Irish financial institutions

[ncusack]

Hi all,
Has anyone any experience of approaching any of the Irish banks to secure funding for an ATPL course? I will be hopefully asking them in Autumn for about 55k against a deposit of about 16K euro. Anyone have any info?

Cheers
ncusack

[RedEye4]

Hi ncusack,

The primary concern of the banks in this regard is your ability to repay the loan advance. If you have steady income and are with the same employer for a reasonable duration and you've got no major debts elsewhere then you should be fine. The golden rule used by the banks is 'proven ability to repay'. Basically this means that roughly all your monthly repayments can't be more than approx. 30% of your GROSS monthly salary. Some banks and institutions push this criteria as high as 45%.

If you have a mortgage and you've got some equity then you could avail of up to 75% of the total equity (subject to you salaries and ability to repay the revised total loan amount). At the rate the Irish property market prices are increasing, especially in the greater Dublin area, the equity release sought will more than likely be replenished by your home rising even further in market value over the next 3,5,8 or so years. It's just another way of skinning the cat!

One other thing just struck me . . . Venture Capital . . . I wonder will a Venture Capital type company advance funds to a venture such as the ATPL and possibly jet ratings and they'll take a cut of your earnings on appointed to a carrier? Actually, has anybody else out there investigated this option? or any other for that matter?

Hope this helps you a bit further.

Slan,

RedEye4

[ncusack]

Hey Redeye,
Thanks for the info. I dunno would venture capitalists go for it. There is alot of risk for a little return. One major stumbling block will be that I have been living over seas for most of my professional thus with no banking record in Ireland. Maybe they will accept proof and longevity of previous income albeit overseas.

We'll see. Must check it out soon. With BOI making Billions profit this year, they can afford a chance ;) ;)

Later
Ncusack

[EvilTwinRating]

Hi Folks

I managed to squeeze a loan of 88k from an Irish bank for flight training about 2 years ago, but it was far from easy. Firstly the loan had to be secured on my home which was fully paid for before I ever went near the banks. I then had to approach every single lending institution on this fair isle. I was turned down on every occasion. So I went back, this time with a buisness plan. I was turned down every time. So I went back again, this time with a better buisness plan, a better paid job and a financial adviser, and bingo I was given the mortgage by the first bank I went to! (even though I'd been there 2 times before!).

In my experience the Bank Manager looks at you as if you have two heads when you say the loan is needed to pay for flight training, but if you can explain it to them in terms they understand ie Euro and Cent and show them how you will be able to pay back the loan then it can be done, you just have to keep trying.

Best of luck

ETR