11 Best Medical School Loans of December 2023
Benefits like student loan forgiveness and income-driven repayment make federal student loans a better option than private student loans for medical school.
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There are two main types of medical school loans: federal and private. In general, use federal student loans for medical school first because they have benefits private loans for medical school lack, including access to income-driven repayment plans and loan forgiveness programs.
The following lenders offer student loans specifically designed for medical students and other graduate-level health professionals. Compare specific lenders below — see which let you postpone payments in residency under Key Facts — and keep reading to learn more about the differences between federal and private student loans.
Best Medical School Loans
Lender | NerdWallet Rating | Min. credit score | Fixed APR | Variable APR | Learn more |
|---|---|---|---|---|---|
5.0 /5 | None | 5.50-7.05% | N/A | ||
5.0 /5 | None | 7.54-7.54% | N/A | ||
 Sallie Mae Undergraduate Student Loan Check rateon Sallie Mae's website on Sallie Mae's website COMPARE RATESon Credible’s website on Credible’s website | 4.5 /5 | Mid-600's | 4.50-15.49% | 6.37-16.70% | Check rateon Sallie Mae's website on Sallie Mae's website COMPARE RATESon Credible’s website on Credible’s website |
 College Ave Medical Student Loan Check rateon College Ave's website on College Ave's website COMPARE RATESon Credible’s website on Credible’s website | 5.0 /5 | Mid-600s | 4.49-14.47% | 5.59-14.47% | Check rateon College Ave's website on College Ave's website COMPARE RATESon Credible’s website on Credible’s website |
 Ascent Medical Student Loan Check rateon Ascent's website on Ascent's website COMPARE RATESon Credible’s website on Credible’s website | 5.0 /5 | Low-Mid 600s | 5.37-15.11% | 6.69-15.34% | Check rateon Ascent's website on Ascent's website COMPARE RATESon Credible’s website on Credible’s website |
Our pick for
All borrowers as a first option
Start with federal direct unsubsidized loans if low-cost federal health professions student loans aren’t available for medical school.
Federal Subsidized/Unsubsidized Loan
None
5.50-7.05%
N/A
- More flexible repayment options for struggling borrowers than other lenders.
- Subsidized loans do not collect interest while in school or during deferment.
- Lower interest rates than many private lenders.
- You pay an origination fee.
- No credit check or minimum income is needed to borrow.
- Loan amounts for undergraduates: $5,500 year one, $6,500 year two, $7,500 year three and thereafter, up to a total of $31,000
- Independent students and graduate students have higher loan limits.
- Undergraduate interest rate fixed at 3.73%, while grad students get higher 5.28% rate
Our pick for
Manageable payments post-graduation
Federal benefits like student loan forgiveness and income-driven repayment can make grad PLUS loans a better option than private student loans for medical school.
You can postpone payments in residency.
- More flexible repayment options for struggling borrowers compared with private lenders.
- All borrowers who attend a school authorized to receive federal aid can qualify.
- May have higher interest rates compared with private lenders.
- You pay an origination fee.
- You can’t see if you’ll qualify without a hard credit check.
- Grad PLUS loan borrowers must not have adverse credit history.
- Borrowers with adverse credit history can still receive a grad PLUS loan by enlisting a co-signer without adverse credit history or documenting extenuating circumstances for their credit history.
- Loan amounts: Total cost of attendance minus other financial aid.
Our pick for
Private loans for medical school
Sallie Mae Undergraduate Student Loan
Mid-600's
4.50-15.49%
6.37-16.70%
Rating and details displayed are for Sallie Mae's private student loan. You can postpone payments in residency for up to four years.
- One of the few lenders to provide loans to part-time students.
- Non-U.S. citizens, including DACA students, who live in the U.S. and attend school in the U.S. can apply with a qualified co-signer who is a U.S. citizen or permanent resident.
- You can't see if you’ll qualify and what rate you’ll get without a hard credit check.
- Typical credit score of approved borrowers or co-signers: Does not disclose.
- Minimum income: Did not disclose.
- Loan amounts: $1,000 up to 100% of the school-certified expenses.
College Ave Medical Student Loan
Mid-600s
4.49-14.47%
5.59-14.47%
- You can see if you’ll qualify and what rate you’ll get without a hard credit check.
- International students can qualify with a co-signer.
- You can defer payments up to an additional 48 months during fellowship after your grace period.
- You must be at least halfway through your repayment term before you can request a co-signer release.
- Typical credit score of approved borrowers: Mid-700s.
- Minimum income: $35,000 per year.
- Loan amounts: $1,000 up to the total cost of attendance.
Ascent Medical Student Loan
Low-Mid 600s
5.37-15.11%
6.69-15.34%
Rating and details displayed are for Ascent's private student loan. Ascent's medical school loan lets you defer payments for up to 36 months after you finish school.
- Among the best for payment flexibility.
- Grace period of 36 months is longer than many lenders offer.
- You can see if you’ll qualify and what rate you’ll get without a hard credit check.
- Stands out for features that enable faster loan repayment.
- Typical credit score of approved borrowers or co-signers: Not available.
- Minimum income: Not available.
- Loan amounts: up to $400,000.
Earnest Undergraduate Loan
650
4.42-15.90%
5.62-16.20%
- Option to skip one payment every 12 months.
- No late fees.
- Nine-month grace period is longer than most lenders offer.
- Loans aren't available in Nevada.
- Typical credit score of approved borrowers: 758.
- Minimum income: $35,000.
- Loan amounts: $1,000 up to your total cost of attendance.
Discover Health Professions Loan
Varies
5.49-10.99%
6.62-12.49%
- International and DACA students can qualify with a qualified U.S. citizen or permanent resident co-signer.
- No late fees.
- You can’t see if you’ll qualify and what rate you’ll get without a hard credit check.
Education Loan Finance Private Student Loan
680
4.48-12.29%
4.98-12.79%
- You can see if you’ll qualify and what rate you’ll get without a hard credit check.
- You are assigned a student loan advisor.
- No co-signer release available.
- Typical credit score of approved borrowers or co-signers: Not available.
- Minimum income: $35,000.
- Loan amounts: $1,000 up to your total cost of attendance.
Nelnet Bank Private Student Loan
Mid to High 600s
4.49-15.47%
6.30-15.52%
- Provides rate offer with soft credit check.
- Does not disclose full underwriting requirements.
- Does not allow bi-weekly payments via autopay.
- Typical credit score of approved borrowers: Did not disclose.
- Loan amounts: $1,000 with an aggregate loan limit of $125,000
Our pick for
International medical students
International students without an eligible co-signer have fewer options to get a student loan for medical school.
MPOWER Private Student Loan
None
13.74-15.01%
N/A
- Offers a hard-to-find option: non-co-signed student loans for international and DACA students.
- Borrowers are assigned a dedicated student loan advisor.
- Borrowers can request forbearance of up to 24 months, which is longer than many lenders offer.
- Payment required while in school and during the grace period.
- Offers only one repayment term: 10 years.
- MPOWER considers future income potential but does not factor in credit scores.
- Loan amounts: Minimum $2,001. Maximum loan is $100,000, limited to $25,000 per academic period.
Our pick for
Borrowers from Texas
Brazos Private Student Loan
680
2.77-6.96%
5.00-9.44%
- May offer lower rates for graduate students than what are available through the federal government.
- Applies extra payments to the loan principal by default.
- Offers five loan terms, which is more than most lenders.
- Not available to borrowers enrolled in two year programs at community colleges.
- Biweekly payments via autopay is not available.
Federal loans for medical school
There are multiple types of federal loans for medical school. Consider them in this order:
Federal health professions student loans. These loans have interest subsidies and lower interest rates than other federal loans. But they're only available to borrowers who demonstrate financial need and attend participating schools. Ask your school about its application process to see if you qualify.
Federal direct unsubsidized loans. These loans aren't based on financial need, and medical students should max out these loans before PLUS loans because they have lower interest rates and fees. You can borrow up to $20,500 per year and $138,500 total, including any undergraduate loans.
Federal PLUS loans. Consider PLUS loans after you've exhausted other federal loans for medical school. PLUS loan interest rates are 7.54% for the 2022-23 school year, which may be close to the rate you'd get with a private loan. But PLUS loans come with a 4.228% fee that most private lenders don't charge.
To get federal loans for medical school, complete the Free Application for Federal Student Aid — this FAFSA guide can help. If your school participates in the health professions student loan program, you may need to fill out a different application.
There's no credit check for direct unsubsidized loans. There is a credit check for PLUS loans, but you don't necessarily need good credit to qualify — you just can't have adverse credit history or negative marks on your credit.
Private medical school loans
Private medical school loans can make sense if you have excellent credit and don't plan to pursue Public Service Loan Forgiveness. Unlike federal loans, which have the same fixed rates for all borrowers, private loans have lower rates for borrowers with good credit, and they typically don't have fees.
Before approving you, the lender will do a hard credit pull to check your credit history. The interest rate you get will depend on factors like your credit, the loan term and whether you choose a fixed or variable rate.
Many lenders — including Ascent, Sallie Mae and Wells Fargo — offer private medical school loans with specific benefits for aspiring health professionals, like the ability to postpone or make reduced payments during residency. Weigh such features vs. getting the lowest interest rate possible.
Medical school loans for international students
International students aren't eligible for federal student loans. But they may be able to qualify for a private medical school loan with an eligible co-signer.
If you're an international medical student without a credit history or co-signer, you'll have fewer options.
MPOWER lends to international students, but caps loan amounts at $50,000 annually, which may not be enough to cover med school. Prodigy Finance offers higher loan limits ($220,000) but isn't available in every state.
Managing medical school loans
Going to medical school means taking on a lot of medical school loans. The average medical school debt among the class of 2019 was $201,490.
Explore tactics for paying off medical school debt before you borrow. Depending on your career goals and the type of loans you have, the best strategy may be refinancing medical school loans during or after your residency, seeking loan forgiveness for doctors or riding out an an income-driven repayment plan.
STUDENT LOAN RATINGS METHODOLOGY
Our survey of more than 29 banks, credit unions and online lenders offering student loans and student loan refinancing includes the top 10 lenders by market share and top 10 lenders by online search volume, as well as lenders that serve specialty or nontraditional markets.
We consider 40 features and data points for each financial institution. Depending on the category, these include the availability of biweekly payments through autopay, minimum credit score and income requirement disclosures, availability to borrowers in all states, extended grace periods and in-house customer service.
The stars represent ratings from poor (one star) to excellent (five stars). Ratings are rounded to the nearest half-star.
Read more about our ratings methodologies for student loans and our editorial guidelines.
Last updated on August 30, 2023
NerdWallet's Best Medical School Loans of December 2023
- Federal Subsidized/Unsubsidized Loan: Best for All borrowers as a first option
- Federal Grad PLUS Loan: Best for Manageable payments post-graduation
- Sallie Mae Undergraduate Student Loan: Best for Private loans for medical school
- College Ave Medical Student Loan: Best for Private loans for medical school
- Ascent Medical Student Loan: Best for Private loans for medical school
- Earnest Undergraduate Loan: Best for Private loans for medical school
- Discover Health Professions Loan: Best for Private loans for medical school
- Education Loan Finance Private Student Loan: Best for Private loans for medical school
- MPOWER Private Student Loan: Best for International medical students
- Brazos Private Student Loan: Best for Borrowers from Texas
- Nelnet Bank Private Student Loan: Best for Private loans for medical school
Frequently asked questions
- How much can you borrow for medical school?
Medical students can get up to $20,500 per year and $138,500 total in unsubsidized federal student loans. You can borrow up to your cost of attendance in federal PLUS loans or private student loans.
- What types of loans can medical students receive?
To pay for medical school, you may be able to receive federal health professions student loans (only at participating schools); federal unsubsidized and PLUS loans; and private student loans.
- Can you get subsidized loans for medical school?
Medical students aren’t eligible for subsidized federal loans. But you may receive subsidized health professions student loans if your school participates in this program and you have financial need.
- What is the best loan for medical school?
Federal student loans are typically your best bet for medical school because they offer benefits that private loans lack, like income-driven repayment plans and loan forgiveness programs.
