The short answer
Aircraft loans commonly run up to 20 years on newer pistons (shorter on older airframes and many turbines/jets, which often use balloons). As of early 2026, well-qualified piston borrowers see illustrative rates in the mid-to-upper 6% range; weaker credit and older aircraft run higher.
Illustrative Rates by Credit Tier
| Credit tier | Illustrative APR |
|---|---|
| Strong (720+) | mid-to-upper 6% |
| Good (680–719) | 7–8% |
| Challenged (<680) | 8–12% |
Rates depend on the aircraft class and age too — turbines and jets price differently and often use balloon structures. See our rates guide.
What Drives Your Rate and Term
Five things: your credit, the down payment, the loan size, and the aircraft's class and age. Newer, more valuable aircraft with strong-credit buyers get the best rates and longest terms; older airframes get shorter terms and a larger down payment. Compare offers on APR (which includes certain costs), not just the headline rate.
Figures in this article are illustrative for the 2026 market and are not offers of credit. Jaken Aviation is a licensed aircraft financing brokerage — a division of Jaken Finance Group — and does not make loan decisions. All financing is subject to lender approval. Tax and legal information is general; consult a qualified professional.
Related Questions
What term can I get on an older airplane?
Usually shorter than a new one — often 10–15 years versus up to 20 — because the lender wants the loan retired within the aircraft's remaining useful life.
Are aircraft loan rates fixed or variable?
Most are fixed-rate, so your payment stays constant. Some structures use variable rates or balloons; a broker can explain the options.
What is a balloon payment?
A large final payment on a loan whose regular payments were calculated over a longer amortization. Common on turbines and jets to keep payments manageable.
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