TheHustler
1st Oct 2003, 22:09
Hello,
Dont want to waffle on about HSBC bank loans again (as I know its already been covered several times!!!), but Im talking about banks in General. Those of you who have loaned over 20K for a Frozen JAA Atpl Licence or most of your training and went into the bank with a glossy business plan etc but no security, what did you tell your bank manager when they asked surely the most important question any banks ask when lending loans such as this:
"So if we lend you the required amount for your training but at the end of it (and perhaps for a long perod after!) you cannot find employment at an airline, how are going to pay back the bank??"
I mean ive heard stories of a lot of you going for these loans, some well over 20K unsecured too! plenty of talk about going in dressed in a suit etc, and walking out smiling ear to ear with a granted loan seemingly quite easily achieved!
It does seem strange to me that this can be the case, as its extremely risky for the bank to do so. Especially with the state of the Jobs/ recruitment market in general at current (and even worse for new gradutes etc). Did any of you mention to the bank in your plans the number of new graduates each year, the number of unemployed pilots, and the number being recruited each year?
Normally banks dont lend mone to people (whether business or anything else etc) unless they know they are gonna get paid back in the worst case scenario (which is why they'll take your house if you dont keep up payments on secured loans !)
How long did you guys get to pay back the loan afterwards? and if you were trying to get employed at an airline and had to get a Flying instructor rating, how will this effect your ability to pay off a loan? (with being on lower wages as a flying instructor etc)
Im Just wondering about business plans etc as Im Looking possibly at paying for PPL and hourbuilding myself, then going to the bank for the rest for a CPL + IR + MCC course etc.
Forgot to mention...the main point Im making here is, in terms of risk for the bank, If the Loan is called a "professional studies" loan for career development, then surely from the banks point of view, the ariline business is the 'riskiest' career of them all! I mean if you wanted to borrow 10K to study for a Job in I.T (if it ever cost that much) there is a massive demand for IT trained people. one jobsite on the web advertises over 20,000 vacancies. but how many pilot jobs ever get publicised or become vacant? Id guess less than 20 at any one time (for major airlines etc) and thats being optimistic.
Does this not effect the way the bank sees you, as a potential debtor to them!?
bonjourno
:cool:
Dont want to waffle on about HSBC bank loans again (as I know its already been covered several times!!!), but Im talking about banks in General. Those of you who have loaned over 20K for a Frozen JAA Atpl Licence or most of your training and went into the bank with a glossy business plan etc but no security, what did you tell your bank manager when they asked surely the most important question any banks ask when lending loans such as this:
"So if we lend you the required amount for your training but at the end of it (and perhaps for a long perod after!) you cannot find employment at an airline, how are going to pay back the bank??"
I mean ive heard stories of a lot of you going for these loans, some well over 20K unsecured too! plenty of talk about going in dressed in a suit etc, and walking out smiling ear to ear with a granted loan seemingly quite easily achieved!
It does seem strange to me that this can be the case, as its extremely risky for the bank to do so. Especially with the state of the Jobs/ recruitment market in general at current (and even worse for new gradutes etc). Did any of you mention to the bank in your plans the number of new graduates each year, the number of unemployed pilots, and the number being recruited each year?
Normally banks dont lend mone to people (whether business or anything else etc) unless they know they are gonna get paid back in the worst case scenario (which is why they'll take your house if you dont keep up payments on secured loans !)
How long did you guys get to pay back the loan afterwards? and if you were trying to get employed at an airline and had to get a Flying instructor rating, how will this effect your ability to pay off a loan? (with being on lower wages as a flying instructor etc)
Im Just wondering about business plans etc as Im Looking possibly at paying for PPL and hourbuilding myself, then going to the bank for the rest for a CPL + IR + MCC course etc.
Forgot to mention...the main point Im making here is, in terms of risk for the bank, If the Loan is called a "professional studies" loan for career development, then surely from the banks point of view, the ariline business is the 'riskiest' career of them all! I mean if you wanted to borrow 10K to study for a Job in I.T (if it ever cost that much) there is a massive demand for IT trained people. one jobsite on the web advertises over 20,000 vacancies. but how many pilot jobs ever get publicised or become vacant? Id guess less than 20 at any one time (for major airlines etc) and thats being optimistic.
Does this not effect the way the bank sees you, as a potential debtor to them!?
bonjourno
:cool: