Plane Saver offers “help to buy”
03 May 17
Plane Saver is helping members get on the property ladder with a new “help to buy” loan.
The product is designed to give people a helping hand with raising their deposit for a new property, and can be of particular benefit to young people who might not have had time to save the required amount or might otherwise have to look elsewhere for cash.
The product has been launched as a new report from Legal and General shows that British parents will be lending their children an estimated £6.5 billion this year – an increase of 30% from 2016 – with 79% of this going to people under 30. The report says this makes the “Bank of Mum and Dad” the UK’s ninth largest mortgage lender!
Plane Saver’s new loan product is designed to relieve the pressure on parents to provide the funds for property deposits as well as giving a fairer chance to young people whose parents might not be able to help them in this way.
Plane Saver can provide a loan of up to £25,000 from as little as 4.5% APR to help members top up their mortgage deposit. As an example, someone who borrows £15,000 over the maximum ten year term could make a monthly repayment of just £154.74.
And as with all Plane Saver loans, there are no early repayment penalties, no hidden fees or charges, and interest is calculated on the reducing balance. Borrowers make repayments direct from their pay and can also enjoy free life cover and free accident and sickness cover.
James was one of the first Plane Saver members to take up the new product. He said: “I needed a loan to help top up a deposit for an apartment that I was interested in buying. I could not believe the speedy and professional service I received from Plane Saver. It’s an excellent product and as the loan repayment is taken straight from my salary, it makes it really easy to budget.”
Plane Saver serves employees in the airline, air transport, protective services and engineering industries. Since its inception in 1993, Plane Saver has developed into one of the largest credit unions in the country, serving over 10,000 members and making loans worth over £100 million to date.
Originally founded to provide affordable financial services to British Airways staff, the credit union has since 2010 expanded its field of membership to offer its services to employees in a wider range of related sectors. Plan Saver’s partner employers – who recognise the value of their staff being able to save and repay loans direct from payroll – now also includes Air Canada, IAG, American Airlines, Babcock, Avios and the Ministry of Defence.