Jet Card buyers beware!
- Gary Menzies
- Jul 28, 2020
- 1 min read
Updated: Feb 5, 2021
As a former registered investment advisor I took great caution when recommending investments to my clients. I was even more concerned about the return of the investment than the return on the investment. Jet Card purveyors offer cards that could range in price from $50,000 to $250,000 or more. A jet card is really just a pre-payment plan whereby the customer is buying a certain number of charter hours in a certain type of jet for a fixed price. The most important question to ask your provider is; what happens to my investment while I am waiting to use my hours? If it is commingled with the companies assets as it is with most jet card purveyors, the customer is taking on a great risk. Did you really intent to be an un-secured creditor to an aviation company in an industry with historically high rates of failure? And with no investment return?
A major A recent Forbes article said: “After any administrative expenses are paid, no funds will be available for distribution to unsecured creditors.” It is estimated SuiteKey members had more than $50 million in unused flight credits at the time of the grounding.""
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