HSBC Loans
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HSBC Loans
Hello all
Could anyone here please shed some light on the HSBC loan, in particular what you guys pay each month/for how many years and what the totol amount you took out was. Also how long do you have after the course ends do you have until you start paying the loan back. Also what do you need for the loan ie is it secured/do you need a buisness plan?
Many thanks in advance for your wisdom
Could anyone here please shed some light on the HSBC loan, in particular what you guys pay each month/for how many years and what the totol amount you took out was. Also how long do you have after the course ends do you have until you start paying the loan back. Also what do you need for the loan ie is it secured/do you need a buisness plan?
Many thanks in advance for your wisdom
Join Date: Nov 2002
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To get the HSBC loan for an integrated course, you need a letter of acceptance from the school. You then arrange an interview with the branch in Chiswick.
Provided you pass a credit check and come across as a pretty 'normal' individual, you'll probably be accepted for the loan. Simple as that. The loan isn't secured and the interest rate is something like 2% above the national base rate. I believe you can opt for a flexible or fixed rate, depending on how you think the national rate may vary.
Repayments start 6 months after completion of the course and continue for 10 years, working out at a monthly repayment of nearly £900 per month. Scary.
Some conditions include closing all your other accounts with other banks and doing all your future banking with HSBC until repayment of the entire amount is complete.
This is the reason I took the integrated route. Hard to believe, but I couldn't convince any other bank to lend me half the amount secured so that I could go the modular route, yet HSBC approved me for the full whack on this unsecured loan. Strange world, eh?
Provided you pass a credit check and come across as a pretty 'normal' individual, you'll probably be accepted for the loan. Simple as that. The loan isn't secured and the interest rate is something like 2% above the national base rate. I believe you can opt for a flexible or fixed rate, depending on how you think the national rate may vary.
Repayments start 6 months after completion of the course and continue for 10 years, working out at a monthly repayment of nearly £900 per month. Scary.
Some conditions include closing all your other accounts with other banks and doing all your future banking with HSBC until repayment of the entire amount is complete.
This is the reason I took the integrated route. Hard to believe, but I couldn't convince any other bank to lend me half the amount secured so that I could go the modular route, yet HSBC approved me for the full whack on this unsecured loan. Strange world, eh?
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£900 a month! that is a huge amount, I do not believe that you will be able to live with that when you are going to start on a max of 20g a year i rekon = about 1500 max take home each month, then with rent cos you are bound to relocate + car+ phone etc....
oh well back to the drawing board then....
oh well back to the drawing board then....
Join Date: Nov 2004
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£900!!! 
If you consider that on a gross salary of £20k, your actual take home pay will be closer to £1200 after Tax and NI it really isn't an option for most. And that's only if you're lucky enough to get a job.
The best way to finance anything are the same as they were 100 years ago...either mummy and daddy have buckets of cash or you are going to have to get a "proper" job and save like blazes!
Let's face it, just because you're that bit older, if you've been able put down even half the money the interest alone will be reduced drastically and you may be be able to sleep at night.
Now I know there are some success stories out there and I'm really pleased for them, however you probably wont hear too many sad stories, as they cant afford a computer, plus their cardboard box doesn't have a socket to plug it in anyway!
Remember - Don't be too eager to get into debt, that'll happen all by its self!!
If you consider that on a gross salary of £20k, your actual take home pay will be closer to £1200 after Tax and NI it really isn't an option for most. And that's only if you're lucky enough to get a job.The best way to finance anything are the same as they were 100 years ago...either mummy and daddy have buckets of cash or you are going to have to get a "proper" job and save like blazes!
Let's face it, just because you're that bit older, if you've been able put down even half the money the interest alone will be reduced drastically and you may be be able to sleep at night.
Now I know there are some success stories out there and I'm really pleased for them, however you probably wont hear too many sad stories, as they cant afford a computer, plus their cardboard box doesn't have a socket to plug it in anyway!
Remember - Don't be too eager to get into debt, that'll happen all by its self!!
PPRuNe Handmaiden
A typical Professional Studies Loan of £45,000 works out at approx. £650/month over 11 months
Join Date: Feb 2004
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hi, i just had my loan application accepted on wednesday. im going to do the oxford APP course in September, had the interview at oxford hsbc branch. my loan works out to be £50,000, repayable 6 months after the course has finished (june 2007) the loan is secured thanks to parents, and the repayments work out to be £600 per month for 11 years. interest rates are 2% above bank of england base rate variable. if thats any help
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Whilst I would not say that the process is easy, it is far from impossible if you are a reasonably determined individual whom can prove to your bank manager that, being an airline pilot is what you want to do from deep within.
I have recently been accepted with a whopping £70k to finance my course with FTE starting in June. As far as I am aware (dont like to look at the figures) the total amount repayable is somewhere in the region of £106k - ouch! It works out near enough £900pm. With regard to security ----- it has to be secured....... full stop!
They do insist you have life cover for the value of the loan, they will give you a quote - usually in the region of £20pm (life and critical illness) but you don't have to take it out through them. You will find it a few pounds a month cheaper - but at the end of the day, is it worth the extra hastle! If HSBC help you out with the loan, then I would stick with them!
This myth about having to go to either Chiswick or Oxford to sort things out doesnt really bode. I did mine through my local high street branch no problems, so may be worth a try tackling that route before going miles and miles for no particular reason.
I have recently been accepted with a whopping £70k to finance my course with FTE starting in June. As far as I am aware (dont like to look at the figures) the total amount repayable is somewhere in the region of £106k - ouch! It works out near enough £900pm. With regard to security ----- it has to be secured....... full stop!
They do insist you have life cover for the value of the loan, they will give you a quote - usually in the region of £20pm (life and critical illness) but you don't have to take it out through them. You will find it a few pounds a month cheaper - but at the end of the day, is it worth the extra hastle! If HSBC help you out with the loan, then I would stick with them!
This myth about having to go to either Chiswick or Oxford to sort things out doesnt really bode. I did mine through my local high street branch no problems, so may be worth a try tackling that route before going miles and miles for no particular reason.
Join Date: Jul 2004
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My experience
I have a HSBC loan. I went direct to my local HSBC, with a business plan. There was none of this going through Chiswick!! The gave me a loan for £55,000, at 2% less than Chiswick were offering it, and I pay £730/month, for 7 years, which isn't bad.
Give your local branch a ring!!
Give your local branch a ring!!
Dancing with the devil, going with the flow... it's all a game to me.
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Borrowed £51K 4 years ago and the payments were differed for 6 months on course completion. Twice had to put the start date back for repayments because things never run according to plan in flight training. Paying back £633 a month over 11 years so with my current monthly take home in my office job I don't have much money spare but somehow I manage to srape by, supportive parents is the key. They ain't loaded but they allow me to live in their house for minimal rent - 27 years old so it'd be rather embarassing if I really gave a toss. Don't regret it however now I have a licence which is currently used as a beer mat it does all seem rather foolish but that's life - they say you only get one.
As for the bad cases - I spoke to a guy HSBC put me in touch with who had done exactly the same as me about 4 years prior to my venture and he did not have a flying job. My bank manager tried to steer me away from borrowing and this was his attempt at drilling the reality home... But as most here know, when you have an ambition such as ours you don't listen to anyone and that's the way it has to be otherwise we'd never get up off our chuffs and do it.
But I cannot complain about it because I knew the risks and as I say it's not the most important thing in my life because I've convinced myself not to let it bother me. I went into it with both eyes wide open and lifes too short to ponder other possibilities anyway. If you lose an arm you adapt. Besides, worse things have happened in my life than being in debt.
VFE.
As for the bad cases - I spoke to a guy HSBC put me in touch with who had done exactly the same as me about 4 years prior to my venture and he did not have a flying job. My bank manager tried to steer me away from borrowing and this was his attempt at drilling the reality home... But as most here know, when you have an ambition such as ours you don't listen to anyone and that's the way it has to be otherwise we'd never get up off our chuffs and do it.
But I cannot complain about it because I knew the risks and as I say it's not the most important thing in my life because I've convinced myself not to let it bother me. I went into it with both eyes wide open and lifes too short to ponder other possibilities anyway. If you lose an arm you adapt. Besides, worse things have happened in my life than being in debt.
VFE.
Join Date: May 2004
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Not quite at low as that but borrowed £39k,or should i say "borrowing" lol my repayments are £440ish from memory.Spoke to my local branch in Belfast and everything went well.No problems borrowing having worked at airport for 3 years nd gotten PPL.
Regards
Regards
Join Date: Jul 2004
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I've just borrowed 30K to finish off my training. They've quoted me £453 per month for 7 years. I reckon I'll just about be able to manage that. (my mrs has a good income!)
I'm doing the 'professional Pilot Package' from OAT which is a CPL on the seneca v, IR and MCC in a full time course. The course fees are £20,295. But then you need £2600 for test fees, about £2,500 for accommodation and the rest is for contingency.
I gave HSBC my business plan and they agreed pretty much on the spot! I'm only 25 and it's totally unsecured! I only needed to take out life cover. (£10 per month)
Can't wait to get the rest of these exams out of the way so I can get to the fun part.
I'm doing the 'professional Pilot Package' from OAT which is a CPL on the seneca v, IR and MCC in a full time course. The course fees are £20,295. But then you need £2600 for test fees, about £2,500 for accommodation and the rest is for contingency.
I gave HSBC my business plan and they agreed pretty much on the spot! I'm only 25 and it's totally unsecured! I only needed to take out life cover. (£10 per month)
Can't wait to get the rest of these exams out of the way so I can get to the fun part.
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I applied for a loan of 38K to HSBC Ox. to go with the rest of the cash I have available to me (through my parents) to fund my training at FTE later this year. All prepared, I travelled for 4 hours to get there, went thru the interview, was told there were no foreseen problems and that I would be notified of the outcome within a couple of days. Rejected! Having gone thru all the trouble to go for the interview I was a bit peed off!
For this sum of cash it was hardly worthwhile going all that way, especially when it turns out my local branch can 'probably' deal with it.
For this sum of cash it was hardly worthwhile going all that way, especially when it turns out my local branch can 'probably' deal with it.
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Have student loan and also have HSBC loan. Student loan amount is deducted from the maximum HSBC will allow you to borrow. For me meant about 11,500 big ones less for the loan but on the plus side I've got a lot less to pay back every month!
