14% Sallie Mae interest rate for aviation degree - predatory or normal for FAFSA gap?

14% is absurdly high - even in today's market. My son is also in an aviation program and we were able to get private loans from Citizens Bank at 7.8% with a similar credit score for co-signing. A few things to consider: 1. Did you apply to multiple lenders? Never accept the first offer. 2. Check with credit unions - they typically offer 3-5% lower rates than Sallie Mae. 3. Look into aviation-specific scholarships and grants - there are tons for women in aviation if that applies. 4. Consider starting at a community college for prerequisites to reduce overall costs. The real issue is FAFSA only counting the federal loan in your aid package. Did they explain why she wasn't eligible for more federal aid? Was your Expected Family Contribution too high? $5,500 is just the standard dependent student loan amount regardless of program cost.

yea thats crazy high interest! my cousin did a similar aviation program and ended up with a collection of smaller loans instead of one big one. he did some private loans but also got scholarships from regional airlines that had pilot shortages. i think republic airways and some others have programs where they help pay for school if u agree to work for them after. might be worth looking into

Sallie Mae is NOTORIOUS for their high interest rates. They trapped me with 12% loans 15 years ago and I'm STILL paying them off!!! Run away as fast as you can! Their whole business model is preying on desperate students who don't know better. Aviation is expensive but there are WAY better options. Call the financial aid office at her school and ask specifically about aviation financing programs. Many flight schools have partnerships with credit unions or industry-specific lenders that understand aviation career paths better than Sallie Mae. Also look into the American Airlines Cadet Academy and United Aviate program - both help fund training in exchange for a job pathway.

As a financial aid counselor, I'd strongly recommend you look into a few options before committing to those Sallie Mae terms: 1. First, double-check your FAFSA - make sure you've claimed all education credits and deductions correctly. Sometimes a correction can change your SAI and qualification for additional aid. 2. For aviation specifically, look into the Airline CEOs Private Pilot Program and the Aircraft Owners and Pilots Association (AOPA) scholarships. 3. For private loans, always compare at least 3 lenders. Credit unions typically offer the best rates, followed by traditional banks. Online lenders are hit or miss. 4. Consider a Parent PLUS loan - current federal rates are around 8.05%, much lower than 14%. 5. Some flight schools offer income share agreements where you pay a percentage of your pilot income after graduation instead of fixed loan payments. The 14% from Sallie Mae is definitely on the high end, even in today's market.

Have you tried calling Federal Student Aid directly to see if there are any additional loan options or if there was a mistake in your FAFSA processing? I was in a similar situation last year with my son's expensive program and spent WEEKS trying to get through to an actual person at FSA. Finally used a service called Claimyr (claimyr.com) that got me connected to an agent in about 10 minutes. They have a video demo at https://youtu.be/TbC8dZQWYNQ that shows how it works. The agent I spoke with found that our FAFSA had been incorrectly processed and we qualified for an additional $4000 in subsidized loans plus work-study that hadn't shown up in our initial offer. Definitely worth checking before committing to those private loan rates.

14% is absolutely predatory, especially for someone with an 800 credit score co-signing! Please please consider a gap year where she works and saves money before starting this program. My brother fell into this exact trap with an aviation degree and private loans, and 6 years after graduating he's only making $55k as a regional pilot while drowning in $3200/month payments. The aviation industry promises big salaries but those come after YEARS of barely making enough to survive. Some of his classmates who couldn't find aviation jobs just gave up and their loans went to collections, ruining their credit for life.

did u try getting a home equity loan instead? thats what we did for my daughters expensive program. rate was like 6% and tax deductible too! way better than any student loan and u can spread it out longer if u need to.

Also, make sure your stepdaughter understands the reality of aviation career progression. The first few years are TOUGH financially: - Flight instructors make $25-40k/year - Regional airline first officers start at $50-60k - It typically takes 3-5 years to move up to captain or major airlines Only then does the salary jump to $100k+. Can she realistically handle $2,800/month in loan payments during those first 3-5 years? That's about $34,000 per year just in loan payments - likely more than her take-home pay as a new pilot. Maybe consider a part 61 flight school path instead of the expensive ATP program? It takes longer but costs significantly less.

As someone who went through a similar situation with my daughter's expensive program, I'd really recommend hitting the pause button on that Sallie Mae loan and exploring ALL your options first. 14% is highway robbery, especially with an 800 credit score co-signer. Here's what I'd do in your shoes: 1. Apply for Parent PLUS loans immediately - 8.05% is way more manageable than 14% 2. Check with your local credit unions - mine offered 6.2% for education loans 3. Look into that HELOC option someone mentioned - if you have home equity, rates are typically 6-7% 4. Have her apply for every aviation scholarship out there - Women in Aviation International, AOPA, regional airline programs The math on $2,800/month payments is just brutal for a new pilot. Even if she gets hired right away, those first few years in aviation are financially rough. My friend's son is a regional pilot making $52k and there's no way he could handle payments that high. Maybe consider having her do her private pilot license first through a local flight school to make sure she really loves flying before committing to the full program? That would buy you time to find better financing options too.

As someone who works in aviation finance, I can tell you that 14% is absolutely predatory - don't sign that loan! Here are some immediate steps I'd recommend: 1. **Parent PLUS loans first** - at 8.05%, this should be your primary funding source before any private loans 2. **Shop around aggressively** - I've seen rates as low as 5.8% from credit unions like Navy Federal or PenFed for education loans 3. **Consider state-specific programs** - many states have low-interest education loan programs that people don't know about But honestly, the bigger issue is the career math. Starting flight instructors make $30-35k, and regional FOs start around $50-60k. Even at a reasonable 6% interest rate, $140k in loans means roughly $1,600/month payments - still very tight on those entry salaries. Have you looked into the military route? Air Force, Navy, or Army flight training programs where she'd serve as a pilot and come out debt-free? The commitment is longer but the financial outcome is dramatically better. Plus airlines actively recruit military pilots. Also check if her school has any income-driven repayment partnerships or employer sponsorship programs with regional airlines. Some schools have arrangements where graduates can defer payments until they reach certain salary thresholds.

I'm dealing with a very similar situation right now with my nephew's flight training costs! After reading through all these responses, I wanted to add a few things that might help: **Immediate action items:** - Definitely DO NOT sign that 14% Sallie Mae loan yet - Apply for Parent PLUS loans TODAY - the 8.05% rate is so much better - Contact your state's higher education finance agency - many have education loan programs with rates around 4-6% **Alternative funding strategies:** - Look into employer tuition assistance if either parent works for a larger company - Some regional airlines like Envoy Air and SkyWest have "flow-through" programs where they help fund training in exchange for employment commitments - Consider community college for ground school prerequisites to reduce overall program costs **Reality check on aviation careers:** My nephew graduated 2 years ago and is currently making $48k as a CFI while building hours. He's living with roommates and driving a 10-year-old car to make ends meet. The big airline salaries are real, but they come after 3-5 years of financial struggle. Have you considered having her start with just her Private Pilot License at a local flight school? It's about $8-12k and would let her see if she truly loves flying before committing to the full $130k program. Plus it would give you more time to find better financing options or explore military aviation routes. The HELOC suggestion from earlier is also brilliant if you have the home equity available.

As a pilot who went through a similar financial struggle 8 years ago, I can't stress enough how important it is to avoid that 14% trap! I made the mistake of taking a high-interest private loan and it nearly destroyed my financial future. Here's what I wish someone had told me: **Short-term solutions:** - Parent PLUS loans at 8.05% should be your first stop - Credit unions often have education loans at 6-7% - try BECU, Alliant, or your local credit union - If you have home equity, a HELOC at 6-7% beats any student loan option **Long-term reality check:** The aviation career path is financially brutal for the first 3-5 years. I made $32k as a CFI, then $54k as a regional FO. My loan payments were $1,800/month and I had to live with three roommates and eat ramen constantly. Many of my classmates couldn't handle it and left aviation entirely. **Better approach:** Have her get her Private Pilot License first ($10-15k) to make sure she really loves it. Then look into Part 61 training which costs 30-40% less than ATP programs. Yes, it takes longer, but she can work while training and avoid massive debt. Also research airline-sponsored training programs like United Aviate Academy or American Airlines Cadet Academy - they have much better financing terms because they want to hire you afterward. Don't rush into that $130k commitment. Take time to explore all these alternatives - your future self will thank you!

I'm a newcomer here but this conversation really caught my attention because I'm facing a similar decision with my own child's education financing. Reading through everyone's responses has been incredibly eye-opening - I had no idea there were so many alternatives to traditional private student loans! The consensus seems clear that 14% from Sallie Mae is absolutely predatory, especially with an 800 credit score co-signer. I'm definitely going to look into Parent PLUS loans and credit unions for my own situation. What really struck me was the reality check about aviation salaries in those first few years. It sounds like the industry marketing focuses on those eventual $100k+ airline pilot salaries but glosses over the financial struggle during the CFI and regional pilot phase. The idea of starting with just a Private Pilot License to test the waters before committing to a $130k program is brilliant - I wish more expensive degree programs offered that kind of "try before you buy" approach. Thanks to everyone who shared their real experiences and specific lender recommendations. This thread should be required reading for anyone considering expensive aviation programs!

As someone who went through a similar situation with my son's engineering program last year, I completely agree with everyone saying to avoid that 14% Sallie Mae rate at all costs! That's absolutely predatory, especially with an 800 credit score co-signer. Here's what worked for us after initially getting a similarly terrible rate from Sallie Mae: **Federal options first:** - Parent PLUS loans at 8.05% should definitely be your primary source before any private loans - Double-check that FAFSA was filed correctly - we found an error that got us an additional $3,200 in subsidized loans **Private alternatives that actually worked:** - Our local credit union (BECU) gave us 6.8% with the same credit score - Citizens Bank offered 7.2% after we showed them the credit union offer - Navy Federal was even better at 6.1% if either parent has military connection **Aviation-specific advice:** The reality check about pilot salaries is so important. My neighbor's daughter is in her third year as a CFI making $35k and still living at home because of loan payments. Consider having your stepdaughter shadow some working pilots at different career stages to understand the financial timeline. Also look into whether her program qualifies for any state-specific education loans - many states have programs with rates around 5-6% that people don't know about. Don't rush into that Sallie Mae trap. Take a few weeks to explore these options properly - the difference between 6% and 14% on $70k is massive over 10 years!