Holiday loans
If you’ve got big travel plans, a holiday loan could help you spread the cost of flights, accommodation, activities and more.
Log in to get a quoteImportant information: How much we lend and the rate available are dependent on our assessment of your circumstances. You must be age 18 or over and a UK resident. To apply using online banking, you must have had a Lloyds, Halifax or Bank of Scotland current account for at least 1 month.
Holiday loan calculator
Work out how much your holiday loan repayments could be based on an illustrative APR. The interest rate we offer could vary, subject to our assessment of your circumstances.
Representative example
You could borrow £10000 over 48 months with 48 monthly repayments of £240.21. Total amount repayable will be £11530.08. Representative 7.4% APR, annual interest rate (fixed) 7.16%.
This representative APRRepresentative APRThe representative APR is the rate that at least 51% of people are expected to receive when taking out a loan within the stated amount and term range. applies to loans of £7,500 to £25,000 over 1 to 5 years. Other terms and loan amounts may apply at different rates. The maximum APR is 29.9% APR.
Who can apply for a holiday loan?
To apply for a holiday loan using online banking, you need to:
- be aged 18 or older
- be a UK resident (not including Channel Islands and the Isle of Man)
- have held a Lloyds, Halifax or Bank of Scotland current account for at least 1 month
- be in paid employment, have a regular income and are not a full-time student
- have a good credit score, with no history of bad credit, such as CCJs or bankruptcy.
Get a quote for a holiday loan
Tell us how much you need to borrow to bring your travel plans to life and for how long. Getting a quote won’t affect your credit score.
If you’re happy with your quote, you can complete your holiday loan application and get a decision online. If approved, you could receive the money the same day.
Let’s look at the details
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A holiday loan can help you spread the cost of a special trip but you will pay interest on anything you borrow. Only you can decide if that extra cost is worth it.
Potential advantages of a holiday loan.
- Manage high-value travel costs you couldn’t cover right away with savings alone.
- Fast track your travel plans, rather than waiting and saving.
- Fixed loans offer structured repayments over a set term.
Things to consider.
- If you have existing debts, a non-essential holiday loan could strain your finances.
- Avoid borrowing to manage everyday expenses while on holiday.
- Paying interest will increase the overall cost of your holiday.
- The longer the term, the more interest you’ll pay overall.
Ask yourself:
- does a holiday loan suit my needs or should I consider other borrowing options?
- will I be able to make repayments, even if my circumstances change?
Saving up to pay for a holiday is usually the most cost-effective option. If you don’t want to wait, explore ways to pay for a holiday to find the best option for your needs.
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Yes, you can use a personal loan for many things. From holidays and home improvements, to purchasing a car or consolidating other debts. Once the money is in your bank account, you can use it for most personal expenses.
Just be aware that there are things you can’t use a personal loan for, including:
- gambling
- investments, such as stocks, shares and crypto currency
- business financing
- land or property, whether that’s buying, leasing or paying a deposit
- timeshare or holiday clubs
- anything illegal.
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Yes, loan providers usually complete checks when you apply for credit.
Some lenders, including Lloyds, complete a soft credit check first. That will tell you if you’re likely to be accepted for a loan without affecting your credit score.
If you complete a full credit application, lenders will run a hard credit check to assess the risk of extending credit to you. That will affect your credit score and could temporarily limit your ability to get credit. Getting a quote first is a real advantage.
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We look at lots of things when calculating your interest rate. When you apply, we will give you a personalised quote based on many factors, such as:
- Credit history.
- Past account history.
- How much you want to borrow.
- How long you want to repay the loan over.
- Other personal details we hold.
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You’ll start repaying your holiday loan the month after you take it out. With a fixed loan your interest rate and monthly payments stay the same for the full term, helping you to budget effectively.
Repayments are usually claimed by direct debit on a date to suit you. You can change this date in future if you need to.
Some lenders, including Lloyds, offer the option to take a repayment holiday, although these are subject to approval. Just be aware that this will extend your loan term and increase your overall borrowing costs.
Most lenders, including Lloyds, also allow you to pay off your loan early. Just be aware that early settlement charges of up to 58 days' interest could apply.
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Holiday loans are typically unsecured. That means they’re not tied to an asset, such as your home or car. At Lloyds, we only offer unsecured personal loans.
Some lenders may offer secured options that allow you to borrow more money at lower interest rates. But if you’re not able to repay the loan, the lender can recover money from the asset it was secured against.
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It might be possible to get a holiday loan even if you have a low credit score. Many lenders offer loans for lower credit scores but you might be limited on how much you can borrow and will likely pay higher interest rates.
To improve your chances of being accepted, you might like to improve your credit score first.
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Looking for support?
Visit the help and guidance hub to learn more about personal loans and how to manage them.
