan. This means that students who are currently in repayment status (you have graduated or dropped below half-time enrollment and have used up your 6-month grace period) will be required to start making payments in October 2023. This also means that the proposed $10,000 and $20,000 one-time forgiveness will not take place on loans taken out prior to June 30, 2022.
The US Department of Education has released a new student loan repayment plan that would lower payments. This plan is called SAVE and is set to replace the old plan known as REPAYE. The plan is set to roll out soon, but you can read all of the details here.
Update on Interest Accrual and Interest Rates
For all students who are still in school, the interest pause on student loans will expire in September 2023. This means that the unsubsidized federal loans you’ve taken out in the past 3 years that have not been accruing interest, will now start to accrue interest again and will continue to accrue until the loan is paid off.
July 1, 2023, marked the update of interest for the upcoming 2023-2024 academic year. Interest on loans you’ve already taken out is fixed for the life of the loan, however, for new loans taken out after July 1, the following interest rates will apply:
Undergraduate Unsubsidized Loans – 5.50%
Graduate/Professional Unsubsidized Loans – 7.05%
Parent Plus and Grad Plus Loans – 8.05%
Remember, you can pursue private loans instead of Federal Loans if you are able to find a lower interest rate elsewhere. Consider private loan options here.
UMKC SOM Native American/Alaka Native Scholarship:
We would like to inform you of a Native American/Alaska Native scholarship funded through a UMKC grant awarded by Health Resources and Services Administration (HRSA). This scholarship is part of UMKC’s rural medical education program funded in part by HRSA to support medical student recruitment and training to practice in rural, tribal, and medically underserved areas. Eligible students must be in good standing in either the BA/MD or MD program. Please see the instructions and eligibility at the link below. Contact Dr. Wacker if you have questions (wackerm@umkc.edu).
Click below for the Application and Eligibility:
Future Clinicians Scholarship Program:
The Future Clinicians Scholarship Program offers scholarships for underrepresented health professions students who are engaging in self-led community service and research, are developing critical professional skills, and are interested in working to address health disparities in medically underserved communities. Eligible applicants are health professions students from groups that are underrepresented in medicine.
The deadline is July 31, 2023. Apply HERE.
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►Got loans?
The MedLoans Organizer and Calculator from the AAMC is a fantastic tool to stay up to date on your student loans. Not only can you organize each loan you can also run repayment scenarios based on your financial situation upon graduation.
If you have questions about transitioning financially from Med School to your career you’re welcome to schedule a meeting with your Financial Wellness Counselor to discuss. Email brennonk@umkc.edu to schedule.
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►Resource Spotlight
AAMC Financial Wellness: AAMC has created a robust financial management dashboard specifically designed for medical students. Use this dashboard to:
- Track Financial Health
- Budget & Track Spending
- Create Financial to-do’s
- Create Financial Goals
- Organize Student Loans
- Utilize Resources & Calculators
Create a free account today! Visit the site here and choose UMKC as your school.
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►Upcoming Events:
(RSVP through the Financial Wellness Center on RooGroups)
Happy summer! Check back in later for upcoming Fall 2023 events.
