Have you seen the new series that’s just started on Channel 5 about Brits enjoying all-inclusive holidays in Spain? One of the most memorable phrases that the narrator came out with was that “our two weeks in the sun every year make the other 50 miserable weeks in rainy old Blighty worth it”. And isn’t that the case once Christmas has passed and all you see stretched in front of you is months and months of work!
Here at Best Short Term Loans, we help hundreds of Brits every year looking for help in paying for holiday fun in the sun. And 2019 looks like it’s going to be no different with prices expected to rise another 3% – that’s more than the average rate of inflation.
So how can Best Short Term Loans help the 45 million Britons travelling abroad this year, particularly those looking for holiday loans for bad credit profile?
How much do you really need?
The first thing to figure out is how much your holiday is actually going to cost you. The best way to work that out is to get out a piece of paper and put amounts for the week or the fortnight next to the following costs:
• Flight costs
• Accommodation costs
• Food costs
• Alcohol costs
• Hot drinks
• Cold drinks
• Travel costs
• Entry to attractions
• Spending money
• Souvenirs for relatives
Add up everything, add 5% for unexpected expenditure, and you’ll have a really good idea of how much the holiday is going to cost you and your family.
Should I budget for holiday emergencies?
It’s always better to be safe than sorry so you might want to add another 5% to your holiday budget to cover you and your family for emergencies. Most experts always recommend that you take out travel insurance, particularly for health emergencies.
Should I take my loan out now?
It depends, and it depends on the type of loan you want to take out.
If you’ve just done your budget planner and you’ve found that your £1,500 short, that sounds like quite a lot. But if your holiday is not for another 6 or 9 months and your travel agent will accept a low deposit which you can afford to pay, it’s probably best to hang on before you take out a holiday loan for bad credit.
Why is that? Two great reasons. If you’re not going abroad for another 6 or 9 months, you have a long time left before you need to pay your travel agent the balance. How much money could you put aside every month to pay for your holiday? If it’s, for example, £125 and you don’t have to pay the balance for another 8 months, that’s £1,000 you could save up. How? Instead of needing £1,500, you now only need £500.
The second reason is that, a month or so after you take out a short term loan for bad credit to pay for your holiday, you then have to start paying that holiday loan back. If your holiday is 6 months away, you’ll be half-way through paying your loan back (assuming you take out a loan over 12 months) before your feet even hit foreign sands.
If you really must take out a loan for your holiday, make sure that the amount you take out is as little as possible and that you only start paying your loan back once you’ve got back from your holidays.
Short term holiday loans for bad credit
What is a short-term loan and how can Best Short Term Loans help you?
A short-term loan is a loan you take out over a period of between 4 weeks and 52 weeks. You make repayments on agreed dates (normally a date you specify during a month) and the money comes out of your main bank account. The amount you pay each month is normally the same amount although some lenders take more money out in repayments at the start of a loan with the amount reducing month on month.
With a bad credit short term loan, you can borrow between £100 and £2,500. Interest rates on bad credit loans are generally higher than the interest rates you’d receive on a holiday loan from your bank or building society if you have good credit. That said, if you have bad credit, then, more often than not, your bank or building society will refuse to lend you money anyway.
Short term loans offered to borrowers through Best Short Term Loan’s team are something called High Cost Short Term Credit (HCSTC) facilities. Each of the borrowers we introduce you to are licenced by the Financial Conduct Authority (as is Best Short Term Loans). FCA membership and the HCSTC rules offer you the following protections –
• there is a maximum amount of interest you can be charged and that’s currently 80p per day for every £100 you borrow
• if you miss a repayment, your lender is only allowed to charge you no more than £15 in default fees
• added together, the amount of interest you pay and any default charges can not add up to more than the amount of money you took out
Holiday short term loans for bad credit
Now you’ve figured out how much you need and you know the right time to take your loan out, how do you get the money you need if you have a poor credit rating?
Best Short Term Loans specialise in arranging holiday loans for people with less than perfect credit histories. Our range of lenders specifically want to work with borrowers like you and there are enough of them to mean that there is, in many cases, real competition for your business. That competition means cheaper loans for you.
Fill in your details on our application form. Once we have your details, we’ll match you with the lenders most likely to want to get to know you. Within a few seconds, we’ll get any and all offers back from the lenders and we’ll present you with the best rate we can find so you pay less.
Our service is free and you’re under no obligation to accept any offer we find for you. Please remember that we’re brokers and not lenders so you won’t be borrowing any money from us. Our job is to pair lender with borrower and it’s something we do really well and quickly. If you want to accept an offer we’ve found you, simply read through the lender’s terms and conditions and, if you’re happy, sign the online paperwork. You’ll then have a direct relationship with your lender.
To get started, please click here.