Tips for Filling Out the Aircraft Finance Online Application

There’s a saying, “Time kills all deals.” Especially true in today's tight market. 
AOPA Aviation Finance

That’s the primary reason application accuracy matters. Improperly filling out a form increases the amount of time it takes to process the application.  It’s important to take the necessary time to fill out the application both accurately and in its entirety.  Ultimately, the income/assets/liabilities you state will be validated by the lender via your credit reports, background checks, etc.

Aircraft Usage

Almost as often as not, we will see an applicant misstate their aircraft usage intention on the online form. It’s our experience that people generally have a good idea of how many hours they intend to fly their new plane and if it’ll be truly for personal use, under a dry lease arrangement or under a leaseback to a third party, so it's best to provide that information upfront as soon as possible.

If you present one way on the application and then attempt to change how you present well into the process, not only could it reset the whole application timeline, but it could also possibly cancel the entire transaction.

Personal Financial Statement aka “PFS”

The Personal Financial Statement is another part of the application that can cause issues if not filled out properly. Omitting information from it could dramatically reduce the number of options AOPA Aviation Finance can provide for financing. Past omissions include bank account disclosures, as well as cash-on-hand disclosures, too. Without knowing how much liquidity an applicant actually has, neither AOPA Aviation Finance nor their lenders can determine if they have a financing option.

Type of Credit: Individual, Joint or Partnership

Other issues encountered include buyers who initially apply as an individual, but then choose to include their spouse's income. That can be done, but if done, it means starting over and filling out the application for Joint applicants. The same holds true if a person chooses to register the airplane under a business entity in which they have only partial ownership.  They will need to add their spouse on a Joint application or add a partner(s) to the loan. All partners included in the ownership of the airplane will need to complete their own application.

Aircraft Registration

The most egregious example is when a borrower produces a certificate of insurance that is not representative of the application. For example, the borrower indicated to the lender they had established a single purpose entity—LLC or otherwise—under which the plane would be held for personal use. Instead, the COI arrives and the insured party is a flight school. Not only could the bank halt the process, even when it’s 95% complete, we’ve seen banks pull the loan.

Great advice. Great rates. From helpful and responsive reps you can trust. Three good reasons to turn to AOPA Aviation Finance when you are buying or refinancing an airplane. If you need a dependable source of financing with people who are on your side, just call 800.62.PLANE (800.627.5263), or click here to request a quote.

Adam Meredith
Adam Meredith
President of AOPA Aviation Finance Company
Adam Meredith, the longtime president of AOPA Aviation Finance Co., died after a long battle with cancer in December 2023. He is remembered for his passion for helping fellow pilots, leading a team devoted to putting flight training and aircraft ownership within everyone’s reach.
Topics: AOPA Aviation Finance Co, Financing

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