Most personal loans being used for travel

An increase is being seen in the number of people travelling abroad with personal loans. This has been revealed in a survey conducted by online loan platform Paisabazaar. It has been revealed in the survey that most of the personal loans taken between January and June 2023 have been used for travel. One out of every 5 people has taken a personal loan to travel. The interesting thing is that people took loans and went to visit countries like Dubai, Thailand and Europe.

According to the survey, in the first three months of the year i.e. between January and March 2023, 16 percent people took loans to celebrate holidays, while this figure increased to 24 percent in the June quarter. Naveen Kukreja, co-founder and CEO of Paisabazaar, says that in the last few years, consumers have been seen taking loans for various other needs including travel and holidays.

Travel to these destinations
According to the survey, the preferred destinations abroad were Dubai, Thailand and Europe, while in India, Goa, Himachal and Uttarakhand were the favoured destainations. During the first half of the year i.e. from January to June, due to school and college holidays in most parts of the country, maximum number of people took holiday loans.

Salaried people took the maximum loan
The survey found that salaried individuals constituted the largest number of holiday loan borrowers. About 74 percent of the borrowers were those who were salaried and had taken loans for travel. At the same time, the number of self-employed professionals was about 14 percent and businessmen 12 percent had opted for this loan.

Loan taken for home renovation
According to the survey, there were 31 percent such people who had taken a loan for the renovation of the house. Apart from this, 9 percent people had taken loans to cover medical bills and 29 percent to cover marriage, education or business expenses.