Deposit then monthly payments

Rather than paying a lump sum when ordering new aircraft, could there be a new function where you pay a deposit when ordering the aircraft and pay off the rest of the total price of the aircraft in monthly payments over x amount of years? I see that car dealerships do this in the real world and I think some aircraft manufacturers may also do this. This feature would be a great help to new airlines, who cannot afford to pay for the newer aircraft in one lump sum.

This is already implemented, it is the second option "Loan purchase"

This seems to be in terms of taking a loan from the bank to pay for the aircraft, is there a function to pay for the aircraft out of the funds of your enterprise by paying a deposit and then monthly installments?


When the car dealership you referenced in the OP sell you a car and you make monthly payments on it you are servicing the loan you took out when you purchased the car. If the aircraft manufacturer gives you an aircraft and you can not pay for it you are by definition purchasing it with a loan, debt, credit, or whatever word you want to use.

here is a example

i buy a car it cost £10000. the car dealerships partnership bank will pay the car dealership 90% of the car i will pay 10%. then i pay the bank an agreed sum every month over a year.

this sim

i buy an airbus a320 say at 42,000,000 i will pay airbus a 10% to 70% lump sun then the as bank will take a loan then you pay it bank weekly

I think what he means is that instead of weekly payments, he would like too see monthly payments happen instead. Am I right?

Ive been thinking of this for awhile and still dont quite understand why there is weekly payments and not monthly. I work for an airline here in the US and we do monthly payments, not weekly. So may I ask why we use weekly payments and not monthly?

Yeah monthly payments would be better, as some of the weekly payments can be ridiculously high for newcomers like me. Especially when you’re paying more in interest than you are actually paying for the installment.

If it were monthly then presumably it would be over 4 times the cost per installment. Paying weekly spreads the costs more evenly and is probably better. if the weekly cost of a 737 is $3,000,000 then the monthly cost would be 1.3 million. that is quite a chunk of change for a new airline and might be hard to plan for.