Unsecured Pilot Loans???
Join Date: Mar 2012
Location: Central London
Age: 41
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How much are you looking to borrow? A mortgage by definition is a right granted over a property as security for a loan. The maximum amount you can borrow is therefore only limited by the equity in the property, plus a margin.
Without this your ability to borrow on an unsecured basis will depend on your creditworthiness, earnings and the amount you are looking to borrow. You are unlikely to be able to borrow more than £25k unsecured from a mainstream lender.
I'm not sure borrowing is the way to go in the current market. Your best bet might be to save up from earned income, and minimise debt incurred for training. Don't gamble more than you can afford to lose!
Without this your ability to borrow on an unsecured basis will depend on your creditworthiness, earnings and the amount you are looking to borrow. You are unlikely to be able to borrow more than £25k unsecured from a mainstream lender.
I'm not sure borrowing is the way to go in the current market. Your best bet might be to save up from earned income, and minimise debt incurred for training. Don't gamble more than you can afford to lose!
Last edited by taxistaxing; 5th Nov 2012 at 21:47.
Join Date: Dec 2011
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Don't do it - it's just not worth it!
A while ago I loaned £15K unsecured at 11% (best rate I could get - even though I have a good credit rating) which equates to almost £400 a month for FOUR YEARS!
Sure, it's not significant money compared to some of the integrated kids who bet the farm on Oxford's sales pitch. But it still hurts when I see it go out of my account, and it means that you need to be earning steadily every single month to cover it.
Potential employers don't tend to look to kindly on a history of bankruptcy. Far better to save up before you train, and continue working alongside your training.
A while ago I loaned £15K unsecured at 11% (best rate I could get - even though I have a good credit rating) which equates to almost £400 a month for FOUR YEARS!
Sure, it's not significant money compared to some of the integrated kids who bet the farm on Oxford's sales pitch. But it still hurts when I see it go out of my account, and it means that you need to be earning steadily every single month to cover it.
Potential employers don't tend to look to kindly on a history of bankruptcy. Far better to save up before you train, and continue working alongside your training.
Join Date: Jul 2012
Location: Glasgow
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Whats the rush to get your license?
The max banks seems to be able to give is £25,000 unsecured, anything more you just can't get, lending unsecured above that is deemed "risky" and is arguably what caused the "credit crunch" etc.
One thing I will say, from what I have learnt on this forum, now is not the time to be rushing to get qualified, as there are so many fresh "fATPL" holders out there desperate for a job, so chances of a job at the end of the loan are not great.
The other thing to remember is, an unsecured loan of £60k plus will have huge monthly payments, can you afford those on an entry level pilot salary?
My advice is go pay as you go for now, save up, earn interest on your savings, get your PPL then build hours, and enjoy flying!
Then if things pick up in a few years, you can use your savings and most likely a smaller loan to complete your training.
Also you may be thinking, "I should get my license now and be ready for things getting better surely?". Well, remember this, you need to keep your license current, that costs money, you will be paying huge interest on finance, that costs A LOT of money, further to that there is no guarantee the market will pick up, so you could invest £60k in your future (actually its much more, after the interest you could be paying back 1.5 or 2 times that) and never get anything back for it.
Be patient, enjoy flying as a hobby and save up your money. Oh and keep an eye out for the BA future pilot scheme, opening later this month.
I know it is annoying that you can't go for what is probably your dream, but it is something many other wannabes have had to deal with.
One thing I will say, from what I have learnt on this forum, now is not the time to be rushing to get qualified, as there are so many fresh "fATPL" holders out there desperate for a job, so chances of a job at the end of the loan are not great.
The other thing to remember is, an unsecured loan of £60k plus will have huge monthly payments, can you afford those on an entry level pilot salary?
My advice is go pay as you go for now, save up, earn interest on your savings, get your PPL then build hours, and enjoy flying!
Then if things pick up in a few years, you can use your savings and most likely a smaller loan to complete your training.
Also you may be thinking, "I should get my license now and be ready for things getting better surely?". Well, remember this, you need to keep your license current, that costs money, you will be paying huge interest on finance, that costs A LOT of money, further to that there is no guarantee the market will pick up, so you could invest £60k in your future (actually its much more, after the interest you could be paying back 1.5 or 2 times that) and never get anything back for it.
Be patient, enjoy flying as a hobby and save up your money. Oh and keep an eye out for the BA future pilot scheme, opening later this month.
I know it is annoying that you can't go for what is probably your dream, but it is something many other wannabes have had to deal with.
