Fiancial assistance....

[Wing_man]

Hey all,

I have searched the forums but no definitive answer and some of the posts are dated.
I hearsed on the news that HSBC are in a bit of trouble because of the crunch.
Anyway i have sat down with the old man and he as agreed to put his house up to secure a loan for roughly £80,000 (may be more) .
We were wondering what are our options with regard to the loans e.g repayments, interest, risk ....
any other help will be appreciated.

cheers

<w-m>

[hollingworthp]

The general advice is likely to be that you consider modular or a cheaper FTO as your 80k estimate sounds like you are thinking about OAT which is a good college but you can get the same licence much cheaper elsewhere as you are putting your parents house up as collateral.

[Whirlygig]

What you are asking if for your parents to increase the mortgage on their house by £80k.

Firstly, after their existing mortgage, there must be the value in the house in order to secure that amount of loan. You must be able to afford the repayments and consider the length of the term of the mortgage. If you do not pay your parents (who will have to make the repayments themselves) the amount, then they will be liable.

It's a mortgage - go to any bank or building society website and play with their calculators.

The important thing is that your parents' house has sufficient value to be able to cover the mortgage should you/they default and secondly, you can afford the repayments. I hope your father (and you!) appreciate the generosity of the gesture :}

Cheers

Whirls

[abs_kols]

Yh i agree with whirlygig I was considering OAT or Cabair but its just too expensive here. HSBC are providing the loans but only after you get accepted by the flying schools. If i remember correctly its 2.5%above the base rate or summin. I thought and thought about it but I dont want to be paying back for the next 10 years of my life. But in your circumstance get the applications through, go for the aptitude tests, get accepted then get the loan yourself and if you dont get a job immediately beg your old man to start paying back the loan till you can get a job. It works out cheaper for him and you've got something to motivate you. But to answer your question:hmm: HSBC are still providing the loan.

[SkyCamMK]

£80,000 does not guarantee the fATPL and certainly not a job. Does the figure include the MCC and are there any extras? I know many people use this route successfully but check out the alternative sources of funding and training. Research will pay dividends. Mortgages are serious business. Are you sure you can meet the standards for study? Have you a record of success and commitment? I hope you will be successful and happy. Your parents sound like special people or perhaps just invested wisely in the housing market? Wishing you all the very best.

[mcgoo]

If you are only 22 with an aerospace degree, why not work for a few years, that will save you a fortune on loan interest and save you gambling with your parents house.

[georgesantos17]

If anything, you should take a look at BCFT based in Bournemouth. They are by far, the cheapest FTO with a course cost of £43,000 taking you straight from PPL -> ATPL/MCC. They award you with every module, unlike OAA and CTC which in effect is modular however their course takes an integrated approach which means you will complete all modules, back to back. You can start and stop when you like and you pay weekly.

Bournemouth Commercial Flight Training. Commercial flight training in the UK. CPL, ATPL, Ground School, Flying Instructor and Examiner courses. (http://www.bcft.org.uk)

Enjoy :)