Medical student money guide · SalaryDr × Juno
Medical school
loans, made clear.
You’ve earned your place. Now figure out how to pay for it—with a clear view of federal loans, private options, and what comes next.
A clearer starting point
What’s your funding gap?
Three numbers. One school year. See what’s still left to cover.
The simple equation
Enter all three amounts, including 0 where appropriate, or try the illustration. A gap is a planning number—not a recommendation to take a private loan.
Start with the basics. Borrow only what you need, understand what you’ll repay, and keep your future options in view.
How much do you need to borrow for medical school?
Start with your school's cost of attendance. This is its estimated budget for attending school, including tuition, fees, books, food, and housing. Tuition is only part of that number.
Subtract scholarships, grants, and any savings or other money you plan to use. Scholarships and grants generally do not need to be repaid. Loans do—with interest, the cost of borrowing money.
A loan listed under “financial aid” is still debt. You do not have to accept every dollar offered. The Federal Student Aid guide to reading aid offers can help you tell loans and other aid apart.
Federal vs. private medical school loans
| Federal student loans | Private student loans | |
|---|---|---|
| Who lends the money? | The U.S. Department of Education | A bank, credit union, or other private lender |
| How do you apply? | Complete the FAFSA and follow your school's loan instructions | Apply through a lender and complete its approval process |
| What sets the rate? | Federal rules; the rate is fixed for each loan | The lender's offer; the rate may be fixed or variable |
| How does repayment work? | Federal repayment programs and protections, subject to eligibility | The terms of your loan agreement |
The FAFSA is an application for financial aid, not a loan itself. Your school uses it to determine the federal aid you can receive.
For medical students, a common federal option is a Direct Unsubsidized Loan. “Unsubsidized” means you are responsible for the interest, including while you are in school.
What changed for federal medical school loans in 2026?
Federal rules changed in 2026. Starting July 1, students who do not qualify for a limited exception can no longer take out new Grad PLUS loans. Professional students are generally limited to $50,000 per year in Direct Unsubsidized loans, with additional limits on total borrowing. Some continuing students qualify for different rules. Ask your school's financial aid office which rules apply to you, and check Federal Student Aid's current guidance.
When might you consider a private medical school loan?
That may leave a gap. Here is a simplified example before loan fees—not a loan offer:
| One-year budget | Amount |
|---|---|
| School's estimated total costs | $75,000 |
| Scholarship | −$10,000 |
| Federal loan, assuming eligibility | −$50,000 |
| Amount still to cover | $15,000 |
A private loan might help cover that $15,000. Also ask about additional school aid or ways to reduce expenses.
Private approval is not automatic. A lender may require a cosigner: someone who shares legal responsibility for repaying the loan. Check its requirements before relying on it to pay tuition. Revisit your budget and borrowing needs each school year.
How are medical school loans paid to your school?
For a federal loan, accept the amount you need through your school and complete its instructions. First-time student borrowers complete loan counseling and sign an agreement to repay.
The school applies the money to your school account first. Remaining funds are paid to you for other eligible education expenses, such as housing and books. That money is still part of your loan.
Confirm payment timing with your school. For a private loan, check the process with both your lender and school.
Medical school loan interest and payments during residency
Not making payments does not necessarily mean interest stops. Direct Unsubsidized loans accumulate interest while you are in school. Private loans typically do too, even when the lender allows you to postpone payments.
Before accepting a private offer, compare three things:
- The rate and fees. APR, or annual percentage rate, reflects interest and applicable loan fees. A fixed rate stays the same; a variable rate can change.
- Payments during training. Are payments required in school or residency? If payments can be postponed, for how long, and what happens to the interest?
- The total repayment cost. The loan term is how long you have to repay. More years can mean smaller monthly payments but more interest overall.
Compare offers for the same amount and similar repayment terms. Your rate may differ from the lowest advertised rate. The CFPB's loan guide explains what to check.
How does Juno fit into medical school financing?
Juno brings groups of borrowers together and negotiates loan offers with participating lenders. It offers access to medical school loan options and student-loan refinancing. Joining is free and does not commit you to take a loan.
If you need private financing, Juno is one place to explore offers alongside other quotes. The lender decides whether to approve you and what terms to offer. Joining Juno does not guarantee approval or savings.
You can explore Juno through SalaryDr's page. SalaryDr may earn compensation from referrals to Juno.
When might medical school loan refinancing make sense?
Refinancing means replacing an existing loan with a new private loan. You might compare offers later if you have private debt and your income or credit improves.
Be careful with federal debt. Refinancing it into a private loan permanently removes federal benefits on that debt, including eligible repayment plans based on your income and Public Service Loan Forgiveness. PSLF can forgive remaining eligible federal debt after you meet its payment and employment requirements. Private loans do not qualify for it.
Those benefits can matter during residency and beyond. Review the CFPB's refinancing guidance before giving them up for a lower rate.
Start with your school's financial aid office: “What will this year cost, what aid can I receive, and how much do I still need to cover?” That number gives you a clear place to begin.
Loan rules can change. Use the linked Federal Student Aid and CFPB guidance, and confirm your situation with your school’s financial aid office.