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Key bank loan?

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ATCT

Keep the Green Between!!!
Joined
Oct 22, 2005
Posts
49
Just wondering if anyone here has taken out the Key Bank loan (im looking at getting it through Pan Am Intl Flight at KBVI). Anywho just want to know how the pay back is? Interest Rate? etc. Are ya happy with it? Was it enough to finish your training? Any help would be appreciated. Im a pvt just about to finish up my degree in Air Traffic Control and looking to go get my IFR, Comm, CFII and MEL. Thanks.


Clint
 
I wouldn't borrow through Key Bank if it was the last bank in the world. They are crooks in my opinion. They added fees to my loan totalling 9000 dollars and when I send them extra money (despite numerous requests) they put it on interest and not on principle.

It will be many years before I am free and I will never do business with them again and will encourage anybody I come in contact with never to borrow from Key Bank.
 
Well I dont know how everyone else feels about them but I have "Good" credit according to Sallie Mae and was applying to get enough money to do a Private Pilots and was going to barrow about $7500. They quoted me 10% ARP plus prime over 10 years to pay it back. They wanted over $6000 in interest. And of course like any loan there were the other charges I believe $400 processing fee. Needless to say I'm looking for other options. But with any loan unless you got a car for about 3% APR you are going to pay a lot in interest more than likely. Like I said I had good credit and just back in Feburary I got a car loan for only 3% APR. So its your call but any way you do it unless you have a way to get money w/o interest you will be paying a nice amount in interest. Best of luck any way you go!
 
Sure as long as you know the payments for said loans are equal to 500 bucks or more a month and your MONTHLY PAYMENT for the next 2-3 years will be 1000-1500K. Do the MATH. Can you make it, sure you can, make a a new paradigm.


A ship without rudder is like a ship without a rudder.


Bottom line, leave aviation to the the wealthy, kido.

goodday.
 
macfly said:
Bottom line, leave aviation to the the wealthy, kido.

That's gotta be one of the more condescending (and inaccurate) things I've read on here. I think it would be more fair to say "leave aviation to the determined"...if you have the passion, you will find a way.

IF you are going to do a loan, DO NOT go with Key Bank. Whoever said they are crooks is absolutely right. I haven't begun paying back on mine yet, but they're nipping at my heels already over the Airman fiasco.

Think of the arguments for loan vs. pay-as-you-go like this: A few years of working 2-3 jobs, barely existant social life, Suave shampoo, Kraft macaroni and cheese and escaping with your ratings debt-free vs. 30 years of all of the above to pay off a loan that saved you a little bit of time.

I wish I had thought of it that way 6 months ago.

MFR
 
I'm using Key for my loan at PAIFA-DVT. I got a decent interest rate (don't remember off the top of my head exact number), but that's primarily because my dad cosigned and he has perfect credit. Key mailed checks to me, I deposit in separate bank account, and give PAIFA a check for a smaller amount ($3-5K) when my balance gets low so I don't get completely screwed if something happens.

Consider a cosigner if available. Repayment begins upon completion of training (PM me for details on "delayed" repayment). Interest begins accruing when they make the first disbursement, but only for that amount. It's going fine for me so far, but then again, I haven't started repayment yet. Good luck.
 
macfly said:
Bottom line, leave aviation to the the wealthy, kido.
Thats bullsh1t... Some of the poorest people I know are pilots! :D

I'm a former Key Bank'er and I would not recommend them to anyone, they are horrible to deal with and like the other user said, they tend to tack on stuff from time to time. And the plan and "help" that they say they'll give you if you need it is pretty much misleading as well.

It's a variable interest rate loan, and if you go to Pan Am you will be borrowing the full $80-100K, and paying it back over 30 years. Stop and think for a minute how much that variable interest rate is going to be over the next 30 years. The interest rates are okay right now, but don't fool yourself that their not going to be going up over the next few years.

People I know thats paying back the full amount are paying between $575-$650 a month currently. Believe me, you can do your flight training for A LOT LESS somewhere else. The Academy structure will NOT be your key to making it in this biz, I promise. All it's going to ensure you is you pay twice as much for training and be more indebted for 20 years more then if you did it the FBO route.
 
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This thread reminds me, I heard a rumor the other day that Key Bank was going to stop loaning money for pilot training because they were having so many students default on their loans... any truth to that?
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