Eric's Credit Community

Hi everyone,

I am relisting, with some adjustments based on reality at Prosper as well as feedback from the previous listing (Thanks to those willing to help!). 

First, the request amount has been reduced to $12.5K @ 17% (FL rate cap minus prosper 1% for bank draft -- silly I can't elect to NOT do bank draft now, and pass on the additional interest rate to you, my lender).  It seems that loans in this amount, with my credit grade, and this rate seem to get funded, whereas the higher amounts do not.  This is the "reality" part, and also reality for me that partial funding of the engine rebuild is better than none. 

Someone mentioned that it may not be obvious to those outside aviation what the cost of an engine rebuild is, or how a rebuilt engine affects the value of the aircraft.  The engine rebuilder is Teledyne Mattituck, http://www.mattituck.com.  These guys are very reputable, and have been rebuilding aircraft engines for a long time.  If you are curious, they have price lists.  My engine is a Lycoming O-360-A1A.  I was quoted $16K, provided certain major parts were reusable.  In my case, the crankshaft did not pass muster, and a replacement is another $5K (see http://www.eci2fly.com).  My total is about $21K, so requesting $20K in the prior listing was a reasonable request if you discount reality ;-)  However, partial funding is better than none. 

Consider the effect of the rebuilt engine on the aircraft value.  According to vref (not sure what their web site is, or if they have one, I get free valuations through my AOPA membership, http://www.aopa.org), the engine is rated for 2000 hours between overhauls, and the amortized value of the overhaul is $10/hr.  That is, aircraft with an engine with 1000 hours left is worth $5000 more than an an aircraft with an engine that only has 500 hours left.  Thus, this rebuild alone will add $20K to the value of aircraft (of course, the other work I am doing will help as well). 

Second, my personal circumstance changed a little bit after a discussion I had with my accountant.  It seems that if I can complete this project this year, I can take the first year's depreciation immediately, i.e. against 2006 taxes, reducing the amount of taxes being sent to the US Treasury this year and leaving more in my pocket.  My tax obligation will be 35% of what it was last year, and this is a gift that gives for the next 5 years in ongoing depreciation!  Naturally, this will help to repay this loan.  My plan is to repay over 12 months. 

Needless to say, given the above, I am willing to go to great lengths to complete the project in time for tax year 2006!  

Third, I had someone question the number of "credit accounts" showing on my credit report.  I pulled my CR from experian.  It turns out they are counting ALL credit lines, even those that are closed. 

Here is the breakdown:

TOTAL: 55 listings,
CLOSED:  
    39 listings - 26 of these are consolidated student loans, the balance are either account 
    paid off/closed or reopened following a loss of the credit card. 
OPEN: 
    MORTGAGE 2 
    CREDIT CARD 9 (3 zero balance - yes I'm working on this too) 
    AUTO LOAN 1 
    STUDENT LOAN 4

I thought it was somewhat misleading that it states I have 55 lines of credit listed without specifying that 39 of these were closed for various reasons.  Please contact me if you have any additional questions. 

PREVIOUS LISTING was ID # 53844 (including it directly here would make the listing too long). 

Th