Pursuing a career as a commercial pilot is a dream for many, but the high costs of pilot training can be a barrier. An education loan for pilot training can help aspiring aviators cover tuition, simulator training, and living expenses at top aviation academies in India and abroad. A student can apply for loans up to INR 1.5 crores with Indian banks and NBFCs to cover tuition fees and living expenses.
In this article, we’ll walk you through all the details on the education loans for Pilot Training, such as the types of education loans available and the step-by-step process to apply for these loans.
Table of contents
- Education Loan for Pilot Training in India
- Types of Education Loans for Pilot Training in India
- Top Lenders for Education Loan for Pilot Training
- Interest Rates on Education Loan for Pilot Training
- Top Colleges Abroad for Commercial Pilot License
- Requirements for Pilot Training Abroad
- Eligibility Criteria of Loan for A Commercial Pilot License
- Documents Required for Education Loan for Pilot Training
- How to Apply for A Commercial Pilot License Education Loan?
- Commercial Pilot License Loan without Collateral
- Cost of Commercial Pilot License Training
- FAQs
Why Choose an Education Loan for Pilot Training?
An education loan for pilot training provides financial support to cover the substantial costs of flight school, enabling students to focus on their training without financial stress. These loans are offered by banks, Non-Banking Financial Companies (NBFCs), and government schemes, with flexible repayment terms and competitive interest rates.
Benefits of Pilot Training Loans
Education loans for pilot training offer several advantages:
- Comprehensive Coverage: Loans cover tuition fees, simulator training, accommodation, uniforms, and travel expenses.
- Flexible Repayment: Repayment typically starts after a moratorium period (course duration + 6–12 months), easing financial pressure during training.
- Access to Top Institutes: Loans enable enrollment in reputed aviation academies in India and abroad.
- Secured and Unsecured Options: Choose between collateral-based loans with lower interest rates or unsecured loans for faster approval.
Education Loan for Pilot Training in India
Pursuing a career in aviation is a dream for many students, but the high cost of pilot training can be a significant barrier. Thankfully, an education loan for pilot training can help bridge this financial gap. Whether you’re planning to train in India or abroad, several Indian banks and NBFCs (Non-Banking Financial Companies) offer specialized education loans to cover pilot training costs.
These loans typically cover a wide range of expenses, including:
- Tuition and flight training fees
- Simulator training costs
- Uniform expenses
- Travel and accommodation (in some cases)
The sanctioned amount, interest rate, and repayment terms largely depend on factors such as the co-applicant’s income, collateral, training institute, and destination country.
Types of Education Loans for Pilot Training in India
Aspiring pilots have various options when it comes to education loans. Here are three common types to consider:
Secured Loans for Pilot Training
Secured loans require collateral, such as property or fixed deposits, which reduces the lender’s risk and results in lower interest rates. These loans are ideal for those who can provide assets and want to minimize borrowing costs.
- Pros: Lower interest rates (8.55%–11.50%), higher loan amounts (up to INR 1.5 crore).
- Cons: Risk of losing collateral in case of default.
Unsecured Loans for Pilot Training
Unsecured loans don’t require collateral but come with higher interest rates due to increased lender risk. Approval depends on creditworthiness, co-applicant income, and academic background.
- Pros: No collateral needed, faster processing.
- Cons: Higher interest rates (10.25%–12.50%), lower loan amounts (up to INR 50 lakh).
Government-Funded Schemes for Pilot Training
Government-backed schemes offer subsidized loans or scholarships for aviation training, often with favorable terms like lower interest rates and extended repayment periods.
- Examples: PM Vidyalakshmi Scheme, Central Sector Interest Subsidy Scheme.
- Pros: Affordable rates, relaxed eligibility.
- Cons: Limited availability, strict criteria.
Top Lenders for Education Loan for Pilot Training
If you are wondering where to take an education loan for pilot training or which are the best banks for taking an education loan for pilot training abroad, continue reading further. Financing your pilot training in India can be done through education loans offered by both public and private banks, as well as Non-Banking Financial Companies (NBFCs).
PNB Bank
Punjab National Bank’s education loan scheme ‘PNB Udaan’ offers student loans to pursue degree/ diploma pilot training programs. However, education loans for pilot training by PNB can be offered if the chosen course is recognised by regulatory bodies abroad for employment abroad.
- Need-based financing is provided subject to a margin as per RBI guidelines.
- Tangible security of suitable value must be provided if the loan amount exceeds INR 7.5 lakhs.
- Interest rates range from 10.25% to 12.25% p.a.
- Repayment tenure is up to 15 years.
Bank of Baroda
Bank of Baroda’s education loan scheme ‘Baroda Gyan’ lets you avail education loan for pilot training. approved by the director general of civil aviation.
- Education loans up to INR 1.5 crores can be availed.
- Interest rates range from 10.25% to 13.05% p.a.
- No processing fee for loans up to INR 7.5 lakhs.
State Bank of India
State Bank of India provides education loans for degree/diploma courses in pilot training, provided these are recognized by competent regulatory bodies in India /abroad. You must be between 18 and 30 years old to be eligible for the pilot training loan.
- 100% of the training costs are covered, including tuition fees, flying charges, and accommodation expenses.
- A margin of 15% must be contributed, and collateral must be pledged for loans above INR 7.5 lakhs/
- The second loan, also called the top-up education loan facility, is available in case you require more funds to cover the costs of pilot training.
Interest Rates on Education Loan for Pilot Training
Interest rates for education loans for pilot training are typically higher than those for general education loans. Check out the table provided below to compare and understand various rates, maximum amount of loan, and other aspects of banks providing loans for Pilot training:
| Lender | Maximum Loan Amount | Interest Rate Range | Repayment During Course | Moratorium Period |
|---|---|---|---|---|
| Bank of Baroda | Up to INR 1.5 Crore | 8.55%–10.55% | Nil | Course duration + 6 months |
| Axis Bank | Up to INR 1.5 Crore | 10.50%–11.50% | Simple Interest | Course duration + 6 months |
| HDFC Credila | Up to INR 50 Lakh | 10.25%–10.75% | EMI | Course duration + 6 months |
| SBI | Up to INR 1.5 Crore | 10.00%–11.00% | Nil | Course duration + 12 months |
| IDFC First Bank | Up to INR 50 Lakh | 11.00%–11.50% | EMI | Course duration + 6 months |
| Auxilo | Up to INR 50 Lakh | 11.50%–12.50% | EMI | Course duration + 6 months |
Note: Interest rates and terms are subject to change. Verify with lenders for the latest details.
Top Colleges Abroad for Commercial Pilot License
Top colleges abroad to study and have Pilot training:
- Aerosim Flight Academy
- CTC Aviation
- Singapore Flying College
- Olympus Aviation Academy
- Ardmore Flying School
- Western Michigan University Aviation College
- Ohio State University Aviation College
- Oxford Aviation Academy
- University of New South Wales Aviation
- United States Air Force Academy
Requirements for Pilot Training Abroad
To become a pilot, you must complete your pilot training. If you happen to be considering pursuing your pilot training abroad, here are some requirements:
- Maintain a healthy mental and physical state
- Be well-versed in all of your subjects, especially math, physics, and English.
- Set up the necessary funding to undertake pilot training continuously.
- Conduct thorough research and make a list of your top choice international pilot training facilities.
- Pass the entrance exam and meet the medical requirements to enrol in an international pilot training program.
- Clear, practical training papers in theory finish the practical training, including the required number of flying hours.
Eligibility Criteria of Loan for A Commercial Pilot License
Before delving into the world of education loans, aspiring pilots need to meet certain eligibility criteria set by lending institutions. Here are the key factors to consider:
- Age Limit: Lenders generally require applicants to be between 18 and 35-40 years old. This ensures that borrowers can complete their training and launch their careers within a reasonable timeframe.
- Educational Qualifications: To be eligible, applicants typically need to have completed their 10+2 education from a recognized board or equivalent, along with a strong academic record.
- Admission to a Recognized Aviation Institute: Proof of admission to a recognized aviation institute offering pilot training is a must. Opt for institutes recognized by regulatory bodies and known for their reputation in the aviation industry.
- Additional Factors: Lenders may also consider credit history, co-applicant income, collateral availability (for secured loans), and the requested loan amount.
Documents Required for Education Loan for Pilot Training
Various public and private banks and financial institutions in India offer education loans for pilot training. To apply for an education loan, gather the following documents:
| Document Type | Evidence of admission to a pilot training program. |
|---|---|
| Loan Application Form | Complete the application via the lender’s portal. |
| KYC Documents | Information about the applicant and co-applicant/guarantor. |
| Identity Proof | Passport, PAN card, or other forms of identification. |
| Address Proof | Aadhar card, passport, or utility bills. |
| Income Proof | Recent salary slip or bank statement from the last six months. |
| Enrollment Proof | Evidence of admission in a pilot training program. |
| Financial Statement | Proof of financial situation or assets. |
| Co-applicant Income Proof | Form 16, pay stubs, or tax records for the co-applicant. |
| Additional Documents | Affidavits, declarations, or previous loan statements, if applicable. |
| Collateral Documents (if required) | Documents related to collateral offered for the loan. |
How to Apply for A Commercial Pilot License Education Loan?
Securing an education loan requires careful preparation. Follow these steps for a smooth application process:
- Research and Select a Lender: Compare loan terms, interest rates, and customer reviews of different lenders. Choose the one that aligns with your needs and preferences.
- Gather Necessary Documents: Collect documents such as a completed application form, proof of age, identity proof, academic records, admission letter, cost estimation of training, income proof, and collateral documents (if applicable).
- Submit Application: Complete the loan application form accurately and attach the required documents.
- Loan Approval and Disbursal: The lender reviews your application, conducts a credit assessment, and verifies documents. If approved, you’ll receive an offer letter detailing the terms. Review, sign, and return it. The approved loan amount will be disbursed to your institute or account.
- Repayment Options: After the grace period, choose a repayment option like EMIs, step-up/step-down EMIs, or income-based repayment.
Relevant Read: BC Student Loan offers loans, bursaries, grants, and scholarships. Read to know everything about the BC student loan: the eligibility, application process, and more.
Repayment Options and Period for Pilot Training Loan
Education loans for pilot training generally offer flexible repayment options:
- Repayment usually starts after the completion of the course, during a grace period.
- Loan tenures can extend up to 15 years, depending on the loan amount.
- Early repayment options may be available without penalties.
Commercial Pilot License Loan without Collateral
An education loan for pilot training is a financial solution for aspiring pilots to fund their Commercial Pilot License (CPL) without pledging assets. These unsecured loans, offered by banks and NBFCs, cover high-cost training programs in India and abroad, making aviation dreams accessible.
Below, we explore loan options, costs, and scholarships optimised for your journey to becoming a pilot.
Unsecured Education Loan for Commercial Pilot Training
An education loan for pilot training without collateral helps cover tuition, training fees, and related expenses. These loans require no property or assets as security but demand a strong academic background and a co-applicant with stable income. Key benefits include flexible repayment tenures and competitive interest rates.
Check out the list of banks in India that offer education loans for commercial pilot training without collateral:
| Bank Name | Loan Features |
|---|---|
| State Bank of India (SBI) | Offers education loans for up to INR 15 lakhs without collateral. |
| Punjab National Bank (PNB) | Provides loans for pilot training programs, potentially without collateral. |
| Canara Bank | Tailor’s education loans for aviation training, often without collateral requirements. |
| HDFC Credila | Specializes in education loans with options for pilot training, offering unsecured loans. |
| IDBI Bank | Offers loans for various professional courses, including pilot training, often without collateral. |
| Credenc | Provides unsecured loans up to INR 50 lakhs specifically for pilot training |
Cost of Commercial Pilot License Training
In nations like the USA, the UK, Canada, and Australia, the cost of pilot training can range from Rs 40 lacs to Rs 80 lacs on average. However, with education loans, prospective pilots can obtain loan sums up to Rs 1.5 Cr to meet their training fees.
Education loans for pilot training overseas are a wise financial decision for aspirant pilots due to their flexible repayment choices, direct loan disbursement to the training academy, and accessibility to the best aviation schools globally. Pilot training typically costs between Rs 70 and Rs 80 lakhs outside of India. The sum is significant enough that some students could consider abandoning their desire to pursue pilot school.
Scholarships for Pilot Training
Pursuing a career in aviation can be financially demanding, but various scholarships can significantly ease the burden. Below are some notable scholarships available for commercial pilot training:
| Scholarship Name | Details |
|---|---|
| Education Future International Scholarship | Supports international students aiming to pursue aviation and other higher education courses. |
| HEST 2024 – Higher Education Scholarship Test | A merit-based scholarship for Indian students pursuing higher education, including pilot training. |
| John M. Azarian Memorial Armenian Youth Scholarship | Financial aid for Armenian youth interested in pursuing aviation or other professional courses. |
| Asian Development Bank-Japan Scholarship Program | Offers funding for students from developing countries pursuing studies, including aviation. |
| Global Citizen Scholarship | Recognizes exceptional students worldwide with financial aid for professional training, including pilot courses. |
| Royal Business Bank Scholarship Program | Provides scholarships to students pursuing professional training, including pilot training, in the USA. |
| Thomas Wall Trust Grants for Individuals 2024 | Offers funding to individuals aiming for career development, including aviation training. |
| Fulbright Foreign Student Program in USA 2024 | Financial support for international students pursuing higher education in the USA, including pilot training. |
| J.N. Tata Endowment Loan Scholarship 2024 | A loan-based scholarship program for Indian students pursuing higher education, including aviation. |
| Ambedkar Overseas Vidya Nidhi Scholarship | For SC students from India seeking higher education abroad, including pilot training programs. |
| Aga Khan Foundation’s International Scholarship Programme (ISP) 2024 | Provides scholarships to outstanding students from developing countries for advanced studies, including aviation. |
These loans provide the financial support needed to pursue their passion without immediate financial constraints. If aviation is your dream, explore the possibilities of education loans and take that crucial first step towards realising your aspirations among the clouds.
FAQs
Yes, you can secure an education loan for pilot training to pursue your dream of becoming a pilot. These loans are available for training at top aviation schools in India and abroad, covering both flying and ground training programs.
The education loan for pilot training can range from INR 20 lakhs to INR 1.5 crore, depending on the lender and the specific training program you choose.
Repayment tenure for an education loan for pilot training typically ranges from 5 to 15 years, based on the lender’s terms and conditions.
To apply for an education loan for pilot training, you’ll need:
– Admission letter from the aviation school
– KYC documents (identity and address proof)
– Income proof of the co-applicant
– Academic records
Yes, most lenders require a co-applicant, such as a parent or guardian, to secure an education loan for pilot training.
The cost to become a commercial pilot, including obtaining a Student Pilot License (SPL), Private Pilot License (PPL), and Commercial Pilot License (CPL), ranges from INR 40-50 lakhs. An education loan for pilot training can cover these expenses, depending on the loan amount approved by the lender.
Yes, eligible candidates can apply for scholarships to supplement an education loan for pilot training. These include:
Flying Training Scholarship: Up to INR 3,50,000
Ground Training Scholarship: Up to INR 1,50,000
The Philippines is one of the most affordable countries for pilot training, with costs around INR 9-10 lakhs. Australia is the next cheapest, with training costing INR 16-18 lakhs. An education loan for pilot training can be used for programs in these countries, subject to lender approval.
Pursuing a career in aviation through a pilot training program comes with a high cost. Education loans for pilot training programs offer an easy solution to finance this dream for aspiring pilots. By understanding the eligibility criteria, application process, and required documents, you can understand the complexities of securing funding for education and training.
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