Financing

Erauboi1984 · December 29th, 2003, 14:17

I am currently a student at riddle and looking to leave riddle to join an academy. However, I have to finiance the entire thing, and was wondering how it is possible to pay off the loans if it is hard to work while you're in training, and as a flight instructor i hear you don't make enough money to make a $500 loan payment every month. This ismy main concern iwth joining an academy is that I wont be able to pay back the money I borrowed. Any help would be appreciated. Thanks

Acadia · December 29th, 2003, 17:07

It probably depends on each individual’s situation. Do you already have many other fixed expenses (mortgage, car loan, kids, credit card debt.)? If so throwing another large payment into the mix would probably be bad news.

I borrowed every cent for my training at FSI. I had my private already, but I did everything else through CFI. I borrowed an extra 10k for my wife and I to live on and my total payment is $470 (finished at FSI 8/2002). We own a house and the mortgage is reasonable and neither one of us have car payments or other substantial debt (plus no kids). I dont love sending out the check every month, but even in the winter we get by ok (no major surplus though). I work as a free lance CFI, ferry aircraft, and in the summer I fly scenic flights and tow gliders. I hope to have my minimum hours for an airline application within 6 months. No regrets at this point.

CLR4ILS · December 29th, 2003, 21:41

You can defer the Key Bank loan beyond two years. I think they tell you 1-2 years of deferment but I keep getting additional deferment options in the mail. I beleive you can defer the payment as long as you are enrolled in school. I hope this helps...ILS

cyruseh · January 15th, 2004, 08:30

but interest is piling up when you are deferring it, right?

Flybub · January 15th, 2004, 20:25

Yup, if it's the Key Alternative Loan you will still accrue interest while in deferment. From what I was told the only way it will not accrue is if it's a subsidized loan.

cyruseh · January 16th, 2004, 09:43

What kind of interest rate are you all getting on the key bank loans?

EatSleepFly · January 16th, 2004, 10:16

I used the Key Alternative Loan as well. My APR is 5.27%. The Variable Rate is the Current Index + 2.9%.

Flybub · January 18th, 2004, 09:46

Mine is the same as EatSleepFly.

ERJ-135 · January 20th, 2004, 08:12

Find out how much you will pay on a monthly pay plan. Use the program Key Bank has on the website: www.key.com/educate

This program will give you an estimate on what the monthly payments are and how much you can afford to borrow.

December 29th, 2003, 14:17	#1
Erauboi1984 Newbie Join Date: Dec 2003 Posts: 3	Financing I am currently a student at riddle and looking to leave riddle to join an academy. However, I have to finiance the entire thing, and was wondering how it is possible to pay off the loans if it is hard to work while you're in training, and as a flight instructor i hear you don't make enough money to make a $500 loan payment every month. This ismy main concern iwth joining an academy is that I wont be able to pay back the money I borrowed. Any help would be appreciated. Thanks

December 29th, 2003, 17:07	#2
Acadia Old Skool Join Date: Sep 2001 Location: BHB - Maine Posts: 2,755	Re: Financing It probably depends on each individual’s situation. Do you already have many other fixed expenses (mortgage, car loan, kids, credit card debt.)? If so throwing another large payment into the mix would probably be bad news. I borrowed every cent for my training at FSI. I had my private already, but I did everything else through CFI. I borrowed an extra 10k for my wife and I to live on and my total payment is $470 (finished at FSI 8/2002). We own a house and the mortgage is reasonable and neither one of us have car payments or other substantial debt (plus no kids). I dont love sending out the check every month, but even in the winter we get by ok (no major surplus though). I work as a free lance CFI, ferry aircraft, and in the summer I fly scenic flights and tow gliders. I hope to have my minimum hours for an airline application within 6 months. No regrets at this point.

December 29th, 2003, 21:41	#3
CLR4ILS Senior Member Join Date: Nov 2002 Location: Scottsdale, Arizona Posts: 578	Re: Financing You can defer the Key Bank loan beyond two years. I think they tell you 1-2 years of deferment but I keep getting additional deferment options in the mail. I beleive you can defer the payment as long as you are enrolled in school. I hope this helps...ILS

January 15th, 2004, 08:30	#4
cyruseh Newbie Join Date: Nov 2003 Posts: 9	Re: Financing but interest is piling up when you are deferring it, right?

January 15th, 2004, 20:25	#5
Flybub Junior Member Join Date: Feb 2003 Posts: 67	Re: Financing Yup, if it's the Key Alternative Loan you will still accrue interest while in deferment. From what I was told the only way it will not accrue is if it's a subsidized loan.

January 16th, 2004, 09:43	#6
cyruseh Newbie Join Date: Nov 2003 Posts: 9	Re: Financing What kind of interest rate are you all getting on the key bank loans?

January 16th, 2004, 10:16	#7
EatSleepFly Old Skool Join Date: Dec 2002 Location: ?? Posts: 4,600	Re: Financing I used the Key Alternative Loan as well. My APR is 5.27%. The Variable Rate is the Current Index + 2.9%.

January 18th, 2004, 09:46	#8
Flybub Junior Member Join Date: Feb 2003 Posts: 67	Re: Financing Mine is the same as EatSleepFly.

January 20th, 2004, 08:12	#9
ERJ-135 Junior Member Join Date: Jul 2001 Location: USA Posts: 277	Re: Financing Find out how much you will pay on a monthly pay plan. Use the program Key Bank has on the website: www.key.com/educate This program will give you an estimate on what the monthly payments are and how much you can afford to borrow.

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