Flight school loans: Your complete guide to financing your aviation training

Becoming a pilot requires specialized training, and the costs can add up quickly. A private pilot's license might cost anywhere between $6,000 and $20,000, according to the Aircraft Owners and Pilots Association. If your goal is to fly commercial planes, you could be looking at over $100,000 in tuition and fees.

If your flight school is accredited, federal student loans can help cover these costs. Private lenders also offer flight school loans, but these typically lack the borrower benefits and protections that come with federal loans.

This guide will help you navigate your financing options, so you can focus on getting your aviation career off the ground.

What are flight school loans?

Flight school loans are debt you take on to train as a pilot. The loans could be federal or private student loans and are used to pay costs, including the following:

• Tuition for your flight school program
• Room and board
• Travel expenses
• Training materials
• Equipment
• Exam fees

Types of flight school loans

Federal student loans for flight school

Federal student loans are available only if you attend an accredited flight school. The U.S. Department of Education maintains a database of accredited academic institutions so you can find out if your flight school is included. Unfortuinately, not all flight schools make the cut. For example, ATP Flight School, a well-known training program, is not accredited. While there have been legislative efforts to expand federal student aid to include more flight schools, these proposals haven't been successful so far.

If your flight program is accredited, federal student loans should generally be your first choice. They come with access to income-driven repayment plans, forgiveness programs, and options for temporary relief if you run into financial trouble. Plus, the interest rates are fixed and relatively low compared to private loans, making them a more stable and affordable option.

Types of federal loans you may be able to take out for an accredited flight school include:

Private student loans for flight school

If your flight school isn't accredited or federal loans don't cover all your costs, private student loans could be an alternative. Many private lenders require you to attend an eligible four-year degree-granting program, but some, like Sallie Mae and Abe, also offer loans for other types of institutions and certificate programs.

Keep in mind that private loans are typically available to those who meet certain income and credit score requirements, or who apply with a cosigner who can meet them. While these loans often have no origination fees and offer a choice between fixed and variable interest rates, they lack the borrower protections found with federal loans. You won't find forgiveness options, income-driven repayment plans, or the generous forbearance and deferment options that federal loans offer.

Current private student loan rates

Eligibility criteria

To qualify for federal student loans for flight school, you must meet the following criteria:

• Enrollment in an eligible program: Your program must be accredited, and you can check its status using an online database.
• U.S. citizenship or eligible non-citizen status: You must have a valid U.S. Social Security number.
• Educational background: You need a high school diploma, GED, or other equivalent proof of qualification to pursue flight school training.
• Satisfactory Academic Progress (SAP): You must demonstrate that you're maintaining satisfactory academic progress at your flight school.

Requirements to be eligible for private flight school loans are set by individual lenders. Common requirements include proof of income and good credit - generally a credit score of 670 or above is required. You also need to have U.S. citizenship or eligible non-citizenship status with a cosigner who is a citizen.

How to get a flight school loan

Applying for federal student loans

Before applying for federal student loans for flight school, confirm that your chosen school is accredited. Only accredited schools qualify for federal loans. Here's how to apply:

• Create a Federal Student Aid ID: Visit the Federal Student Aid website to obtain your FSA ID.
• Gather required documents: Collect personal information for yourself and, if applicable, your parents or spouse, including names, birth dates, and Social Security numbers.
• Complete the FAFSA: Fill out and submit the Free Application for Federal Student Aid (FAFSA), which takes about an hour. You can import your financial information directly from the IRS or enter it manually. If you don't see your flight school listed on the FAFSA, it means your school doesn't qualify for federal financial aid.
• Review your financial aid award: After submitting your FAFSA, your flight school will send you an award letter detailing the federal loans, grants, and work-study opportunities you qualify for.
• Complete Entrance Counseling: Before your funds are disbursed, you must complete an online borrower education program, which takes about 30 minutes.
• Sign the Master Promissory Note (MPN): This legal document confirms your agreement to repay the loan.

Applying for private student loans

Applying for private student loans works differently because each private lender has their own process. However, the application process often includes the following steps:

• Prequalify with multiple lenders: Prequalification involves a soft credit check that won't affect your credit score. It lets you obtain quotes from several lenders to find the most affordable option for flight school.
• Submit your application: Once you've chosen a lender, apply on their website. You'll need to provide personal and financial information, details about your flight school, and complete a hard credit check, which may temporarily lower your credit score.
• Select your loan: Lenders may offer various loan options with different repayment terms. Remember that longer repayment terms mean lower monthly payments but higher overall interest costs. Variable rate loans might start lower but can increase over time, unlike fixed-rate loans.
• Sign and accept your loan documents: You can usually sign and submit your loan forms online.

More ways to pay for flight school

Grants and scholarships

To help cover the cost of aviation training, the Federal Aviation Administration (FAA) offers Aviation Workforce Development Grants aimed at future pilots and aviation maintenance technicians. The program is funded by Congress through 2028 and is highly competitive.

Beyond grants, scholarships are another key resource. The FAA has compiled a list of scholarships specifically for aviation students, offered by schools and industry organizations. Notable options include scholarships from Women in Aviation International (WAI), Boeing, and the Aircraft Owners and Pilots Association (AOPA).

Airline sponsored assistance programs

Some airlines offer tuition reimbursement and other financial incentives to flight students who commit to working with them after graduation. For example, the Airline Transport Pilot (ATP) Certification program partners with over 30 airlines, including United Airlines, SkyWest, and Horizon Air, to provide financial support. These programs vary by airline but typically include tuition reimbursement and bonuses, with eligibility depending on your progress in training and commitment to the airline.

FAQ

What documents are needed to apply for flight school loans?

To apply for flight school loans, you'll typically need to provide information about your school, proof of citizenship, and documentation of your income and assets.

How do interest rates compare between federal and private flight school loans?

Federal student loans usually offer more affordable fixed interest rates compared to private loans. Additionally, your credit history and income do not impact the interest rate on federal loans, unlike with private loans.

Can flight school loans be forgiven?

Federal student loans used for flight school may be eligible for forgiveness programs. Options include Public Service Loan Forgiveness (PSLF) or forgiveness through an income-driven repayment (IDR) plan after making a certain number of payments.

How can I improve my chances of getting approved for a flight school loan?

Attending an accredited flight school increases your eligibility for federal student loans, which are easier to qualify for. For private loans, applying with a well-qualified cosigner can significantly improve your chances of approval.

What are the repayment options for flight school loans?

Federal student loans offer various plans, including a standard 10-year repayment plan, graduated plans with increasing payments, extended repayment plans, and income-driven plans. For private loans, repayment terms are agreed upon with your lender when you take out the loan.