Planning a Europe Trip? Discover How a Personal Loan Can Enhance Your Experience

A Europe trip is a dream for many, with the continent’s rich history, diverse cultures, and breathtaking landscapes making it an irresistible destination. However, the Europe trip cost from India can be substantial, depending on the duration, destinations, and travel preferences.

So, how to finance a Europe trip without compromising on your experience? This is where a personal loan for travel can play a pivotal role in turning your dream holiday into reality.

How a Personal Loan Can Benefit Your Europe Trip

A personal loan offers several advantages when planning a Europe trip:

• Swift Access to Funds: Depending on the applicant’s eligibility and the lender’s policies, personal loans are often approved and disbursed quickly – enabling you to book flights, accommodations, and activities without delay.
• Flexible Repayment Tenures: Loan tenures typically range from 12 to 60 months, giving you the flexibility to choose a repayment period that best suits your financial needs.
• No Collateral Required: Personal loans are unsecured, meaning you don't need to pledge any assets as security.
• Competitive Personal Loan Interest Rates: Eligible candidates with strong credit scores can benefit from lower interest rates, which can help reduce the monthly repayment burden and the total cost of borrowing.
• Access to Emergency Funds: In addition to covering essential travel expenses, a personal loan can also help you prepare a financial cushion for unexpected situations, such as medical emergencies or lost passports.

Budgeting Your Europe Trip with a Personal Loan

Effective budgeting for a Europe trip is essential to avoid financial stress during or after your vacation. A well-planned Europe trip itinerary helps ensure your personal loan covers all major expenses without the risk of over-borrowing.

Estimate Major Costs:

• Flights: Round-trip flights from India to Europe typically range from INR 35,000 to INR 60,000, depending on the destination, airline, and how early you book. During peak travel seasons, prices can be higher.
• Accommodation: Budget hotels or hostels may cost around INR 2,000 to INR 4,000 per night.
• Daily Expenses: Including meals, local transportation, and sightseeing, you can expect to spend approximately INR 3,000 to INR 5,000 per day.

Account for Additional Expenses:

• Visa Fees: Schengen visa fees are approximately INR 4,000 to INR 8,000.
• Travel Insurance: Essential for unforeseen circumstances; costs vary based on coverage.
• Contingencies: It’s wise to allocate a buffer for emergencies, unplanned excursions, or currency fluctuations – usually 10–15% of your total trip budget.

Use a Personal Loan EMI Calculator:

• Enter the loan amount, interest rate (set by the lender), and tenure to calculate your estimated monthly EMI.
• Ensure the EMI comfortably fits your budget, along with existing monthly expenses.

*Please note that the costs mentioned above are only estimates. Actual costs may vary based on season, itinerary, travel preferences, and currency fluctuations.

Applying for a Personal Loan for Your Europe Trip

Here’s how you can apply for a personal loan for your Europe trip at SMFG India Credit:

1. Provide Basic Information
   Enter your mobile number, PAN, pincode, and employment status (salaried or self-employed).
2. Authenticate Mobile Number
   Verify your mobile number with the 6-digit OTP sent to your device.
3. Fill in Additional Details
   Enter additional data, including email address, date of birth, gender, and annual household income. Complete the required email ID verification.
4. Add Employment Information
   Salaried employees must provide relevant work-related information.
5. Submit a Bank Statement
   Kindly provide your bank statement using Net Banking, an Account Aggregator, or by uploading it. This will help us generate a loan offer (applicable only for salaried individuals).
6. Identity and Address Verification
   Complete the process of verifying your identity, including taking a selfie, and share address details through CKYC, Offline Aadhaar XML-based KYC, or DigiLocker.
7. Submit Bank Account Information
   Provide bank account details, which will be verified by us.
8. Provide Additional Details
   Fill in the necessary details, such as the loan purpose and marital status, in the 'Additional Details' section after successful bank account verification.
9. Set Up E-NACH for Re-payments
   Select a re-payment method from debit cards and internet banking, after which you can complete the E-NACH setup.
10. Review and Digitally Sign the Loan Agreement
    Carefully review the loan agreement and digitally sign it, followed by an OTP confirmation to finalise the process.

Conclusion

Planning a Europe trip from India can be exciting, but it often comes with significant financial considerations. By opting for a personal loan, you can enjoy the freedom to explore your dream destinations without compromising on comfort or experiences. That said, proper budgeting and financial planning are essential for ensuring a smooth repayment journey and avoiding unnecessary financial strain.

Ready to begin your European adventure? Apply online for an SMFG India Credit personal loan of up to INR 30 lakhs*, with interest rates starting from just 13%* per annum. Feel free to reach out to us for more information.