If you love traveling but hate the rigmarole of having to fly on a commercial airplane, then you’ve got to consider a personal aircraft.
While it’s become more affordable to fly via private aviation, it’s still a bit of a challenge to own a personal airplane. So how do you ensure you finance a great quality personal aircraft as fast as possible?
This quick guide will show you the financing options to get a small aircraft so you can travel and have full control of your transportation methods!
Here’s what you need to know:
You can find airplane loans from private banks that’ll help you buy a small aircraft upfront. You’ll also get ample time to pay back the loan at a low-interest rate and for a long period.
You can click for more details on how to qualify for airplane loans from a great private bank. Make sure you get an idea of what personal airplane you’d like to buy so that you have an idea of how much you’d need from the bank.
So what happens if your bank doesn’t offer airplane loans? You can still request a traditional loan that you can use to finance your personal airplane.
You’ll have to prove that you have good credit to qualify for a traditional loan. With a traditional loan option, you’ll also have to provide details as to why you should receive the loan.
The bank loan officer will ask you why you need to own a personal aircraft. You’ll have to justify the purchase if you want to receive the loan. You might have to provide information on why you need to travel often and why a personal airplane is crucial for your travels.
You’ll also have great flexibility with deciding on a variety of financing options. You can request a full loan to pay the total cost of the personal airplane or a partial loan.
The final type of loan is an asset loan where you’ll exchange a valuable asset for the money needed to buy a personal airplane.
If you’re unable to pay back the loan then you’ll agree to forfeit the valuable asset. This is much harder to receive as you’ll have to prove you have assets that match the value of a small aircraft.
This might include giving up your car or even a rental property! You should only choose this type of loan if the other two options are unavailable to you.
Hop Aboard Your Personal Airplane
Now you know the various financing options for a personal airplane and can find the small aircraft of your dreams!
Many private banks offer airplane loans designed to help you buy the best personal airplane for your needs. You’ll get ample time to pay back the loan in this situation.
If airplane loans don’t work, then consider traditional loans if you have good credit. If neither of these financing options is available then you can use your assets as collateral to secure a loan.
You can find more content on private aviation on our blog!