Aircraft loan rates and terms in 2026, and how partners finance a plane together
November 2, 2026 · Chris van Eijk
An aircraft loan is what turns a purchase price into a monthly bill, and for a partnership it decides who is liable for what. Several lenders only quote on request. We read the rates, terms and partnership rules that lenders and brokers print on their own websites on 1 November 2026, and set each rate next to the conditions that come with it.
Short answer: the lowest dated US aircraft loan rates with a stated term ran from 6.39% to 8.99% in autumn 2026; these are floors, not what a buyer pays. FLYING Finance, a broker, lists a starting rate of 6.39% for a certified piston aircraft with up to 20-year amortization, and Wings Credit Union quotes from 7.99% APR over 7 years to 8.99% APR over 15 years on aircraft from model year 2021. AOPA Aviation Finance puts the minimum at 15% down, 20% on aircraft from before 1960, and says 20 years is only available on loans from $75,000. A loan of $127,500 at 6.39% over 20 years costs $942 a month. Partners can share a loan, usually up to four of them, but each must normally qualify for the whole amount: the lender does not split it.
What aircraft loan rates are published today?
None of these is a quote. The credit unions print an "as low as" APR under stated conditions. FLYING Finance prints a starting rate, which it also calls a "baseline market average for standard transactions", and says better profiles can get less. The conditions matter as much as the number.
Published aircraft loan rates in the US, with their conditions
| Rate | Term | Source | Conditions | Dated |
|---|---|---|---|---|
| 6.39% starting rate | up to 20-year amortization | FLYING Finance | Certified piston, new and used. A published starting rate, not an APR | November 2026 |
| 7.16% starting rate | up to 20-year amortization | FLYING Finance | MOSAIC light sport | November 2026 |
| 7.23% starting rate | up to 20-year amortization | FLYING Finance | Experimental and kit aircraft | November 2026 |
| 7.99% APR | 7 years | Wings Credit Union | Model year 2021 and newer, up to $100,000, with a 0.50% direct-deposit discount | 30 October 2026 |
| 8.49% APR | 10 years | Wings Credit Union | As above, $25,000 minimum | 30 October 2026 |
| 8.99% APR | 15 years | Wings Credit Union | As above, $35,000 minimum | 30 October 2026 |
| 5.59% APR, as low as | terms up to 10 years; the term of this rate is not stated | American Airlines Federal Credit Union | A rate shared with boats; up to 549 hp, no kit or experimental aircraft. The page offers up to 0.90% in discounts and does not say whether this rate includes them | 18 September 2026 |
Read the small print before comparing. Wings' rates are for aircraft from model year 2021 onwards and loans up to $100,000, and assume a 0.50% direct-deposit discount. American Airlines Federal Credit Union's 5.59% is a rate shared with boats and the page does not say which term it covers, so it is not a rate for a 20-year loan on a used Cessna. AOPA Aviation Finance said in January 2026 that it saw "aircraft finance rates in the low 6 percent range", across aircraft types, turbine included. Its undated single-engine page says rates are "between 6.99-9.99%".
Rates also move quickly. FLYING Finance's own history shows its certified piston starting rate at 7.07% on 2 October 2026, 6.62% on 5 October and 6.39% on 31 October. A rate in an article, this one included, is a reading on one date: the table says which.
What does an aircraft loan cost per month?
Take the amount, the rate and the term, and the payment follows; our free aircraft loan calculator does it for your own numbers and divides it between partners. On $100,000 the payment runs from $739 a month at 6.39% over 20 years to $1,558 at 7.99% over 7 years.
Monthly payment per $100,000 borrowed
The term moves the payment more than the rate does, and it moves the total the other way. Take an illustrative $150,000 aircraft with 15% down, so a loan of $127,500. At 6.39% that is $942 a month over 20 years and $1,887 a month over 7 years. The 20-year loan costs $98,668 in interest in total, the 7-year loan $30,968. That sum uses the same rate for both terms to show what the term alone does; in practice the rate differs per term, and FLYING Finance lists a minimum 15% down among the things that push a rate up, so expect to pay more than this. FLYING Finance adds that lenders "fund against the aircraft's appraised value, not the asking price or your agreed purchase price". What the aircraft loses in value meanwhile is a separate cost: see aircraft depreciation.
The loan comes on top of everything else the aircraft costs. Our aircraft ownership cost calculator shows hangar, insurance, maintenance and reserves per type and leaves financing out, so you can add the loan as a yearly cost line of your own.
What do lenders require?
Down payment. AOPA Aviation Finance: "Aircraft lenders will require a minimum down payment of 15% on aircraft newer than 1960 and 20% for older aircraft." Credit unions word it differently: American Airlines Federal Credit Union says "Downpayment may be required." AOPA adds that terms run from 5 to 20 years, "20 years only available on loans of $75K and above".
Credit and reserves. For a first-time buyer, AOPA asks for a 15–20% down payment "plus 18 months of payments in liquid assets and a credit score of no less than 700". Not every lender works that way: Dorr Aviation says its terms are "not based on your personal credit history" but on the year, make and model of the aircraft, though it still asks for tax returns.
Insurance. AOPA: "Typically, Lenders require you to maintain full ground and flight insurance, as well as "Breach of Warranty Coverage" for the amount of the loan with a carrier acceptable to the lender." See how much aircraft insurance costs.
Pre-buy inspection. Here the sources differ. AOPA: "For all loans over $250,000, a copy of the pre-buy inspection is required." FLYING Finance says "any lender financing a used aircraft transaction will require one before funding". Plan on one either way; see what a pre-buy inspection costs.
Sales tax. Not in the loan at AOPA's lenders: "No, it is your responsibility to pay for sales tax and/or fees."
Can aircraft partners get one loan together?
Yes, in the US, usually up to four people. AOPA Aviation Finance: "Four partners is often the maximum lenders will allow", and "Up to four people can be listed as co-borrowers on the same loan." For a registered business loan, the business and up to three more people can be listed. But four shares do not mean four quarter-loans.
AOPA spells out what lenders expect: "The loan will not be divided between the partners, so each partner would need to qualify as if they were the only one buying the airplane." Every partner also gives a personal guarantee, so if one stops paying, the others still owe the whole payment. Some lenders are more flexible: "There are some lenders, however, that can rely on just one partner, or in some circumstances, combine the partners’ information to meet the loan requirements."
One aircraft, four partners: two different pictures of the same loan
- One loan of $127,500
- One payment of $942 a month
- Each partner qualifies for the whole $127,500
- Every partner gives a personal guarantee
- The lien covers the whole aircraft
- $5,625 each towards the down payment
- $235.59 each towards the monthly payment
- Who pays what, and what happens if someone stops
- How a partner leaves while the loan runs on
Three things follow from that.
- An LLC does not change it. AOPA: "lenders will require that all members of the LLC personally guarantee the loan".
- One partner can finance their share, but the lien covers the whole aircraft. FLYING Finance calls one owner paying cash while another finances "Entirely doable", but: "There is no such thing as a lien on 25 percent of an airframe at the FAA registry." So "Every cash owner must consent to the lien", and often gives a limited guarantee or subordination as well.
- The split is yours to organise. "Lenders will not divide the loan payment between the partners, so the decision of who pays how much is up to the partnership." Write down what happens if a partner stops paying or leaves in the partnership agreement, before the loan is signed.
Some lenders may accept a subordination agreement from a silent partner who does not want to guarantee the loan. AOPA: "Signing a subordination agreement allows the silent partner to be helpful to the active partner in acquiring the loan without having to submit financial documents or provide a personal guarantee on the loan". That puts the lender's claim on the aircraft ahead of the silent partner's, and AOPA adds that having all parties on the loan remains the preferred option.
How can a flying club finance an aircraft?
AOPA Aviation Finance lists club loans, in which a club gives up either a large down payment or a guarantee. FLYING Finance is less optimistic: "lenders lend to people, not clubs." AOPA's three routes: A club of five years or more can borrow without a personal guarantee at up to 50% of the value; a younger club can go up to 80% with a limited guarantee; and an owner can finance an aircraft and lease it to the club.
How a flying club can finance an aircraft (AOPA Aviation Finance)
| No Personal Guaranty Flying Club loan | Limited Personal Guaranty Flying Club loan | Leaseback Loan to a Flying Club | |
|---|---|---|---|
| Borrower | Flying Club | Flying Club | Individual or LLC |
| Guarantee | No Personal Guaranty | Limited Personal Guaranty Required | Personal Guaranty Required |
| Loan to value | Up to 50% LTV | Up to 80% LTV | Up to 70% LTV |
| Term | Up to 10 years | Up to 10 years | Up to 12 years |
| Rate | Approx. 8.75-9.99% | Approx. 8.75-9.99% | Approx. 7.25-7.75% |
| Which clubs | Established clubs, minimum 5 years of operation | Start-ups to clubs up to 5 years of operations | Start-ups OK. Requires strong credit; cash flow must not depend on the club |
The third route is a leaseback, which carries the lowest indicated rate of the three, with a person or LLC behind the loan. Whichever you pick, the payment has to come out of what the members pay.
How does aircraft finance work in the UK and Europe?
The two UK sources we could read advertise shorter terms: Buckley Aircraft Finance, a broker, "Terms from 1-7 years", and The Light Aircraft Company, a dealer, "Terms up to 7 years", against up to 20 years in the US. Without a balloon, the same $127,500 at the same rate costs twice as much a month over 7 years as over 20. Both also offer a balloon, which lowers the payment and leaves a lump sum at the end.
A UK quote can also look cheaper than it is. Buckley's credit-sale example for six people buying a brand new EV97 microlight costs £108,000: £27,000 down (£4,500 each), and £81,000 of credit over 60 months at £1,657.48 a month, or £276.24 each, after a first payment of £2,057.48 that includes a £400 fee. That loan has a flat rate of 4.56%, which is the same loan as 8.9% APR. A flat rate charges interest on the original amount for the whole term, so never set it beside a US rate; compare APR with APR, and remember FLYING Finance's starting rate is not an APR either. Buckley calls this a representative example, "for illustration purposes only", and says "A guarantee may be required" without saying who carries the debt if a member stops paying. Ask that before you sign.
We found no dated UK rate, and no German, Dutch or other EU lender publishing an aircraft rate or partnership rules, so we give none; several lenders' sites could not be read. The US figures in this article do not describe a loan a European buyer can get; AOPA's service, for one, says "At this time, only US citizens are able to use our services."
Keeping the split straight
A lender sends one bill. The partners still have to collect their shares, every month, for as long as the loan runs, on top of the hangar, the insurance and the flying.
Pilot-Next keeps that in one place. The fixed share, loan payment included if the partners agree that, can be a recurring fee: monthly, quarterly or yearly, with an own amount per owner where shares differ, billed as an invoice on each owner's account in one step, or automatically each period if the group switches that on. Each pilot settles their own flight with the meter readings, and every owner sees their balance. Prefer to start on paper? The aircraft partnership spreadsheet does the same sums in Excel. Pilot-Next does not offer loans or financial advice, and the terms of your own loan are between you and your lender.
Sources
Read on 1 November 2026 on each lender's or broker's own website: FLYING Finance rates, rate history, used aircraft guide, pre-buy guide and flying club financing; Wings Credit Union; American Airlines Federal Credit Union; AOPA Aviation Finance on piston aircraft, first-time buyers, its FAQ, co-ownership, ownership structures, LLCs, silent partners and flying clubs; AOPA news, January 2026; Dorr Aviation; Buckley Aircraft Finance and its terms; The Light Aircraft Company. This article is general information, not financial advice.