Business

Overview of Travel Loans

It is an exciting and fun experience for every individual to plan a trip if you love to travel. Whether you want to go for a pilgrimage or want to visit your favourite travel destination, it is always thrilling to plan a vacation with your family, beloved and friends. But funds can stand in between and lead to postponement and cancellation of your vacation. However, many banks and financial institutions offer flexible travel loans so that travellers can fulfil their desires of seeing new places. Banks and online financial platforms have special packages for travel that cater to the needs of travellers and offer attractive travel loan services.

You can pay for anything related to travel with the money you take from the lender for a travel loan. A travel loan covers hotel and flight bookings and ground expenses of travelling such as car and bus fares. You can meet all your urgent travel requirements with a travel loan and it makes our travel experience more enjoyable and pleasurable. You can also take travel loans as personal loans as is the case with certain banks. You can apply for a personal loan for travel and enjoy your visit to your favourite location. However, the tenure of repayment, rate of interest and terms and conditions remains similar to that of travel loans. So, you can apply for a travel loan from any bank, financial institution or online fintech platform.

In case you are confused about what things to look out for while applying for a travel loan, you will get all the information below. Read on to know more about the rate of interest, repayment duration, monthly EMI calculation, loan amount, eligibility criteria and so on.

Reasons why you should avail a Travel Loan

You should think of taking a travel loan when

  • You want to go on vacation immediately to spend quality time with your friends or family but do not have the funds to do so.
  • Your travel planning is costing you a lot of money, and you do not want to spend your savings, or you are planning a luxurious foreign trip.
  • You want to liquidate your total savings by declining the interest income on savings instruments for a long duration such as NSCs and fixed deposits.
  • You are in a financially stable position with a well-paying job and are confident that you will be able to pay your monthly instalments on time.

Available Options to Take a Travel Loan

Many tour companies offer travel loans at flexible and lucrative rates and packages to the applicants. MakeMyTrip offers you travel loans through their fintech arm known as TripMoney at an affordable rate.  Apart from this, you have multiple banks that provide personal loans for travelling purposes. Thus, if you are searching for the best option to meet your travel expenses, you have two options:

Avail Unsecured Loans for your Foreign Trips:

Following are the significant key features of travel loans that can be availed for meeting your expenses related to travel.

  • You can take travel loans for travelling inside and outside the country.
  • The amount which you can get varies in different banks and depends upon your expenses and eligibility criteria.
  • You can avail the loan with minimum documentation within a short period, which fulfils your urgent travel requirements.
  • You can get a flexible repayment tenure for paying back the borrowed amount.
  • You get low-interest rates for your travel loans.

Alternatives to Travel Loans

Credit Card EMIs

You can use your credit card to pay for your travel expenses, and can take a credit card EMI loan, but these loans have higher rates of interest than travel loans. You can get the loans with minimum paperwork and pay back the credit card loan in monthly EMIs with an interest rate of 24% to 36% per year. The eligibility criteria depend on your card limit and your travel destination.

You can plan the travel budget beforehand and start saving money to meet your expenses and travel trouble-free.

However, if you have not been able to save up enough, you can take travel loans from reputed banks and online fintech services.

Why take Travel Loans from TripMoney?

TripMoney is an independent fintech arm of MakeMyTrip that provides you with travel loans, allowing you to travel worry-free.

  • You do not need to make any down payments for taking a loan.
  • You can get the loan online with minimum documentation. You only need to submit your Pan card, Aadhar card and date of birth. Your eligibility criteria is checked with your mobile number, and your loan is approved within minutes.
  • You can take a loan as low as Rs. 5000, and the maximum amount permitted is Rs. 25000.
  • The repayment tenure is flexible, and you can repay the loan at any time within 12 months.
  • You can link your bank account with your MakeMyTrip account for automatic deductions of monthly EMIs when the date is due.
  • You are not charged with any interest if you have not taken any loan, and you can increase your credit line for a lifetime by paying the instalments on time.

Choose a destination, plan your budget, decide the amount, which you want to borrow, apply for a travel loan after knowing the terms and conditions and get your loan approved to travel peacefully.

 

Related Articles

Back to top button