PRIMARY CARE

LOAN AND SCHOLARSHIP INFORMATION

PRIMARY CARE PROGRAMS

Boston University School of Medicine (BUSM), together with the Department of Health and Human Services (DHHS), has created a pool of loans that are available to medical students who are determined to enter primary care. Primary Health Care is defined as family medicine, general internal medicine, general pediatrics, preventive medicine, or osteopathic general practice. A Residency Training Program in Primary Health Care is defined as a three year residency program in allopathic or osteopathic family medicine, internal medicine, pediatrics, combined medicine/pediatrics, or preventive medicine.

BUSM recommends the following DHHS caution: Students who are uncertain of their commitment to primary health care practice in underserved areas in the United States are advised not to accept a “Primary Care” component of the BUSM student aid award.

A student who is awarded a primary care loan must schedule an appointment with an OSFS representative to discuss the suitability of the award relative to the student’s professional goals. The interview is designed to help confirm the student’s decision, to discuss further details of the award, to clarify questions, and to affirm an understanding of the seriousness of this commitment.

The following are the most important requirements and expectations of the federal Primary Care Loans:

1. The borrower agrees to enter and complete a residency training program in primary health care not later than four years after the date on which the borrower graduates from the institution, practice in primary health care through the date on which the loan is repaid in full, and certify to the institution on an annual basis until the loan is repaid in full that they are training in/practicing primary health care.

2. The interest rate on loans will be 5% per year except as specified under non-compliance. No interest accrues during in-school, grace, and deferment periods.

3. Repayment: Repayment shall be made in equal or graduated periodic installments over a 10 year repayment period, except that the institution may require repayment to be made in an amount not less than $40 per month. The 10 year repayment period begins one year after the borrower ceases to be a full-time student at BUSM. Periods of authorized deferment are not included as part of the 10 year repayment period; the terms and conditions of repayment shall be set forth in a schedule which is approved by the institution and agreed to by the borrower. Payments under the repayment schedule shall be made no less often than quarterly, except that if the borrower is more than 60 days past due on a payment, the remaining balance shall be repaid on a monthly basis.

4. Non-compliance by borrower: If a borrower fails to comply with item 1 above, then the balance due on the loan involved will be immediately recomputed from the date of issuance (using the original principal) at an interest rate of 12% per year and will be payable within three years. For loans issued on/after November 13, 1998, the penalty consists of an increase in the interest rate to 18% at the time the obligation is broken, payable over ten years.

5. Deferment: Principal and interest need not be paid, and interest shall not accrue, while the borrower:

Serves on active duty in the uniformed service of the United States for up to three years.
Serves as a Peace Corps volunteer for up to three years.
Pursues advanced professional training, including internships and residencies in primary health care.
Pursues a full-time course of study at a health professions school eligible for participation in the Health Professions Student Loan program.
Leaves the institution, with the intent to return to the institution as a full-time student, to engage in a full-time educational activity which is directly related to the health profession for which the borrower is preparing, up to two years.
Participates in a fellowship training program or a full-time educational activity which is directly related to the health profession for which the borrower prepared at the institution, and is engaged in by the borrower within 12 months after the completion of the borrower’s participation in advanced professional training, described above or prior to the completion of the borrower’s participation in such training, for up to two years.

However, if the borrower fails to enter and complete a primary care residency program and to practice primary care, interest shall accrue during all periods of deferment.

6. Acceptable post-residency activities include:

Generalist physician graduates of a primary health care residency program who enter clinical practice.
Preventive medicine graduates who practice in the primary health care fields of clinical preventive medicine, occupational medicine or public health.
Senior (chief) residents in one of the primary health care disciplines.
Faculty, administrators, or policy makers who maintain certification in one of the primary health care disciplines.
Family physicians and internists who obtain a certificate of added qualification in geriatrics.
Internists and pediatricians who enter training to qualify for adolescent medicine or board certification in adolescent pediatrics.
Family physicians who enter post-residency training to gain skills in the care of adolescents.
Primary health care physicians who enter training for added qualification in sports medicine.
Special training to prepare physicians for primary care faculty or public policy careers.

Included in the Primary Care Loan pool are the following:

Federal Primary Care Loan (PCL) – The Primary Care Loan is awarded in addition to other institutional assistance for which a student is eligible and is used to replace $7,000 of the standard outside loan assumption. In the event that a student does not qualify for or chooses not to accept the PCL, other institutional assistance will not be increased. Such a student may, however, replace the primary care award with a non institutional loan.

Ruth M. Batson Primary Care Loan

John and Hannah Sandson Student Assistance Loan
John I. Sandson Student Revolving Loan – These are institutional loans with repayment terms identical to the Federal Primary Care Loans except that the institution has somewhat more latitude in defining primary care. The loans do not accrue interest while the borrower is in school and a primary care residency program.

Robert Wood Johnson Loan – This institutional loan fund was established in 1972 through a grant from the RWJ Foundation. The loans charge interest of 3% beginning at repayment, which begins three years after a student completes or otherwise terminates his/her studies. Repayment may extend for ten years.

A student who receives a Primary Care Loan from one fund may not necessarily be awarded from that or other funds in successive years.

Other Primary Care Assistance Programs

Drs. Peter F. Jeffries and Jeanne F. Arnold Medical Scholarship for Rural Practice – This scholarship is awarded to students interested in pursuing family practice in a rural setting. Funds are used to offset travel and/or living expenses associated with rural rotations, summer externships, and attendance at the American Academy of Family Physicians Conference of Student Members. Financial aid applicants are not automatically considered for this scholarship. Interested students may contact OSFS for additional information. Applications are also available at the office on request.

The Pisacano Leadership Foundation – The Foundation provides aid to students who have demonstrated a commitment to family practice, leadership qualities, ability, academic performance, character, interpersonal skills, integrity, communication skills, and involvement in serving others. By aiding such students, the Foundation seeks to promote the development of well-educated, community-minded leaders in family practice.

Scholarships up to $28,000 will be paid over a four year period to help students repay other medical school debt. Only applicants entering the fourth year of medical school are eligible to apply. Applications, available in OSFS, must be received by March 1, 2010. For additional information, call (888) 995-5700 ext 1249