It’s full steam ahead for a financial shake-up as I’m preparing to go to medical school and take on six figures of debt (barf).
I wrote about my extra $700 plan and had come up with two situations.
I’m excited to say that I am now acting out Option 2: Pants Pooping Plan.
It is so true that I’m absolutely trying to hold back on buying everything in sight. My partner is amazing and very carefully explained to me that going out and buying a car to put on a line of credit you don’t even have yet is not the best idea. Brilliant right?
So alas, it’s window shopping for me.
I will likely get some new professional clothes because although I do have a good start from actually working the past 3 years, I think 6 hours of class a day with anatomy and the possibility of actually seeing patients calls for maybe not wearing my grandma’s hand-me-downs.
And I’m going to go see my parents, which I didn’t do at Christmas. I will possibly do another trip to see some friends but I’ll see.
I did put in my resignation, so I will only be working for another month (eek!) so I will put the next month’s $700 directly into savings.
I’ve cancelled one of my pre-authorized payment plans at my bank that went into my RRSP and I will likely cancel the other (this was $25 twice a month- which I haven’t written about because it was so small). I know you can pull out money from the RRSP to go back to school, but I don’t really have that much in it at the moment so I may just keep it all in there.
The only other automatic debits from my account is for my newly acquired tenant insurance. Not sure what to do about that, but I will talk to that bank in person this week.
I have to sign off on my student loan to say I’m going back to school which will trigger it to be interest- and payment-free until I graduate.
My $6000 tuition goal was met early, which is great, because I already have some school costs coming up. I will keep track of the reason, date and amount of the withdrawals from this.
I’ve started to research lines of credit at the big banks, most of which offer a student line of credit for professional programs, and I do have meetings set up with 3 of the 4 who I’ve heard good things about. This is my first experience with a line of credit, and we are talking about the range of $200,000- $275,000 (seriously, they give you this much just by showing an admission) so I’m a little overwhelmed by it all. Do people have experience with lines of credit at any particular bank in Canada? Do you just move money from the line of credit down to debit to pay for things? Or do you put everything on a credit card and pay it off with the LOC?
I made a tentative budget for school costs and living costs so I will put it up later once I can confirm the tuition amount.