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How You Use Your Airplane Shapes the Loan

How You Use Your Airplane Shapes the Loan

How will you use your airplane? It’s a question AOPA Finance asks early—because the answer shapes your financing options and terms.

To lenders, airplanes fall into two categories: “nice-to-have assets” or “working assets.” Personal or business travel aircraft typically fly fewer hours and are considered nice-to-have. In contrast, aircraft used for charter (Part 135) or leaseback fly more frequently and are treated as working assets. The difference in usage creates very different risk profiles.

Nice-to-have aircraft are easier for lenders to manage in a default scenario. They can be sold without disrupting a business, and their depreciation tends to be slower and more predictable. That makes them a more comfortable risk, often qualifying for favorable terms—like longer amortization and lower down payments.

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This article was originally published by AOPA Finance on June 12, 2026.