Finance, what would you do?

[THE WELSH WIZARD]

NT

Thanks nt, i will think about it.

Cheers again.

Regards

TWW

[THE WELSH WIZARD]

A+C

Thanks for that mate, iam working hard at the moment, i am just looking at different options thats all.

Thanks for the reply.

Good advise, at the present time really.

TWW

[RMarvin86]

What you can do, is to take the modular way and fly according to what you can efford. I think this is not a bad idea as you will not make debits, you fly once or twice a week taking a longer time into the training with maybe better results as you can take your own time to absorb the theory and practice. But whatever will be your decision I suggest you to start as early as possible with the theory books as they will require the greatest time of your training.

[THE WELSH WIZARD]

Thanks for that rm86. I think i will most proberly go down that route.

TWW

[JohnRayner]

What I'm going to try to do is end up in as little debt over this as possible. I believe debt makes you inflexible in terms of what you need to earn to pay it off, and I'd rather have fun at the end of my fatpl instructing or turbo-propping, or cargo hauling, or whatever I can get, instead of getting annoyed and moody because I'm not getting the 40k pa I need to start paying off my loans.

I dunno if this bit is true, but I also can't help but think that if you can demonstrate a bit of basic financial management and some commitment to the long-ish haul (saving, budgeting etc.) rather than diving in feet first using someone else's money, would this not be of use in those all-important interviews? In a sober planning vs. puppy dog frenetic engagement kind of way?

[PPRuNeUser0165]

MONEY!!

Your best bet mr wizard would be to have a look at either HSBC or Natwest. Hsbc are linked with oxford but at the moment are starting to become reluctant to hand out large amounts of dosh, you don't have to put your parents house on the market neither, you can obtain an unsecured loan from hsbc for upto 25,000 pounds. obviously you have to show you have a bit of money incase it all goes pe tong. They will expect you to write a rarther large buisness plan, but as i said they are being rarther tight with the old mular! Natwest are a bit similar but are quite happy to give away upto 35,000 pound unsecured. They are not tight with the money and also very quick in producing it unlike Hsbc, but they were busy at the time! I started with hsbc then when i heard about natwest i changed paid off my hsbc loan and the rest of the natwest loan helped pay the next installment. If you give me a pm i can give you the details of contacts etc.
Good Luck

[THE WELSH WIZARD]

tommyg737

Thanks for that mate, i will send you a pm next week if ok. iam off to farnbrough this weekend.

Talk soon
Regards

TWW

[preduk]

I would try and avoid a loan as much as possible. 25k loan plus interest is a lot of money especially when you start setteling down and need a house/car etc.

[docash1983]

Hi guys I would like your opinion on the following. I have compiled the following on Flybe's payment schedule for repayment of the loan for FTE at £82,700.00. The following has been compiled using the data from the BBVA bank for repayments along with a base rate of 6.75%. I am particularly interested to see how those who have been through a similar process have survived along with meeting the repayments.

Cheers docash1983

LOAN Repayments On: £82,700.00



Monthly repayment £1,180.49 @ 12 months = 14165.88 leaves £68534.12 plus interest = £74116.37 (example)

Year : 1
Annual Salary:£25068
Monthly Repayment: £1180.49
Interest per year at 6.75 %: £5582.25
Amount paid off over the Year: £14165.88
Amount Outstanding Including Interest : £74116.37

Year : 2
Annual Salary: £27950
Monthly Repayment: £1180.49
Interest per year at 6.75 %: £5002.85
Amount paid off over the Year: £14165.88
Amount Outstanding Including Interest : £64953.35

Year : 3
Annual Salary: £29677
Monthly Repayment: £1180.49
Interest per year at 6.75 %: £4384.35
Amount paid off over the Year: £14165.88
Amount Outstanding Including Interest : £55171.82

Year : 4
Annual Salary: £31405
Monthly Repayment: £1300.50
Interest per year at 6.75 %: £3724.09
Amount paid off over the Year: £15606.00
Amount Outstanding Including Interest : £43290.01

Year : 5
Annual Salary: £31977
Monthly Repayment: £1300.50
Interest per year at 6.75 %: £2705.62
Amount paid off over the Year: £15606.00
Amount Outstanding Including Interest : £30389.63

Year : 6
Annual Salary: £32549
Monthly Repayment: £1300.50
Interest per year at 6.75 %: £2051.30
Amount paid off over the Year: £15606.00
Amount Outstanding Including Interest : £16834.94

Year : 7
Annual Salary: £33121
Monthly Repayment: £1300.50
Interest per year at 6.75 %: £1136.35
Amount paid off over the Year: £15606.00
Amount Outstanding Including Interest : £2365.00

Year : 8
Annual Salary: £33693
Monthly Repayment: £1300.50
Interest per year at 6.75 %: £159.63
Amount paid off over the Year: £15606.00
Amount Outstanding Including Interest : £0 REPAYMENTS MET

[flyboy1818]

Sorry but the above is an absolute joke, have you typed that salary into a take home pay calculator to find out how much you take home after tax? I year one around £1600 per month, with a £1100 repayment to make!!

Living off £500 per month? Thats impossible! Even if you live with your parents!

[docash1983]

Yes thats why i put it up. I recently attended a seminar with some new Flybe pilots there and they told me that they could just about to afford to live. However, I am less optomistic which is why I wanted peoples views.

[preduk]

Sorry.. but I think you would have to be bonkers to have a loan like that...

You are 24, a good age to startsettling down soon (if you haven't already) so where are you going to get the money for a car, a social life, a house, a possible child etc when you have an 8 year payment plan to pay off.

It may be a dream, but that sort of plan is an unbelievably high risk.

[Wee Weasley Welshman]

This is the reality that I have been seeing for many years now flying with people who have paid out these sort of sums.

It kind of works on £40k a year propert FO salary OR with a loan repayment suplement that avoids tax as per some of the CTC schemes.

It all falls apart though at normal TP FO salary with type rating costs. You'd be better off claiming a bad back on the dole and watching endless episodes of Airline all day on Freeview...

The willingness to get into MASSIVE debt by the twentysomethings scares me and is a huge behaviour change within a decade.

WWW

[G SXTY]

docash1983

I am intimately familiar with that payscale. As new FO you'll be taking home anywhere between £1600 & £1900 per month, depending on duty hours.

You could probably service that level of debt, but only if you managed without luxuries such as food and accommodation. (The crew food isn't bad though - and there's always plenty of spare All Day Breakfast sandwiches . . .)

[AdamLT]

docash1983

you haven't included the flying pay Flybe pilots get. from what Capt. David Given was saying at the seminar, a F/O with Flybe gets around £29,000 for turboprops, and about £33,000 on jets.

now recalculate what you have above with these new figures.

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[G SXTY]

Take home pay is as I have stated.