Paying for Loans??

[prosnomonkey]

Hello all, New guy here with some questions.

 

I am looking to become a pilot and trying to figure out how to pay for it. Right now I will have to get loans to cover almost the whole thing and good lord is that scary! $80k in loans at 9%-13% variable rate. At 34, I am too old for the military flight training. It seems like there are a lot of people on here that are in a similar place so I thought I would ask.

 

Who has financed the entire cost and how are you doing paying it off? How many people have 2nd jobs? Anybody join the military unable to fly but just to earn money and discounts? This seems like a crazy idea to me because one should join the military to serve, not get served, but my parents keep suggesting it. Where did you go for financing? Anybody finance without a cosigner?

 

Just looking to hear about people's experiences and generate some ideas to make this happen.

 

Thanks!

Jeremy

[csw1000]

UVU online. It's a long road and will take 4-5 years and I will still need some additional funding once I get my commercial to get to 300hrs. If all else fails I will have a degree and can sit behind a desk instead of a hammer. I am now in my second semester and have been flying off and on since March. Just under ten hrs now and hovering, flying circuits, pedal turns, awesome.

[klas]

... At 34, I am too old for the military flight training. ...

 

Have you tried an age waiver?

[Eggbeater]

Yep I financed it all with Key/Sallie Mae loans. I'm working in the Gulf right now, so making the monthly payments is not a problem for me. If I didn't have a job, though, there is no way I could survive financially for more than a couple months.

 

I am very happy that I financed my training with a loan vs paying as I go, because it helped me to get done early enough to skip this whole flight school mess. If I was paying as I go, I would probably be just now looking for a CFI job. Unfortunately, that is really what getting that first job comes down to; timing.

[prosnomonkey]

csw1000 - How do you like UVU? Are you living in UT or doing the distance learning with another company?

 

Klas - Never heard of an age waiver, but I should see what that is all about, Thanks!

 

Eggbeater - Did you get the Sallie Mae career training loan or a student loan?

 

Thanks for the help everybody!

 

Jeremy

[Eggbeater]

I got the unsubsidized student loan from Sallie Mae. Think long and hard before getting one of these; variable interest rate, no (real) consolidation options, and only six months of allowable deferred payments over the life of the loan. All of this equals out to a very expensive loan, especially if you don't make more than the minimum payment.

[panzer1999]

I just got approved, without a cosigner, by Pilot Finance for a loan up to $15k in order to finish my commercial rating. I'm slightly concerned about the interest rate of 14.95%. They said that if I make all my payments on time then I get a 3% return on the interest, so the final outcome would be 11.95%. It would only run me about $275 a month for 60 months, but If I pay double or triple the payment I should knock it out quickly (there is no pre-payment penalty either). Any advice for me on this matter?

 

I understand that the OP is trying to finance his entire training....I would be scared to death to do that.

[csw1000]

I love UVU so far. Thay have a great curriculum and all of my instructors have been great. I live in KS and am in the Global Aviation Degree program online. The work is heavy at times, I think to make up for not being in an actual class, but it is doable. I am actually maintaining a 4.3gpa or so. In high school I had about a 1.0, ha ha. I am actually really enjoying the college experience, almost as much as the flying, I should have gone when I was younger. Also, I think it will help make me a better pilot due to the extra study on weather, physiology, etc. not just studying to pass a test. Also, like I said before, a great back up plan if I can't get that pilot job right away. Also, I have borrowed about 10K in Stafford sub and unsubsidized loans. Interest is a moderate 5.6% to 6.5%. I would recommend the program to anybody. Another neat thing is that you can choose your own CFI or school, thereby customizing your training. If I want to go to CO and fly some mountain ops with Colorado Heli Ops for a week I can and probably will. The one negative is that you no longer can receive credit towards your degree for your FAA certifications. They used to and then they stopped, I don't know why. I am hoping that in the future they may go back to giving you credit for your certs, if not I am also considering transferring to ERAU my junior year, they do give credit but they are much more expensive. Of course I will save some money because my certs will count toward my degree thereby saving some on tuition.

[BOATFIXERGUY]

Unfortunately UVU no longer does NEW (freshman) helicopter programs. They only do fixed-wing. There are some creative ways around this (I.e. enrolling in the FW program and using some of the money for RW, but beware...you won't have enough federal aid to do the FW program if you spend it on RW).

[prosnomonkey]

Thanks for all the help! I am looking into UVU right now. They only offer 4 year degrees online and I am hesitant to do this. I already have a a BA and an MA but have spent 7 years looking for a steady job in my field. On the other hand, I will be able to get federal stafford loans that have a more reasonable interest rate and possible scholarships.

 

Again thanks for your replies. Would still like to hear from others about their situations both for my own info and for others who are looking to do the same.

 

Jeremy

[csw1000]

Boatfixerguy is correct, as I mentioned they do not accept helicopter ratings for credit or have an actual RW program. I chose to go for the aviation administration degree. I can borrow the same amount as I could if I went for the professional pilot degree for FW, and I use all of my extra loan money for RW time. Also, it makes me a more rounded aviation professional, back up plan! Good luck, PM me if you want more specific info on UVU.

[CrashC]

UVU online. It's a long road and will take 4-5 years and I will still need some additional funding once I get my commercial to get to 300hrs. If all else fails I will have a degree and can sit behind a desk instead of a hammer. I am now in my second semester and have been flying off and on since March. Just under ten hrs now and hovering, flying circuits, pedal turns, awesome.

 

4-5 years? Holy cow.

 

When I looked into it, they (UVU FinAid Dept) said I could get around $5k in federal student loans per semester up to $55k lifetime total limit. The rest would have to be in private student loans. I can get the private student loans anyway without going to UVU and go to a handful of flight schools (Mauna Loa, NE, etc.), so I'd be doing all the UVU work for $5k a semester. Doesn't seem to make any sense. Can someone correct me on this?

Edited July 13, 2010 by CrashC

[csw1000]

Check this website: http://www.staffordloan.com/stafford-loan-info/. Luckily, ha ha, I am poor already so I am mentally prepared to be a beginer heli pilot. Also, I qualify for the Pell grant which actually covers most of the tuition. As a freshman I got right around $5k after tuition and my grant money, I pay for books etc. out of pocket. As you progress through sophomore etc. the annual limit increases. I fly a H269 for $250 wet CFI included so the $55k or so should get me to a little over 200hrs (55000/250 = 220). The 4-5 years is because I am also planning to get my master's degree in aviation administration. Hope this makes a little more sense.