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Student Loan

Coronavirus (COVID-19)

  • How is my repayment schedule impacted after my COVID-19 forbearance?
    While in COVID-19 forbearance, your previous payment schedule is inactivated. Interest continues to accrue but is not added to the principal balance of your loan. A new payment schedule is recalculated after forbearance to pay the remaining term (including any term extensions as a result of forbearance(s)) of your loan with the outstanding interest that accrued. As a result, your monthly payment will likely increase and your first payments following forbearance will be applied first to the unpaid interest. Please note, if the accrued interest is not paid and you use a different type of forbearance or deferment in the future (one other than the COVID-19 hardship forbearance), the interest could be capitalized at that future time. The below scenarios can provide you a general idea of how much interest may accrue on your loan over a 90-day vs. 180-day forbearance and how the repayment schedule is impacted thereafter.  These scenarios are examples only—they do not reflect your repayment terms, rate, recalculated payment amount, or amount of accrued interest.
    • You have a $180,000 loan with a 15-year fixed rate of 5.25%
    • Your original monthly payment prior to forbearance is $1,446.98
    • You enter forbearance after 12 months into repayment on your loan with an outstanding balance of $171,893
    After 90- of COVID-19 forbearance:
    • You exit forbearance with $2,256 in accrued interest
    • Your new monthly payment is $1,465.88
    To account for the interest that accrued in forbearance, in this example your monthly payment would increase by approximately $19 per month for the remainder of your loan term. After 180-day of COVID-19 forbearance:
    • You exit forbearance with $4,512 in accrued interest – approximately twice as much more interest than with 90-day of forbearance
    • Your new monthly payment is $1,484.78
    To account for the interest that accrued in forbearance, in this example your monthly payment would increase by approximately $38 per month for the remainder of your loan term.
  • I need to extend my COVID-19 hardship forbearance, as my current situation has not improved, and I am not able to make payments at this time. What are my options?
    If you are continuing to experience economic hardship related to the COVID-19 pandemic and require additional relief/assistance, you have the option to request an additional 90 days of COVID-19 hardship forbearance (if have not previously asked for an extension). The COVID-19 forbearance does not count against your total allowance for economic hardship forbearance under the terms of your loan agreement. To inquire about extending your forbearance please contact MOHELA at 1-877-292-6845 (TTY: Dial 711). Please be aware that your loan’s maturity date will be extended by the number of months that you are in forbearance. Interest still accrues but it will not be added to the principal balance of your loan (commonly referred to as capitalizing interest). Rather, the repayment of the interest that accrues during your forbearance period and your outstanding principal balance will be re-calculated over the remaining term of your loan to determine your new monthly payment.  Your new monthly payment will likely be higher than your original monthly payment because of the interest that accrued during the forbearance period.   Please see your Promissory Note for more information regarding the application of your payments. As a result of the interest that accrues during the forbearance period, you may pay more interest over the life of your loan than what was originally disclosed to you, even if you make timely payments. (Note: If the interest accrued during your COVID-19 hardship forbearance is not paid and you use a different type of forbearance or deferment in the future, the interest could be capitalized at that future time).
  • My 90-day forbearance period is coming to an end soon. What happens next?
    Your account will automatically go back to repayment status and you do not need to take any action to end your forbearance period. Please refer to the new repayment schedule letter sentA copy of this letter can be found within the dashboard of your web account at laurelroad.mohela.com. If you were previously enrolled in monthly Auto Payment, that service will automatically resume, and a payment will be deducted from your Bank Account on file with MOHELA on your next scheduled due date. For more details, please refer to your Auto Payment Authorization Agreement.  If you are not enrolled in Auto Payment, you will need to make a payment on your next scheduled due date. Note due to the forbearance, your loan’s maturity date will be extended by the number of months that you were in forbearance. Interest that accrued during the forbearance period will not be added to the principal balance of your loan (commonly referred to as capitalizing interest). Rather, the repayment of the interest that accrued during the forbearance period and your outstanding principal balance will be re-calculated over the remaining term of your loan to determine your new monthly payment.  Your new monthly payment will likely be higher than your original monthly payment because of the interest that accrued during the forbearance period and you may pay more interest over the life of your loan than what was originally disclosed to you, even if you make timely payments.  Please see your Promissory Note for more information regarding the application of your payments. If you are continuing to experience economic hardship related to the COVID-19 pandemic, you have the option to request to an additional 90-day forbearance period, if have not previously asked for an extension.  Please refer to “I need to extend my COVID-19 hardship forbearance…What are my Options?” FAQ for more details.
  • I had previously put my loan into forbearance due to COVID-19 hardship, but I am now back to work or no longer need temporary relief, and I would like to begin making payments again.
    If your personal financial situation has improved since the time you initially put your Laurel Road loan into forbearance you can cancel your forbearance by contacting MOHELA at 1-877-292-6845 (TTY: Dial 711). You can continue to make payments at any time during the forbearance period by logging into your web account at laurelroad.mohela.com. Payments received during the forbearance period will apply first to any fees incurred prior to entering the forbearance, then to outstanding accrued interest, and finally to the principal balance.
  • Will Laurel Road lower rates with the recent federal rate cut?
    Our customers want the best rates and Laurel Road is committed to providing the most competitive rates we can offer. The Fed’s interest rate is just one of several factors used to determine interest rates. Other factors can also include credit quality of applicants and the projected probability of paying off their loans. This is a time of some uncertainty and we appreciate your understanding during this time. We can assure you that we are closely monitoring market conditions to ensure that we are offering the most competitive rates possible.
  • My state temporarily suspended debt collections in response to COVID-19. Does this apply to my student loans?
    Some states have been issuing regulations that halt the collection of debts, including student debts. In many cases these regulations impact past due loans or loans owed directly to the state. However, requirements vary across each state and you should check with your state for specifics. If you have a loan with Laurel Road these regulations do not eliminate the debt. If you are having difficulty repaying your loan due to COVID-19, please contact MOHELA at 1-877-292-6845 (TYY: Dial 711) to inquire about forbearance and hardship relief.
  • Will Laurel Road be offering forbearance for those impacted by COVID-19?

    If you are experiencing an impact to your income as a result of COVID-19, you can request a forbearance of 3 monthly payments. With this COVID-19 forbearance option:

    • Your loan's maturity date will be extended by roughly the  number of months of the forbearance period.
    • Interest will still accrue but it will not be added to the principal balance of your loan. Instead, your first payments after your forbearance will be applied first to this unpaid interest.  This may result in you paying more interest over the life of your loan and your final payment may be larger than your regular monthly payment. (Note: If the accrued interest is not paid and you use a different type of forbearance or deferment in the future, the interest could be capitalized at that future time).
    • The COVID-19 forbearance will not count against your allowance for economic hardship forbearance under the terms of your loan agreement.

    To inquire about this forbearance please contact MOHELA at 1-877-292-6845 (TTY: Dial 711).

  • The federal government passed the CARES Act on Friday, March 27th including provisions to delay student loan payments for 6 months. How does that impact my student loan?
    The federal COVID-19 response stimulus bill passed on March 27th, known as the CARES Act, delays student loan payments for six months until September 30, 2020. If you have previously refinanced your federal student loan with Laurel Road, you do not qualify for this federal program under the CARES Act. If you are an existing Laurel Road customer and are experiencing an impact to your income as a result of COVID-19, you may be eligible for a forbearance or an extension of your existing one. To inquire about forbearance and hardship due to COVID-19, please contact MOHELA at 1-877-292-6845 (TYY: Dial 711).
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About

  • What is the maximum amount I can refinance for my Associate Degree Loans?

    Laurel Road will refinance up to $50,000* for Associate Degree loans in the eligible healthcare field. Please see full eligibility requirements here.

    *Parents who are borrowing on behalf of their children are not subject to the $50,000 loan max

  • Who can I contact for help with my student loans?
    You can contact Laurel Road by sending an email to help@laurelroad.com. Or, you can call us at (855) 245-0989 between the hours of 8:30am to 8:30pm EST Monday through Thursday, and between 8:30am to 5:30pm on Friday. Live chat is available 8:30am to 8:30pm EST Monday through Thursday, and between 8:30am to 5:30pm on Friday and Saturday. Customers using a TDD/TTY device, please use (800) 539-8336.
  • I took out a student loan with Laurel Road. Now you’re part of KeyBank. What does this mean for me?
    If you refinanced your student loans with Laurel Road at any time, there are no changes to your account number, loan terms, payment amount or due date of your loan. Servicing will continue to be handled by MOHELA, our student loan servicing partner. You can continue to contact Laurel Road at (855) 245-0989 with any questions regarding your loan (customers using a TDD/TTY device, please use (800) 539-8336.) or can contact MOHELA about statements and billing at (877) 292-6845 (customers using a TDD/TTY device, please dial 711).
  • Does Laurel Road refinance both federal and private student loans?
    Yes, Laurel Road refinances both federal and private student loans.
  • Does the Laurel Road Student Loan refinance/consolidate Federal loans and private loans?

    Yes, absolutely. Laurel Road will be glad to refinance/consolidate your student loans even if you have already refinanced/consolidated your student loans with another lender.

  • How is my student loan serviced now?
    Student loans refinanced with Laurel Road will continue be serviced by MOHELA, our student loan servicing partner. If you have any questions about your student loan payments after funding your loan with Laurel Road, please call MOHELA at (877) 292-6845. Clients using a TDD/TTY device, please use (800) 539-8336.
  • Does Laurel Road refinance/consolidate both federal and private student loans?
    Yes, Laurel Road refinances/consolidates both federal and private student loans, even if you have already refinanced/consolidated your student loans with another lender.
  • Who can I contact for help with my graduate school student loans?
    For loan applications received before July 25, 2019: You can contact CampusDoor (answers@campusdoor.com) with questions about your application, approval, or the disbursement of your funds. If the funds are disbursed, you should contact our loan servicing partner, MOHELA, by calling (877) 292-6845 (TTY: Dial 711) Monday through Thursday 7:00 a.m. to 9:00 p.m. CT or Friday 7:00 a.m. to 5:00 p.m. CT. For loan applications received after July 25, 2019: You can contact Laurel Road (edprocessing@laurelroad.com) with questions about your application, approval, or the disbursement of your funds. If the funds are disbursed, you should contact our loan servicing partner, MOHELA, by calling (877) 292-6845 (TTY: Dial 711) Monday through Thursday 7:00 a.m. to 9:00 p.m. CT or Friday 7:00 a.m. to 5:00 p.m. CT.
  • Are my Laurel Road loans considered student loans for tax purposes?
    Yes, student loans that Laurel Road has refinanced are considered student loans for federal and state tax consideration. Please note that you may or may not be eligible for interest deduction depending on your individual tax situation. Please consult your tax advisor for more information.
  • Can I still take advantage of federal benefits after I refinance my federal loans with Laurel Road?
    If you are refinancing any federal student loans with Laurel Road, you will no longer be able to take advantage of federal income driven repayment programs or student loan forgiveness, including but not limited to: Income Based Repayment (IBR), Pay As You Earn (PAYE) or Revised Pay As You Earn (REPAYE), and Public Service Loan Forgiveness (PSLF). For more information about the benefits of these federal programs and other federal student loan programs, please visit https://studentloans.gov.
  • What is the earliest point at which I can refinance my loan?
    For graduate students and undergraduates in the healthcare industry, Laurel Road can refinance your student loans as early as your final semester of school, so long as you have a signed contract or letter of employment. Also, you do not need to wait until the end of your grace or in-school deferment period to refinance, as Laurel Road will honor up to 12-months of remaining grace or in-school deferment periods. For undergraduates with non-Healthcare related degrees, Laurel Road can refinance your student loans if you’ve been employed for at least 12 months. Additional requirements exist for associate degree applicants. Click here to learn more.
  • When is the right time to refinance?
    It's easy to check if you are eligible for a lower rate. Find the loan that is right for you on our homepage and within a few minutes, we will be able to give you a rate you are eligible for. If this rate is lower than what you are currently paying, you should consider refinancing immediately. The sooner you refinance to a lower rate, the sooner you start saving.
  • Why should I refinance my student loan?
    Refinancing student loans may add up to significant savings. For example, if you refinance multiple loans into one loan with a lower rate, and keep the loan term the same, you will accrue less interest over the life of the loan, saving you money on a monthly basis and over the course of the loan.
  • What is the difference between consolidation and refinancing?
    In student loan consolidation, the original lender(s) remain the same. In these instances, two or more student loans are combined into one loan with one interest rate and one loan servicer. Most student loan consolidations involve federal loans. When a borrower consolidates their federal student loans into a federal Direct Consolidation Loan, the consolidated loan’s rate is a weighted average of the original loans' rates. Student loan consolidation ensures your loan payments are streamlined into one payment in order to alleviate the burden of having to pay multiple lenders on a monthly basis. In most student loan refinancing cases, the lender changes; two or more student loans are combined into one loan with a new lender at a lower interest rate. Borrowers find that this allows them to pay less interest over the life of the loan, providing them with valuable savings.
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Payments

  • Can I make additional payments to my Laurel Road loan?
    You may make additional payments greater than the installment amount at any time without penalty. Additional payments are applied to your principal balance after all outstanding interest is satisfied.
  • How will my payments be applied to my Laurel Road Loan?
    Standard Payment Application: Payment is applied first toward any late fees, next to outstanding accrued interest then to the principal balance. Partial Payments: Payments less than the required monthly installment amount are applied using the standard payment application. Payments less than the required monthly amount may cause your account to become delinquent. We may report information about your account to consumer reporting agencies. Late payments, missed payments or defaults on your account may be reflected on your credit report.
  • What if I have 12 months or less left of residency, am I eligible for Reduced Payments?
    Yes, if your loan is approved, you will be eligible to make Reduced Payments for 12 months. You may pay more than the $25 at any time with no pre-payment penalty. Should you pay more, your payment will be applied first to any applicable fees, unpaid interest, and then to principal. After 12 months, any unpaid interest will capitalize, and a new repayment schedule will be calculated to reflect your full monthly payment.
  • What is a payoff statement? How do I get one?
    A payoff statement is a document from your current lender that tells Laurel Road exactly how much we need to pay them in order to pay off your student loan with that lender. This is different from the monthly statement you receive and is only generated when the borrower requests it from the lender either online or over the phone. Each lender has its own process for generating payoff statements and providing them to borrowers. Laurel Road requires the payoff statement to finalize the loan for you so that we can pay off your current lenders and then become your new lender. Step by step directions explaining how to generate payoff statements with select lenders are available within the Laurel Road dashboard, which you can access after you begin your application.
  • Can I change my monthly payment date?
    Our payment processor, MOHELA, allows customers to request a due date change via their website, which is processed within 1-2 billing cycles.
  • When will my first payment be due?
    Your first payment will be due 1 month from the date of your disbursement.
  • What information must I provide to obtain my referral payment?
    In order to issue referral payments, Laurel Road needs your social security number and your mailing address if you are receiving payment by check. Laurel Road will report to the IRS the value of any Referral Program payments. Any applicable taxes are the responsibility of the applicant. When you participate in this program, you will be given the opportunity to provide this information to us so that we can issue your payments seamlessly.
  • Does Laurel Road forgive my loan in the event of death or permanent disability?
    Yes. Laurel Road will forgive the remaining student loan balance in the event of borrower death, and some or all of the remaining student loan balance if the borrower demonstrates a significant unanticipated permanent reduction in his or her income due to permanent disability. Laurel Road began to offer this provision in the spring of 2015 and only loans originated after that point are eligible.
  • Does Laurel Road offer forbearance in the event that I lose my job and become unemployed?
    Yes, borrowers may apply for forbearance if they experience a qualifying economic hardship. In these instances you may be eligible for full or partial forbearance payments for one or more 3-month periods, not to exceed 12 months in the aggregate during the term of your loan. Laurel Road will review all forbearance requests and grant such requests for qualified hardship reasons, such as involuntary job loss or unpaid maternity leave.
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Rates

  • What is the EFT discount? How can I get it?
    It is very easy to get this discount. If you make your monthly payments via an automatic electronic fund transfer (EFT) from a bank account, then your rate will be decreased by 0.25%. If, however, you stop making automatic payments via EFT, then your rates will go back to their regular levels. Rates advertised on this site include the 0.25% EFT discount.
  • Does Laurel Road offer a discount for setting up automatic payments?
    Yes. If you set up automatic loan payments from a bank account via electronic fund transfer (EFT), Laurel Road will lower your interest rate by 0.25%. That lower interest rate will continue as long as you make payments via EFT. Rates advertised on this site include the 0.25% EFT discount.
  • How is Laurel Road able to offer such low rates?
    Laurel Road recognizes that the best borrowers are those that carry lower risk. We have a team of financial experts that work to assess the rates we can offer based on risk criteria and since we work with credit worthy borrowers, we are able to offer favorable rates.
  • Should I choose a variable rate or a fixed rate on my student loan?
    It depends on what you are looking for. While the variable rate option offers lower rates and monthly payments initially, you risk paying a higher rate than the fixed rate option in the event that short term interest rates rise. The variable rate option has a rate cap, and you may be comfortable with this risk if you believe you will pay off the loan early or make enough money in the future to cover potentially higher payments. Fixed rates start out higher than variable rates, but interest rates do not change over the life of the loan. You may also want to consider a hybrid approach – a partial variable rate and partial fixed rate – to mitigate interest rate risk. To discuss your specific situation and/or the tradeoffs involved with these options, please contact our Customer Service team.
  • What is 1-Month LIBOR?
    LIBOR, or London Interbank Offered Rate, is a benchmark index used to calculate interest rates on variable rate loans. This index is published daily on The Wall Street Journal’s website. Laurel Road’s variable rate is calculated every month by adding a fixed margin to 1-Month LIBOR published on the 25th day of each month. The variable interest rate and monthly payment on a Laurel Road variable rate loan will increase or decrease as the 1-Month LIBOR index increases or decreases.
  • What is the maximum rate I could pay on a variable rate loan (i.e. the rate cap)?
    Borrowers who take out a variable loan with a term of 5 to 10 years will have a maximum interest rate of 9%. Borrowers who take out a variable loan over 10 years will have a maximum interest rate of 10%.
  • How does Laurel Road offer such low rates?
    Laurel Road recognizes that, as a working professional who has successfully graduated, you have earned the opportunity to receive lower student loan rates. Working professionals have proven their ability to pay back their student loans, which often allows us to offer you a better rate.
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Refer-A-Friend

  • Is there any limit to how many borrowers I can refer or how much I can earn?
    You can earn up to $400 when you refer a friend and they close a loan with us, up to 10 times per calendar year. Please refer to the program rules here.
  • Who can participate in Laurel Road’s Referral Program?
    Anyone can refer friends or family members to Laurel Road for student loans. You do not have to be a Laurel Road customer in order to refer someone to Laurel Road and be eligible for our referral incentive. In cases where multiple referrals may be equated to one potential borrower, only one referring person will be eligible for the referral incentive. Under the referral program, referred borrowers are not eligible for other promotional offers.
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Residents

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Application

  • Will I hurt my credit score if I apply to multiple student loan refinance lenders at the same time?
    According to the Fair Isaac Corporation, multiple credit inquiries from different student lenders in a short period of time will be counted as one inquiry only, which mitigates the impact on your credit score. For more information, please visit https://www.myfico.com/credit-education/credit-checks/credit-report-inquiries/.
  • What documents do I need to complete the student loan refinance application?

    Most of our loans, you only need four types of documents—photo ID, graduation verification, two recent pay stubs or other proof of income, and your current student loan payoff statements.

  • How does the student loan refinancing process work?
    It’s actually pretty simple – the entire application is completed online, and you can receive preliminary rate in as little as 5 minutes.
    1. Fill out a short application with basic information about your loan, education, and employment. Once you authorize a soft credit pull and assuming you have provided enough information, we will provide you with preliminary rates, which are conditional upon further underwriting review and authorize a hard credit pull.
    2. Upload your supporting documents to Laurel Road’s secure dashboard and authorize a hard credit pull to complete your online application. Once we have received your application, we will underwrite your loan and provide you with your final rates and loan terms if approved.
    3. Select your loan type and term, and e-sign all necessary disclosures and your promissory note in the Laurel Road dashboard.
    Laurel Road will pay off your student loans to your current lenders and provide you with instructions to set up the servicing of your new loan. Your first payment to Laurel Road will be due one month from your disbursement date.
  • How do I add a cosigner to my Laurel Road loan?
    You will have an opportunity to add a cosigner to your loan during the application process. The cosigner will receive an email from Laurel Road inviting them to upload the necessary documents via our secure online dashboard.
  • Do I need a cosigner on my loan?
    You do not need a cosigner, but a cosigner may improve your chances of being approved for a Laurel Road Loan if you do not meet our credit criteria on your own.
  • Will applying for a loan with Laurel Road impact my credit score?
    Laurel Road will perform a soft credit pull at the start of the application process to provide you with conditional rates and loan terms; this has no impact on your credit score. If you choose to move forward with your loan application, Laurel Road will make a hard credit inquiry so that we may view your full credit report and make final rate offers. These hard credit inquiries are common and necessary to obtain any loan, but do show up on your credit report.
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Terms

  • Can I refinance a federal or private parent loan that I took out to finance my child’s education?
    Yes. With Laurel Road, you have the option to refinance student debt that you took out on behalf of your child once your child has graduated. If you choose to keep the loan in your name, Laurel Road will underwrite your loan according to your eligibility. If you choose to refinance the loan in your child’s name, the loan will be underwritten based on your child’s eligibility.
  • Can I pick a term besides 5, 7, 10, 15, or 20 years?
    Yes, Laurel Road can offer you any term below 20 years, subject to our underwriting criteria. Apply online for your loan as a first step and then contact us to let us know which term you would like.
  • Do I need to refinance all of my student loans? Can I refinance some student loans but not others?
    Of course! You can choose to refinance all of your student loans or just certain loans. When you apply with Laurel Road, you will have the opportunity to indicate the amount of student debt you would like to refinance and – if you have more than one loan – exactly which student loans to refinance.
  • Can I refinance if my student loan is in a grace or in-school deferment period?
    Yes, Laurel Road will honor your existing grace or in-school deferment periods set up by your previous lenders. If you choose to refinance your student loan during these periods, your payments with Laurel Road will not commence until the grace period has expired. When you apply with Laurel Road, please indicate the expiration date of your grace period.
  • What is the minimum and maximum amount I can refinance with Laurel Road?
    The minimum loan size that Laurel Road will refinance is $5,000. We do not have a maximum.
  • Does Laurel Road have any geographic limitations for their lending programs?
    Laurel Road currently refinances student loans in all 50 states, Washington, D.C., and Puerto Rico.
  • Can Laurel Road refinance my student loan if I have already refinanced with another lender?
    Yes – Laurel Road can refinance your loan even if you have already refinanced it with another lender.
  • Who is eligible to refinance their student loan with Laurel Road?
    U.S. citizens or permanent residents with a valid I-551 form (“permanent green card”) are eligible to refinance student debts with Laurel Road. Laurel Road refinances student loans for working professionals with four-year undergraduate and/or graduate degrees from Title IV accredited institutions, as well as for professionals who have an associate degree* in designated professions. Graduate students and undergraduates in the healthcare industry can refinance student loans as early as their final semester of school, so long as they have a signed contract or letter of employment. Undergraduates with non-Healthcare related degrees can refinance student loans after 12 months of employment following graduation. We also refinance student loans for parents who took out debt to finance their child’s education. To be eligible for the Parent Student Loan Refinancing Program, the child must have attended a Title IV School but does not need to have graduated. Loan eligibility depends on lending criteria, such as your credit profile, monthly income, and monthly debt payments. * Additional eligibility requirements for Associate degree applicants: The applicant must either be currently enrolled and in the final term of the associate degree program at a Title IV eligible school with an offer of employment in the same field in which they will receive the associate degree OR have graduated from a school that is Title IV eligible with an associate degree in the following eligible programs. The graduate must be employed, for a minimum of 12 months, in the same field of study of the associate degree earned:
    • Cardiovascular Technologist (CVT)
    • Dental Hygiene
    • Diagnostic Medical Sonography
    • EMT/Paramedics
    • Nuclear Technician
    • Nursing
    • Occupational Therapy Assistant
    • Pharmacy Technician
    • Physical Therapy Assistant
    • Radiation Therapy
    • Radiologic/MRI Technologist
    • Respiratory Therapy
    • Surgical Technologist
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