Loans for Flight Training

[MarineGrunt]

I'm putting together a powerpoint presentation for my students and I am including a slide on how to make their training go more smoothly. One item is to obtain a loan for flight training. So my question for you is, where can you get one? AOPA, EAA, etc?

 

[New2Flying]

Loans

It might be possible to get a loan, if the school they are attending is accredited. They have to be part of the Federal Loan Programs for schooling. Any large university that has a flight program would work. You might take a look at the website www.fasfa.gov (I think that is the website address).

 

[cessna_driver2]

AOPA does offer loans for flight training. Intrest is about as much as their credit card. They also offer several additional lines of credit. Just have to call them up and ask.

 

[great cornholio]

Heres a links to the programs one of the flights schools I used to teach at used.
www.wellsfargo.com
www.key.com
www.pilotfinance.com

 

[whatwasthat?]

I would suggest an alternative that is working very well for me. I have a loan from a local bank where my family has being doing business for quite a while. It's a secured loan with a floating interest of prime plus 2%. Only the interest is due every month (about $70 for $12,000 I still owe on $20,000 I borrowed 2 years ago). It will never mature like most student loans where you're hit with a big monthly bill 6 months after you finish and are making barely enough for Smack Ramen. The bank likes it because the longer you defer on the principle, the more they make and they risk nothing because it's collatoralized. The smaller banks can be flexible sometimes so it's worth a try. It gives you some leeway for the leaner times and you can always send them any extra money you have.
If possible arrange for it to be a "line of credit" as opposed to a simple loan so that you can continue to borrow against it if necessary down the road.

 

[cessna_driver2]

That was the other thing aopa was offering a little while back. A revolving line of credit. I couldn't think of the term for it. Everytime you accessed the credit it cost you 100 bucks but it was there if you needed it.

 

[Toy Soldier]

In addition to the above ideas, one student of mine got an open "home equity loan". All he did was write checks and wallah. I don't know much about it other than that though.