Aviation finance content sponsored by Aero-Space Reports
Finance: Remain fluid
Levels of liquidity affect aircraft financing
Answer: Without knowing your exact situation it’s hard to know exactly what the broker was referencing. However, most likely what the broker means is the amount of liquidity you have must meet a specific level. Lenders have varying amounts of minimum required liquidity. This can range from no minimum liquidity requirement to enough for your down payment plus 18 months of payments thereafter. Also, this minimum liquidity generally needs to be in the form of “marketable securities,” meaning stocks, bonds, mutual funds, or cash, and it must be held in nonretirement accounts, unless you are of retirement age.
There are often good reasons why someone might not need a minimum liquidity amount. AOPA Aviation Finance has relationships with multiple lending partners to ensure the most comprehensive options for our members, for situations like this.
If you need a dependable source of financing with people who are on your side, call 800-62-PLANE (75263) or go online to request a quote.AOPA
Adam Meredith is president of AOPA Aviation Finance.
