CHRIS: What's the longest term for a Cessna 170B?
ADAM: The longest term for a Cessna 170B would be 15 years, however this assumes no damage history and complete logs for the aircraft, as well as good credit for the borrower.
DAVE: How much can be borrowed on an aircraft? Is there a percentage limit?
ADAM: Typically the maximum you can borrow is 85% of the aircraft value, however there are some limited exceptions where 90% is considered for exceptional credit.
Although our lenders can sometimes get to 90% on a limited basis, generally this only makes sense when the borrower is planning to pay down the loan faster than a standard term of 15-20 years.
ROGER: What is the impact of bankruptcy when applying for a loan?
ADAM: Bankruptcy is generally a problem with most lenders. There are instances where a lender can get passed a bankruptcy, however, but they will want to ask the following questions:
The lender will need to see evidence of good credit history since the bankruptcy and feel comfortable that it was a one-time event. If they are able to provide an approval you should expect a higher interest rate, more money down, as well as a shorter loan term.
Great rates. Great terms. Helpful and responsive reps. Three good reasons to turn to AOPA Aviation Finance when you are buying an airplane. If you need a dependable source of financing with people who are on your side, just call 800.62.PLANE (75263) or click here to request a quote.
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