SSH withdrawal cost

[fry]

Is it true that SSH charges new students a fixed percentage of the total cost of the program each month? This would be over and above the charges for ground, sim and flight instruction. I've heard they charge 6% to 10% a month and deduct it from the student's loan advance. So, in effect, the longer a student is in the program the less their refund would be if they were to withdraw. Under this sort of arrangement a student could blow through their entire loan amount before even getting their CPL. Any truth to this? Any SSHers out there?

[Ace]

Yes, it's true. They deduct 10% of your loan amount each month for 10 months.

[fry]

Yes, it's true. They deduct 10% of your loan amount each month for 10 months.

 

I guess it's legal and I suppose a company can charge anything the market is willing to pay for but, why would a customer agree to that?

[flying high]

why? Well,Jerry is a great salesman I'll give him that.But most of the people he sells to are clueless when it comes to the helicopter industry.Also when he offers money to train with no payments till your done or 6 months after your done training and your making $500,000 a year or whatever he's filling your head with it sounds like a great idea.At that point most people have already forgot about the 10%. Bottom line, misleading the customer equals big sales!

[fry]

Yes, it's true. They deduct 10% of your loan amount each month for 10 months.

 

I'd love to know how SSH justifies that and why the students agree to it. Is it SSH's implicit promise of employment? Think about it...SSH charges up to 40% more than any other flight school for the same number of flight hours, it gets the students to borrow a large sum and then lend it to the school without security and interest free and then, it has the students agree to forego a large part of what they have advanced to SSH if they try to withdraw. Now that's salesmanship. Who are these people?

[Ace]

....most of the people he sells to are clueless when it comes to the helicopter industry. Bottom line, misleading the customer equals big sales!

 

This is a very true statement, and Jerry knows and exploits this very well.

 

I'd love to know how SSH justifies that and why the students agree to it.

 

See quote above.

 

Is it SSH's implicit promise of employment? Think about it...SSH charges up to 40% more than any other flight school for the same number of flight hours, it gets the students to borrow a large sum and then lend it to the school without security and interest free and then, it has the students agree to forego a large part of what they have advanced to SSH if they try to withdraw. Now that's salesmanship. Who are these people?

 

And this will be the question of the century until something happens. Unfortunately, it looks like it will take awhile for us to know how this story will end.

[fry]

Yes, it's true. They deduct 10% of your loan amount each month for 10 months.

 

Not only that, according to another post the contract requires that the student complete the 200 flight hours within eighteen months:

 

"I read over my contract yet again, and rather than it saying that the student "will" finish in 18 months like all the seminars and radio advertisements suggest, it says the student "must" finish within 18 months, therefore giving the school the "contractual" right to terminate the students training if they do not complete within 18 months".

 

Why would anyone sign a contract like this???

[Ace]

Not only that, according to another post the contract requires that the student complete the 200 flight hours within eighteen months:

 

"I read over my contract yet again, and rather than it saying that the student "will" finish in 18 months like all the seminars and radio advertisements suggest, it says the student "must" finish within 18 months, therefore giving the school the "contractual" right to terminate the students training if they do not complete within 18 months".

 

Why would anyone sign a contract like this???

 

I'll tell you why people sign contracts like this.

 

why? Well,Jerry is a great salesman I'll give him that.But most of the people he sells to are clueless when it comes to the helicopter industry.Also when he offers money to train with no payments till your done or 6 months after your done training and your making $500,000 a year or whatever he's filling your head with it sounds like a great idea.At that point most people have already forgot about the 10%. Bottom line, misleading the customer equals big sales!

 

Or, you can just scroll up and see the same post by flying high.

[fry]

Tips on Choosing a Vocational School

 

• Investigate several types of training programs before committing yourself to a career or vocational school. Speak to current students. Ask them if they are satisfied with the training.

• Learn about each school’s faculty and classroom facilities. Ask to review a copy of the school’s contract. Ask the school’s administrator about the success rate of the programs.

• Investigate the job placement aspect of the program and ask about job placement rates.*

• Find out about financial assistance. Know the tuition costs and understand the school’s cancellation and refund policies.

• Ask the names of the school’s licensing and accrediting organizations, and check out the school with consumer protection offices before enrolling.

• Pursuant to Chapter 434 of the Laws of 1999, most vocational schools in NYS need to be licensed by the New York State Education Department, Bureau of Proprietary School Supervision (BPSS). You can obtain a school’s license status as well as other useful student information on the BPSS website: www.highered.nysed.gov/bpss.

* Contact the industry to find out what the requirements are to enter this field and ask them if they would hire you if you were a graduate from the school you want to attend.

 

Excerpted from the FTC publication “Choosing a Career or Vocational School” (April 1993).