From Travel to Higher Education, Here’s How to Put Your Personal Loan to Good Use
Summers are here and if you are a parent, your kids will soon have a two-month long break for their summer vacations. Most parents plan to keep their kids busy with some or the other activity during this long break. But, it is also a perfect time for you to take a break and plan a vacation with your family.
Many escape the scorching sun and head out to a hill station or a beach. But, as the summer season is so popular for vacations, the price for taking a trip during this time is also high.
If you are thinking of a trip during this summer break, it is important you start your planning now. Planning in advance will get you the best travel deals and will avoid the hassles of last minute bookings.
However, we suggest don’t dip in your savings to plan your trip. One of the easiest option to plan your trip during a summer vacation is taking a Personal Loan for travel.
You can apply for a Personal Loan for travel. Such loans offer instant online approvals. You can get up to Rs.25 lakh in your account within 72 hours. It is a hassle-free process and you can do everything online.
Here is how you could effectively use a Personal Loan to finance your trip.
Take a Personal Loan for Travel
If you’re wondering whether to apply for a Personal Loan to fund a once-in-a-lifetime holiday, we’re giving you the green light! Personal Loans are a great way to turn the vacation of your dreams into a reality. Compared to travel loans, Personal Loans offer a higher amount of credit that can be repaid in the next 1–3 years. Also, these loans require no collateral and cover around 80% of your trip expenditure. Moreover, if you’re someone who has a good repayment record, you can wager a Personal Loan where the rate of interest is relatively low.
If you are wondering how can you apply for a Personal Loan and get approval before your trip, here are the simple steps to follow:
- Check Your Credit Score: You need to check your credit score before applying for a Personal Loan for travel. If your credit score is above 750, you’ll have good chances of getting a loan easily.
- Compare Lenders: There are various lenders in the market who offer a Personal Loan. You need to check and compare the interest rates and terms & conditions of each to finalise your lender. You should know apart from banks, NBFCs also offer a Personal Loan.
- Keep the Documents Ready: Keep a list of documents ready before you apply for a Personal Loan. Make an appointment with a lender to discuss the documents required, and timelines you will need in order to get started on the approval process. Or if you are planning to apply online for a Personal Loan, check the lender’s website for the necessary materials.
- Read the Fine Print: Once your loan is approved, make sure you read the fine print before signing the loan agreement. Ensure you get the desirable terms in your Personal Loan agreement.
Personal Loans for travel offer a convenient line of credit for expenses that you don’t have the bandwidth to handle otherwise. If you have put a number of trips on hold, now’s the time to apply for a Personal Loan and strike them off your list.
What else You can Do With a Personal Loan?
A Personal Loan is just not for your travel plans, in fact Personal Loan is one of the most flexible loan that can be used anywhere as per your needs.
For say, when it comes to buying a used car or funding a wedding, Personal Loans are the easiest way to turn your dreams into reality, without any financial burden.
Take a look at some other ways you could use a Personal Loan effectively:
Personal Loan for Used Cars
You can use the convenient option of a Personal Loan to fund your used car purchase! If you are looking at a car loan vs. Personal Loan, you should be aware that some Personal Loan eligibility criteria are usually less stringent than that of a car loan. A higher salary bracket and need for collateral are usually associated with car loans, which are not required when you apply for a Personal Loan. If you have a stable credit rating, a Personal Loan is what you should opt for. It gives you access to a higher amount funds at a lower and more flexible rate of interest. Also, in certain cases, taking a Personal Loan to purchase a car gives you ownership of the car while you repay the loan. This means that if you face financial trouble, you can sell the car to ease your worries. However, go through the fine print of the terms and conditions to make sure this is applicable to your loan.
To Pay off Student Debt
A lot of young adults joining the workforce have to pay off huge student loans that can have a crippling effect on their finances. With hugs fees associated with study overseas and even in India, student debt has become a big burden to overcome. If you’re one such person looking to pay off their student debt quickly, a Personal Loan is a good way to finance it. It offers fixed payments over a relatively short pay-off period. If you have multiple student loans, you can also consolidate them and have one monthly payment going out every month.
During Medical Emergencies
Medical emergencies can take anyone by surprise and can most definitely drain your funds drastically. Using a Personal Loan to finance a medical emergency or treatment is a great option. While some consider it to be an unadvisable option because of the higher rate of interest, the fact that you don’t need to put up any collateral makes it perfect since you need to secure funds in a short window of time. If you have a good credit history, you can expect quicker approval and timely access to funds too.
To Fund a Wedding
Whether you are funding your child’s wedding or your own, it is no secret that weddings can be expensive. If you spend your savings, you stand the risk of having to alter your lifestyle drastically for a long time to come. But opting for a Personal Loan breaks the expenditure into manageable chunks that you can repay in the months that follow. The faster you repay this loan, the more you stand to benefit, financially speaking.
To Sum up:
A Personal Loan can solve your financial worries with some instant cash. Since a Personal Loan is an unsecured loan, you don’t have the tension of putting your assets at stake.
A Personal Loan that is one of the most popular Personal Loan in the market is Bajaj Finserv’s Personal Loan. You can get your application approved within 5 minutes when you apply online and get access to funds within 72 hours.
Bajaj Finserv offers loan up to Rs.25 lakh and a flexible repayment tenure that ranges from 12 to 60 months.