What's the "Loan" mechanic?

[Altissimus]

I hear people talking about 200,000cr loans.

Could someone please elaborate? Is this different to insurance?

My current ship's insurance is 300kcr...does that mean I can't buy back as it is more than 200k?

Thanks,
A

 

[Phaedra]

You only need a loan if you don't have enough credits in your balance to rebuy you ship at the insurance price and pay off any fines or bounties you have in the jurisdiction you last docked in. It's coverd in the manual, if you want more detail.

 

[Altissimus]

Ok, thanks.

So basically if my ship costs 300k to replace, and I die with only 150k in cash, I can get a loan for 150k and replace fully then pay back the loan?

 

[ElleShaped]

Yes. You pay back the loan by having 10% of all money you earn deducted from your earnings and put towards the loan until it is paid off.

You cannot pay it voluntarily or early, the only way to reduce the loan amount is through the earning of more cash.

IT's there to give a cushion to newer players, basically, because once you are in a ship that costs more than the loan amount to replace, you likely understand that you need to have cash on hand for if you die.

 

[Altissimus]

IT's there to give a cushion to newer players, basically, because once you are in a ship that costs more than the loan amount to replace, you likely understand that you need to have cash on hand for if you die.

This is understood, but the temptation of having an advanced discovery scanner was too great, and left me with less money than my insurance cost.

I know. Bad, BAD Commander.

Flying REALLY slowly right now.

 

[ElleShaped]

This is understood, but the temptation of having an advanced discovery scanner was too great, and left me with less money than my insurance cost.

I know. Bad, BAD Commander.

Flying REALLY slowly right now.

Good luck flying dirty, Commander! I hope you make it back safe with enough profit to avoid that need in the future! <grin>

 

[Altissimus]

Good luck flying dirty, Commander! I hope you make it back safe with enough profit to avoid that need in the future! <grin>

Yeah, was fine.

Sold the ADS in the end (after a couple of runs) - the revenue from exploration <<<< revenue of 4 extra tons of cargo space.

Think exploring revenue needs a buff.

 

[flosculus]

It's quite cool actually. You can buy an Anaconda, fully fit it. Now it is around 7 mill insurance not including modules, but if the loan exceeds 200k and you don't have the 7 mill the excess is wiped, leaving you with 200k to pay back. So, simply invest all of your money in additional ships to keep your balance down, and you have insurance for your Conda, for less than 300k, happy days

 

[ElleShaped]

It's quite cool actually. You can buy an Anaconda, fully fit it. Now it is around 7 mill insurance not including modules, but if the loan exceeds 200k and you don't have the 7 mill the excess is wiped, leaving you with 200k to pay back. So, simply invest all of your money in additional ships to keep your balance down, and you have insurance for your Conda, for less than 300k, happy days

Um, no? If your cash on hand plus the loan isn't enough to pay for the insurance cost of your ship, you lose the ship and have to start with the sidewinder again.