Did you finance your training

Pietrantonio

Pietrantonio

Well-Known Member
Just wondering who financed their flight training, and what lender you went through? I'm about to go with Sallie Mae. They seem to have the best rates, loan limits, and features thus far that I have seen in lenders. What's your story? I don't like the idea of having to finance training, but if I don't, I will never get my career off the ground. I simply do not make enough $$$$ to pay as I go out of pocket. How about you??
 
I was a couple pages short of reading another post involving the same similar issue in regards to loans for flight training. So, you can disregard this one, but if you still feel compelled to post, by all means go ahead. Thanks!
 
I was able to finance the majority of my loans through my state university. Luckily I had scholarships to pay for the academic portion of my degree, so i was able to use my government backed loans to pay for my flight labs. Approx 75% of my loans are government guaranteed loans through Oklahoma State University, and the other 25% are through private lenders, now consolidated by AES.
 
Paid cash for all of it (PPL-IFR-CSEL-CMEL-CFI-CFII). Yes, it did take a couple of years and some patience on my part. Going into this industry with a lot of debt is very unwise.
 
DON'T USE SALLIE MAE! I paid cash for ppl,inst,comm. Then I borrowed about 10k from sallie for a bunch of multi time. They raised my interest rate about 1% every month! I tried to talk to them but I don't speak fluent outsource and they don't speak english. At 14%apr, I finally transferred the loan to a relative and I'm giving them 5%. DON'T USE SALLIE MAE!!!
 
I plan on paying cash for my PPL when i start this spring, then financing another 35k probably thru sallie mae since I already have them for all my stuent loans. I hear Terri loans are good, so i might check them out too, but the good thing about sallie mae is i can combine my student loans with the career training loan and have one payment.
 
Yeah, I have heard that Terri loans are good as well. Haven't looked into them completely, but that's what I heard.
 
Hello,

I am financing my time at ATP with Teri loans. The process was really easy and the rate is the best I've seen. The rate is based off the libor average plus a little. 20-year term and no early repayment penalty.

I also did not want to plunk down the financing but I had to.

Good luck!
 
What I did was take a loan from slm each time I needed to finish a rating at my FBO instead of one big lump sum. It actually worked out better for me since I paid down the smaller loans faster. The interest is a little more and it does add time to your flight training but I was almost debt free after I was done. Getting a +$50,000 loan for a $20,000 job(unstable job at that too) in my opinion is bad economics. But to each their own, what worked for me might not work for someone else, vice-versa... Good luck on whatever your choice is.
 
That's what I am doing right now 3green. I am waiting for sallie mae to make all the final adjustments at the moment, but I am doing the same thing. I've been told that it's the most economical way to take out loans for training, which makes a lot of sense.
 
wrxpilot said:
Paid cash for all of it (PPL-IFR-CSEL-CMEL-CFI-CFII). Yes, it did take a couple of years and some patience on my part. Going into this industry with a lot of debt is very unwise.
Click to expand...

This, by far, is the best way of going if you have the patience and fortitude. Yeah, you don't necessarily have the ability to 'bust through' your ratings but there is MUCH to be said for getting that first job without $40-50-60K grand in debt. Grab a pen, sit down and right out an estimate of what your expenses will be (rent, food, insurance, car payment, STUDENT LOAN, cell phone, credit cards, misc. spending) and then compare it to the average net income of a regional FO. :banghead: Look at the 2nd and 3rd year income as well - it's a gut shot.


Yeah, seniority is huge in this industry, we all know that, but if you have the ability to acquire that first job with little to no debt you'll be leaps and bounds ahead.
 
Just understand what you are getting yourself into...Like Casino's....Banks aint giving out these big loans because most of the people are paying back on time, with very little interest...They are able to give out these loans, because the average person will take whatever he or she can, without ever thinking about the long term (buying a home, new cars, vacation, college for kids, retirement), and the banks make a freaking killing in interest.

It's your life and you are responsible for your own financial situation, so do whatever you'd like....I'd recommend going to a financial planner and giving her your best case and worst case scenario's for the next 20 years and projected earnings, and just see how long and how much more you will be paying back...
 
I financed 20K through SLM. I would HIGHLY recommend trying to get out of your training debt free, but if that isn't possible I would try to avoid SLM. They are nothing more than a legalized loan shark.
 
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