Banking News

personal loan: More and more Indians are taking personal loans to fund holiday travel

[ad_1]

A fifth of personal loans taken in India is going into paying travel bills, ToI reported on July 20 citing the findings of a survey.

Of the personal loans sanctioned between January and June 2023, one in every five was taken for this purpose, the survey carried out by online loan platform Paisabazaar showed.

This specific pattern picked up speed in the second quarter of 2023 compared to the the first quarter. According to the data, 16% borrowers took vacation loans between January and March 2023, which went up to the 24% in the subsequent quarter (April-June 2023).

Vacation-loan takers were the second biggest group of respondents in the survey at 21%, the biggest being home-renovation loan takers (31%).

Vacation-loan takers were followed by borrowers refinancing other loans, including card outstanding (10%), and those taking loans for medical bills (9%). The remaining 29% was borrowed to cover wedding, education, or business expenses, ToI reported citing data from the survey.

In individual loans, home loans and loans against property were the most prominent, followed by car and education loans.Holiday loans were the most popular product for salaried individuals, with 74% borrowers, followed by self-employed professionals (14%), and businessmen (12%).For loan seekers, top foreign destinations included Dubai, Thailand, and Europe. Within India, Goa, Himachal, and Uttarakhand were the top picks.

The period between January and June (2023), which coincides with school and college breaks in most parts of India, saw the most demand for such loans.

[ad_2]

Source link