Do you remember the last time you went on a holiday?
You might not remember it, it was so long ago. For a long time you might have been buried in work and family matters and simply haven’t had the opportunity to plan for another holiday. Whatever the reason; the kids are grown up and making their own way in the world, there’s that one place you always told yourself that you’d love to visit, or you’re worn out and just need a break. Regardless of the reason, right now might be the time to start making your plans for a long-overdue and deserved holiday. The only question is, “Do you have the budget for that?”
Sadly, you might not have enough to finance your travel plans, especially if you want to go on holiday overseas. But the good news is that a holiday and travel loan from your bank or other lending firm might be right for you.
Holiday and travel loans are a form of personal loans designed to help finance your holiday plans. It can be used to pay for airfares, hotel accommodation, car rental, and other travel-related expenses. With a fixed amount intended for the travel expenses, you are inclined to stick to the budget and not go overboard with your travel budget.
A lender with flexible repayment and option terms can get you a loan that will not only fit the budget, but could even delay the start of the repayments until you’re back at work – so that the repayments don’t chip away at your holiday spending money.
With a holiday and travel loan you can borrow from a minimum of $500 to as high as $5,000 depending on the lending firm and your need. Repayment terms can be weekly or fortnightly. Some lenders may also offer a monthly repayment term. This makes it easy for you to manage the repayment of the borrowed amount.
You may also choose to have a fixed interest rate which means that your monthly repayment is calculated based on a fixed interest rate which will not be affected by a change in interest rates. On the other hand, you may also choose a variable interest rate wherein your repayments are calculated based on the prevailing interest rates in the market. With a variable rate interest, you might pay a different amount each month, week or fortnight – it could go up or down.
To apply for holiday and travel loan, typical loan requirements include:
Sufficient identification, including government issued photographic ID – such as a driver’s license or passport
Disclosure of any outstanding loan, credit card or store card balance
Income and employment details
Details about your current, everyday expenditure
Don’t forget: It’s also important with holiday and travel loans to not only make sure you budget for your holiday, but also for those recurring expenses that will need to be paid while you’re away and when you get back. Nothing ruins an awesome holiday like coming home to a stack of bills.