What kind of %Apr do u guys have?

[foretwoone]

I finally decided on a flight school, now i've gota get financed. Im taking out 15K, but i have no credit(im 17) so i assume my interest will be pretty high. I think im doing Sallie Mae but i would like to hear what kind of interest you all pay and who financed you. Pilot Finance seems alittle high, and you need to start payment after 30 days, atleast with SLM i could defer for a year or two.

 

[JaceTheAce]

I don't think people would like to reveal their APR percentage - it reflects upon their credit rating

 

[MarkE]

Sallie Mae will probably require you to have a co-signer so it will be dependant on their credit rating. My guess is you can expect to pay between 12%-18%. It's hard to get really low rates on loans such as this due to the fact that it's unsecured....nothing to use as colateral. Of course you may find out different and there's more people on here that have taken out loans and more familiar with them. just adding my 2 cents. Also remember that if you defer paying back for a year or two that interest will accumulate on the 15K for those two years. So lets say you get a rate of 12%, if you defer for 2 years you'll be paying an extra $3600 in interest on a 15K loan. just something to consider.

 

[frog_flyer]

loans suck.

rob a bank. its tax free, interest free, and its sooo easy.

 

[Brazilian_Pilot]

You are not gonna get a loan unless you have a cosginer. Like you said you are seventeen so your "contract" with the bank is technically voidable until you turn 18, you also said you have no credit. I'd talk to your parents about getting it co-signed, after paying it for 2 years they can petition to be remove as co-signers

 

[Adam2006]

Pilot finance will not help you build your credit either, as they only report deliquincies(sp?). I would find a lender that will help you build your credit, as it is needed in this game called life. Also, why defer payments, especially if you live with the folks!

 

[JaceTheAce]

You will definately need a cosigner. I didn't need one, but my interest rate reduced a little bit because my father has a very high credit rating.

Get a credit card as soon as you turn 18, buy small inexpensive items on it, PAY IT OFF EVERY MONTH, and build your credit that way. Get a small car loan (don't spend more than 6k-8k on a car at your age) because auto loans are a great way to build good credit. This is assuming you make your payments on time. Missed payments will show up on your credit report for 2 years and accounts going into collections (or repo on your auto loan) will show up for a nice lovely SEVEN years on your credit report.

Typically, lenders won't even look at you until you have at least 3 tradelines on your credit report (FICO score can't be generated without 3 or more tradelines).

People underestimate the powers of what bad credit can do to your life...

 

[Aaron_Kearney]

Get a credit card as soon as you turn 18, buy small inexpensive items on it, PAY IT OFF EVERY MONTH, and build your credit that way.

I would take this piece of advice with a huge lump of sodium chloride:

< NaCl(s) --> Na+ + Cl- ... AP Chemistry test is next week )

Anyways, everything I've heard about getting a credit card young is BAD because people but way too much and can't cover the debt. So if you do get one, I would keep VERY close tabs on what you spend and always pay the max available for the month.

On a sidenote, I know someone that had credit card companies recruiting on his college campus and giving away free meals at a fast food place. He ended up getting several free meals by sending in several registrations but never filling in his bank account #

 

[Maximilian_Jenius]

You will definately need a cosigner. I didn't need one, but my interest rate reduced a little bit because my father has a very high credit rating.

Get a credit card as soon as you turn 18, buy small inexpensive items on it, PAY IT OFF EVERY MONTH, and build your credit that way. Get a small car loan (don't spend more than 6k-8k on a car at your age) because auto loans are a great way to build good credit. This is assuming you make your payments on time. Missed payments will show up on your credit report for 2 years and accounts going into collections (or repo on your auto loan) will show up for a nice lovely SEVEN years on your credit report.

Typically, lenders won't even look at you until you have at least 3 tradelines on your credit report (FICO score can't be generated without 3 or more tradelines).

People underestimate the powers of what bad credit can do to your life...

Damn Jace your good you should be a credit underwriter...I hear that Chase is looking to fill at least one position recently vacated...

 

[JaceTheAce]

Damn Jace your good you should be a credit underwriter...I hear that Chase is looking to fill at least one position recently vacated...

LOL!!! haha... I don't want to be reminded of the reality of Office Space.

 

[foretwoone]

I would take this piece of advice with a huge lump of sodium chloride:

< NaCl(s) --> Na+ + Cl- ... AP Chemistry test is next week )

Anyways, everything I've heard about getting a credit card young is BAD because people but way too much and can't cover the debt. So if you do get one, I would keep VERY close tabs on what you spend and always pay the max available for the month.

On a sidenote, I know someone that had credit card companies recruiting on his college campus and giving away free meals at a fast food place. He ended up getting several free meals by sending in several registrations but never filling in his bank account #

Thanks for the advice, im not a big spender anyhow, most i spend in a month is $40 on protein shakes and my gym membership. My dad always gave me that exact same advice; get a CC when u turn 18 buy little things and build credit. I'll end up doing that but i think it takes a while to build credit, right? And also, i was planning on taking out a loan soon and flying soon, so can the interest go down once i start building credit or if i get locked into a high interest loan thats the interest regardless of how my credit changes?

 

[kellwolf]

I saw this and my mind immediately went to "adds 2% to N1." Then I realized that was the wrong kind of APR. I need a life.....

 

[JaceTheAce]

I would take this piece of advice with a huge lump of sodium chloride:

< NaCl(s) --> Na+ + Cl- ... AP Chemistry test is next week )

Anyways, everything I've heard about getting a credit card young is BAD because people but way too much and can't cover the debt. So if you do get one, I would keep VERY close tabs on what you spend and always pay the max available for the month.

On a sidenote, I know someone that had credit card companies recruiting on his college campus and giving away free meals at a fast food place. He ended up getting several free meals by sending in several registrations but never filling in his bank account #

Aaron - I obtained a credit card at age 18 in order to build up my credit. I don't know about other people my age at the time, but I had a mother who would remind me about my payments and coach me on proper money management until she saw that I could be responsible with it on my own. She's sort of a "Suzy Orman"... so I can imagine that without a proper role model to show you responsible credit management, a credit card can go out of control. I'm probably the very few college students/25 yr olds who pay off their credit card monthly. Seriously, so many students rack up thousands of credit card debt. It's VERY sad.