quick question about financing/loan
02-21-2019, 07:00 PM
#1
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quick question about financing/loan
Are there many lenders out there that are aware of how the outlook is for people looking to get into this for a career? Are they aware of the regional shortage? Surely by now they must notice people taking out massive loans and not having too much trouble paying them off once they get their career started.
This in mind, is it very likely one could take out a rather big loan for training? Or would a lender not take you seriously? I've considered quitting my current menial job and taking out a loan for flight training so I can run right through it then just start paying off that debt while time building to 1500 and then working for a regional. Has anyone done this or anything similar?
This in mind, is it very likely one could take out a rather big loan for training? Or would a lender not take you seriously? I've considered quitting my current menial job and taking out a loan for flight training so I can run right through it then just start paying off that debt while time building to 1500 and then working for a regional. Has anyone done this or anything similar?
02-21-2019, 10:26 PM
#3
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Originally Posted by kettlechips
I would caution against taking out a massive loan for flight training. Imagine if you found out you didn't like flying/lost passion, lost medical, or something along those lines
02-22-2019, 05:36 AM
#5
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Lenders are not sympathetic to the status of the industry. History has taught many valuable lessons. As an example, look at what happened to “Silver State Helicopters” during the last downturn. Lenders are only concerned with making money and not lending money to excessively risky clients.
02-22-2019, 06:08 AM
#6
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There are a few lenders out there that you can get a personal loan with. The interest rates for those are fairly high though and the payment wouldn't be deferred. Home Equity loans can work and is what i am hoping to utilize for training at a local FBO. Not sure which area you are in, have you looked for community colleges that offer flight programs? Thatll get you the student loan and deferment you are looking for.
02-22-2019, 10:39 AM
#7
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Originally Posted by chozoghost4
I'd imagine paying the usual rate for the intro flight wouldn't hurt. Other than that we're playing with "what-ifs"
The safest way is just to save up enough money first... Some of those interest rates are quite nasty
I guess you could go to a college with an aviation program and get student loans for that, rates are lower
02-22-2019, 11:30 AM
#8
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If you're dead set on taking out loans, pay for private in cash first or pay as you go. There is no sense in taking out massive loans for something you might lose interest in after or potentially during private. The only way to exercise your private would be recreationally and spending more money doing so.
02-22-2019, 01:47 PM
#9
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As a lender, your credit history and debt-to-income ratio will count more towards getting a loan with decent terms than the current demand for a job.
You can probably find a lender that will do it, but do you really want a loan that you can never get rid of other than paying off? Student loans even survive bankruptcy.
Keep your job and pay as you go. Just my $.02
You can probably find a lender that will do it, but do you really want a loan that you can never get rid of other than paying off? Student loans even survive bankruptcy.
Keep your job and pay as you go. Just my $.02
02-23-2019, 12:45 PM
#10
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Yes, banks care a lot more about credit, debt-to-income and whether the loan is secured or not vs what you plan on doing with the money. You will have a hard time getting that kind of cash with no collateral and the terms will be bad for whatever amount you can get. The best route to get good terms and a good chunk of cash is a home equity loan, otherwise I think you are going to have a very hard time.
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