Q: What do lenders look for when approving an aircraft loan?

A: Aircraft lenders evaluate four key areas: your financial profile, the aircraft you’re
purchasing, your flying experience, and the overall risk of the transaction.

From a financial standpoint, lenders focus on income, debt obligations, available liquidity,
and credit history. They want to see that you can comfortably manage the aircraft payment
along with ownership costs such as insurance, maintenance, fuel, and storage.

The aircraft itself also plays a role in approval. Factors such as aircraft type, number of
engines, damage history, and logbook completeness can influence loan terms.
Experimental, rare, or multi-engine aircraft may require different down payments, rates, or
financing structures.

Pilot experience is another important consideration. First-time buyers and student pilots
can often qualify for financing, but lenders generally prefer to see a logical progression in
aircraft ownership. For example, a pilot purchasing a simple single-engine aircraft as their
first airplane may have more financing options than someone seeking a high-performance
turboprop with limited flight experience.

Every loan is evaluated individually, which is why understanding both borrower and aircraft
requirements early in the process can improve the likelihood of approval. If you have
additional questions about getting an aircraft approval, please call us at 800.627.5263.
Have an aircraft financing question of your own? Submit it to [email protected]