AMA applauds new law to help med students/residents better manage loans

AMA continues to seek New pathways to help students manage debt burden

Statement attributable to:
Kendall Allred
Medical Student Board Member
American Medical Association

“The American Medical Association applauds the passage of the Higher Education Act (HEA), signed into law by the President yesterday. The reauthorization of the HEA, the first in a decade, will require greater transparency on behalf of lenders and give students more information to enhance their financial literacy and better manage their loans.

“Helping medical students finance their education is a vital step toward ensuring the physician workforce meets the health care needs of our nation. The cost of medical education can deter many young Americans from choosing a career in medicine. The average medical graduate carries a debt burden of more than $139,000.

“The AMA will continue to work with the Administration and House and Senate committees to seek new loan deferment pathways to assist medical students and residents better manage their high debt burden during their initial year of residency. The AMA supports bills currently pending in both houses, S. 2303 and H.R. 4344, that would permanently restore the 20/220 pathway, a loan deferment program for eligible medical residents.”

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For more information, please contact:

Mollie Turner
AMA Media Relations
(202) 789-7430