Description

A travel loan can be an ideal way to pay for a holiday that you can’t quite cover in one go. Whether it is backpacking through the mountains or you want to globetrot to the favorite destination, with travel loan you can make it happen. As travel loan covers all the expenses related to your travel, such as, transportation fares, hotel fares, tour packages, or any type of expenses that are associated with your travel. 

Comparison of Best Travel Loan Interest Rates 2019

Banks

Interest Rate

SBI Bank

10.55%

HDFC Bank 

10.75%

ICICI Bank 

11.25%

Bajaj Finserv

11.99%

Citibank

10.50%

IDFC First Bank

11.25%

Axis Bank

11.25%

Tata Capital

10.99%

Fullerton India

11.99%

IndusInd Bank

11.00%

Kotak Bank

10.75%

RBL Bank

13.99%

IIFL

12.99%

Andhra Bank

11.55%

Yes Bank

10.99%

Bank of Baroda

11.60%

Canara Bank

13.00%

IDBI Bank

13.20%

Allahabad Bank

12.15%

Federal Bank

11.49%

Syndicate Bank

13.40%

PNB

12.00%

Indian Bank

11.05%

 

What are the benefits of taking a Travel loan to the traveler?

  • Travel loan can get at pocket-friendly rates of interest.
  • It involves a simple and easy documentation process for salaried customers which makes the entire application process hassle-free.
  • Mostly travel loan lenders offers flexible repayment modes including cash, cheque, online transfer, etc.
  • Various lenders even offer the instant disbursement of the loan amount.
  • A travel loan is quick, simple and very easy to access for the customers.
  • Almost every lender offers customized or tailor-made loans for holidays and vacations.
  • A person with low income can also avail of the travel loan. 
  • A travel loan is a collateral-free loan means there is no requirement of any security to put to acquire the loan.
  • You can easily get a travel loan through online loan processing.

What are the various options to avail of a loan for travel and holidays?

SBI Bank

SBI travel loan offers a high loan amount to both the salaried and self-employed individuals. There is a wide range of personal loan schemes namely, Xpress Credit Loan, SBI Pension Loan, and Xpress Power. These schemes are designed with the primary objective of meeting the diverse personal needs of various customers and to support them without any hassle.

  • Various personal loan schemes depending on borrower’s requirement.
  • Flexible loan repayment tenure.
  • SBI offers high personal loan amount. 
  • Low rate of interest. 
  • Customized personal loan offers. 
  • Dedicated 24X7 customer support service.
  • Minimal processing fees.
  • The transparent loan approval procedure.
  • Zero hidden charges.
  • Online personal loan sanctioning. 
  • Fast loan processing.
  • Quick disbursement of the loan amount.

ICICI Bank

ICICI is a name that almost every citizen of the nation would know about. As it has a dominant niche in the financial industry out of its credit services to the customers. ICICI has a wide of financial products and loans among the most preferred ones. There are many reasons for the huge demand for ICICI personal loans like it is a multipurpose loan. Let’s have a look at its benefits:

  • ICICI personal loan processing is a hassle-free.
  • Minimal documentation is required for ICICI Personal Loan.
  • A borrower can also apply online for the loan.
  • ICICI personal loan is easy to avail with few clicks.
  • A borrower can apply for the “top-up” offer in need of extra funds.
  • Up to Rs. 20 Lakhs can avail under ICICI personal loan.
  • A borrower can get ICICI personal loans at a competitive rate of interest. 
  • Flexible loan tenure starts from 1 year to 5 years.
  • ICICI personal loan interest rate starts at 11.25% (varies on the segment, asset category, and location).
  • Fixed interest rate is offered on ICICI personal loan which means that market fluctuations do not bother the rate of interest.

Axis Bank

Axis bank is a home name in India. It has spread its presence in almost every part of the nation to reach its customers. India. You can apply for a personal loan by simply visiting the branch or through the online loan application process. With a dominant market presence, Axis Bank is among the most trusted banks of the present financial industry in India. 

  • Axis bank is known for its fast and minimal documentation. A borrower can avail of Axis Bank travel loan amount minimum of Rs. 50,000 to maximum Rs. 15,00,000 lakhs. 
  • A borrower can enjoy the flexibility in loan repayment terms of travel loans. He/she facilitate with the option of choosing the repayment tenure from 12 months to 60 months which suits them best.
  • The online loan application process has made loan processing faster than earlier times. The quick loan approval and disbursal of the amount have made the Axis Bank travel loan one among the preferred choices of the borrowers. 
  • Axis Bank travel loan borrower can receive reward points. A borrower can redeem these accumulated points for over 500 rewards, shopping items, recharges, etc.
  • All a borrower needs to do is apply online for a balance transfer loan and easily transfer the personal loan from the existing bank to Axis bank.
  • Axis bank travel loan provides the borrower with a competitive rate of interest. The existing customers of the Axis bank can even get benefited from the best rates for a travel loan.
  • Every borrower can avail of a travel loan from the axis bank whether he/she is a salaried, working professional or self-employed individual. 

Eligibility

Since travel loans are similar to personal loans, so it’s mostly offered for the working people. Some of the lenders in the market provide these loans to both the salaried and self-employed professionals with a steady income. The generic eligibility criteria for a travel loan is listed as follows:

  • The applicant’s age should be 23 years to 58 years.
  • 2 years of working experience in the current organization.
 

Document Required

To avail of a travel loan, a borrower should have some documents based on eligibility. All the submitted are verified by the bank officials, then only the approval on the loan application is provided. The generic required documents for a travel loan are:

  • Complete application form.
  • Passport size photographs.
  • Proof of Identity.
  • Address Proof.
  • Bank statement.
  • Age Proof.
  • Signed loan agreement.
  • Duly signed Standard Instruction (SI) Request/ ECS Form.

Personal loan interest rate for holiday loans.

A borrower can get a competitive rate of interest on a personal loan for holidays subject to an assessment of the loan amount, salary, other obligations. Some of the factors that determine the personal loan interest rate are mentioned below:

  • Loan Amount – The availed loan amount from the bank. Generally, lenders offer a low rate of interest on the high amount.
  • Income – The salary of the borrower plays a major role in the offered interest rate. Income defines the capacity of a borrower to repay the loan amount. The interest rate is varies based on the monthly earnings. Generally, the higher salary bracket borrowers are offered personal loans at a lower rate of interest. 
  • Relationship with the Lender - Bank offers special schemes, charges, fees and interest rates to their existing customers. If a borrower has managed his/her accounts and has a good track record of the payments can get the benefit of a low-interest rate on SBI personal loan.
  • Loan repayment capacity – Every lender looks for the repayment capacity of the borrower. Banks check the repayment capacity of the borrower through CIBIL. As it has the credit repayment track record of the previous loans. CIBIL also provides information about the credit card bills payment.

How to Apply for Travel Loan?

  • Applying for a travel loan is a very easy and simple process. 
  • You need to simply visit the official website of the lender and fill up the loan application form.
  • You may also upload your documents and get instant approval from the lender.
  • You may also visit the branch office of the lender and apply it through the traditional process.

Travel loan EMI calculator 

 A travel loan EMI calculator helps you get an estimation regarding the monthly EMIs. You can use this insight to plan the amount of your loan. Instantly check your travel loan EMI by using this flexible and online travel loan EMI calculator. It’s quick, comfortable and transparent. It is very easy to calculate your EMI for a travel loan by using an EMI calculator. Below are the common steps of using an EMI calculator:

  • Step 1: Enter the desired loan amount.
  • Step 2: Enter the expected travel loan rate of interest.
  • Step 3: Enter the desired loan repayment tenure 

Once you feed the information, the calculator gives you an approximate amount of the monthly EMIs.

FAQs

Q1When can I avail of a Travel Loan?
You can avail of a travel loan right before you plan the trip or after all the planning is done and you need to start the bookings.
Q2Is there a destination-based eligibility criterion for a personal loan for travel?
There are no destination-based eligibility criteria. You can avail of a travel loan for both the national or international destinations.
Q3Are there different interest rates for foreign and domestic travel?
The rate of interest in travel loans remains the same for both foreign and domestic travel. Although it may vary based on other factors like salary, credit score, etc.
Q4Are travel loans tax-free?
Travel loans can be taken as tax exemptions in some cases.
Q5 Where do I go to get a personal loan for travel?
Various lenders offer personal loans for travel and most of them facilitate borrowers with online loan processing. You can simply visit the lender website or the bank branch to get a personal loan for travel.
Q6Which bank is best for a personal loan for travel?
Every bank offers some benefits on a personal loan for travel. The best bank for you will be completely based on your requirements, eligibility and repayment capacity.
Q7Are personal loans for travel a bad idea?
For many people, travel loan is a good idea. Personal loans are a great way to reach a short-term goal, and with better interest rates, they are a much safer way to fund your holiday.
Q8 Do personal loans for travel hurt your credit?
Personal loans for travel can both help or hurt your credit scores depending on how you manage them but paying the bills on time is critical to help it.
Q9How can I get a 5000-personal loan for travel?
Various personal loan lenders offer an instant loan of Rs. 5000 for travel. You just need to visit them either online or offline.
Q10 Which bank has the easiest personal loan for travel approval?
Online loan processing has made the approval of a personal loan easy. If you fit into the eligibility criteria of a personal loan you can even get the loan approval within a few minutes from few lenders.
Q11 How much personal loan for travel can I get on my salary?
As various factors have major on the loan amount approval and income is one of them. The general income eligibility for a personal loan for travel is Rs. 15000 (vary from lender to lender).
Q12How do I calculate the interest rate on a personal loan for travel?
Many online personal loan interest rate calculators are available that free of cost. You can use them to calculate the interest rate on a personal loan for travel.