PPRuNe Forums - View Single Post - Private aircraft finance
View Single Post
Old 3rd Apr 2019, 03:52
  #3 (permalink)  
Pilot DAR
Moderator
 
Join Date: Aug 2006
Location: Ontario, Canada
Age: 63
Posts: 5,614
Received 60 Likes on 43 Posts
My one attempt to borrow money to buy a plane 32 years ago was poorly received at the bank. I was surprised at how well informed the banker was about the associated costs of airplane ownership, but their main reason presented to me for declining (after many offers to loan me more money for other purposes) was that if they had to repossess the plane, they would not be well versed in recovering their money from its sale. I get that. I scrimped the money together anyway, bought the plane, announced it to the banker - and still own the plane!

My suggestion is that if you're approaching the bank, help them along with how they can be confident about valuing it, and reselling it, should they ever choose to repossess it.
Pilot DAR is offline