Travel Loan

A travel loan is an unsecured personal loan used for meeting the financial requirement for travelling. As these are unsecured, you don’t have to submit any collateral to get this loan. Also, most banks and financial institutions provide vacation loans for both foreign trips and travels and travels within the country. You can take a travel loan for a period of upto 5 years for a wide range of expenses, including funds for hotel accommodation, flight/train bookings and others. Further, you can avail of vacation loan for upto ₹ 75,00,000.

To get a holiday loan, you must follow the following eligibility criteria:

• The applicant must be a minimum of 21 years of age to get a loan for travel in India.
• Salaried professionals must be employed in the job for a minimum of 6 months before getting a travel assistance loan.
• An individual’s credit score must be acceptable to the banks. Most banks prefer individuals with a credit score of a minimum of 650 for a loan for holiday package.
• Most lenders ask for a monthly income of at least ₹ 20,000 to give vacation loans

• Identity proof.
• Proof of Residence: Aadhaar Card, Electricity Bill, Ration’s Card, Passport, Driving License etc.
• Proof of Income: Salary slip, Form 16, Bank statements of the last six months, Profit and loss statements etc.
• Signature proof
• Photograph

A personal loan for vacation offers the following features and benefits for travel:

• Unsecured Loan:Vacation loans are unsecured loans and thus does not require you to submit any security or collateral.
• Flexible Tenure:You can avail of a holiday loan online for a flexible tenure ranging between 12 months and 60 months.
• Instant Approval:Top banks & NBFCs offer instant travel loans if you have a good existing relationship and CIBIL score.
• Minimum Documentation:A personal loan for traveling abroad or India can be taken with minimum documentation such as identity proof, address proof & income proof.

The process to apply for loan for vacation trip in India or abroad is simple. You can apply for a vacation or holiday loan by visiting the official website of an online marketplace like MyLoanCare. With MyLoanCare, you can compare the best offers from top lenders, check eligibility and calculate EMI for a travel loan to get the best vacation loan rates based on your eligibility.

While you may get Makemytrip travel loan or from other leading vacation loan. However, it may be beneficial to check the best personal travel loan deals offered by banks directly or on online platforms like MyLoanCare.

Here are a few benefits of availing personal loans for holiday from MyLoanCare:

• Compare best offers from top banks and NBFCs in one place.
• Calculate eligibility for vacation loan using an online Eligibility Calculator.
• Know Travel Loan EMI for top lenders at lowest rates.
• Get personalised assistance throughout the process of availing holiday loans.

Below-mentioned are essential things that you must consider before applying for a personal loan for travelling:

• Ensure to get an accurate estimate on the correct budget for your travel before applying for a loan. Significantly, you do not miss out on expenses such as accommodation, tickets, food, etc. In addition, it is better to set the loan amount at least 20% higher than the estimated trip budget.
• Since personal loans are typically offered at higher interest rates, you must thus compare the best travel loans to get the lowest rate on a personal loan for travel.
• Also, do not apply for trip loans for a higher loan amount. Instead, ensure that the EMI amount fits within your monthly budget. If you cannot afford the EMI within your monthly budget, you will face difficulties repaying the loan to the lender.

✅Which bank is best for a travel loan?

As per the current rates, ICICI Bank offers the lowest rates on travel loans and can be considered the best bank for a personal loan for travel.

✅What is the interest rate of a personal loan on travel?

The interest rate on a personal loan for travel ranges from 10.25% to 36.00%. You can get the lowest rates on a travel loan if you have a good CIBIL score and income sources.

✅Do we need income proof to avail loan for travel?

Yes, banks and NBFCs need documents for Income Proof to finance your travel as a personal loan for travel is an unsecured loan and the bank needs assurance that you can repay your dues on time.

✅How do travel loans work?

A travel loan works just like a personal loan and helps you borrow money for travel. It is an unsecured loan, and the amount for loan for tour varies from ₹ 1,000 to ₹ 75 Lakh.

✅Is a travel loan tax-free?

The income tax law provides for an LTA exemption to salaried employees. However, the exemption doesn’t include costs incurred for expenses such as shopping, entertainment and leisure. Also, you can claim LTA twice in a block of four years.

✅Do I have to mention my reason for travelling?

No, most banks are not concerned about the reason for travelling. Also, a personal loan for travel has no-end usage restrictions and can be used for any purpose.

✅When can I avail a travel Loan?

Individuals are advised to apply for the travel loan a few weeks before the final planning of the trip. Banks may also provide you an instant loan for holiday if you have a good existing relationship with the bank.

✅Is it necessary to have a co-applicant for a holiday loan?

No, it is not necessary to have a co-applicant to apply for the travel loan.However, if you have a low CIBIL score and want to improve your eligibility for a travel loan online, you can apply for a bank loan for travel with a co-applicant.

✅How do I check my eligibility for a personal loan for travel from MyLoanCare?

The eligibility for a personal loan for holiday loans online depends on age, income, CIBIL score etc. You can use a MyLoanCare personal loan eligibility calculator to check your eligibility online.

✅What are the repayment modes available for travel loans?

You can repay the personal loan for for holiday trip using multiple online and offline repayment modes such as online bank transfer, post-dated cheques, or setting standing instructions.