Your everyday lifestyle is directly connected to your money, especially your earnings and spending patterns. And like everyone else out there, you probably want a better life for yourself and your family. You work hard and save as much as you can, all to improve the way you live!
But there are times when your current savings cannot handle expenses that are either necessary or make your life easier. In such situations, a personal loan can help you out.
Here are 6 lifestyle expenses that you can manage more easily with various types of personal loans:
- Weddings – No matter how well you plan a wedding budget, there are always some last-minute expenses to deal with. A personal loan for marriage can help you pay for major costs such as venue and catering, as well as smaller ones such as invites and gifts. It also offers a safety net for unplanned financial emergencies.
- Travel – If you want to travel but don’t have enough money saved up for it, a personal line of credit or travel loan can help. Use it to book tickets and accommodation, pay for meals and sightseeing, and ensure you have cash in hand while traveling. This is especially useful if you have to make urgent travel plans.
- Renovations – Home repairs and renovations are expensive, but avoid putting off maintenance and upkeep. Something that requires a minor fix today could get worse if you neglect it, leading to higher costs down the line. Use a personal loan for home renovation now, and then make repayments at your convenience.
- Gadgets – Phones, laptops and other gadgets are no longer a luxury. You can get a loan for mobile or laptop purchases, and pay for these with EMIs rather than full payment upfront. This reduces the impact of a large gadget purchase on your budget, since you’re spreading out the cost over a period of months or years.
- Vehicles – Commuting without your own vehicle is both tiring and time-consuming. If you’re thinking about buying a car or two-wheeler and want to avoid disturbing your finances too much, a personal loan is a perfect solution. It can help you pay the deposit for a vehicle loan, or buy a pre-owned vehicle outright.
- Debt – People often advise against using credit or loans to repay existing debt, but this can be helpful in some scenarios, e.g. if you tend to miss payment due dates for multiple loans. You can use a low-interest loan or line of credit to consolidate expensive loans and credit cards and make repayments in one place.
You can also use personal loans to pay for monthly expenses such as rent, utility bills and groceries when money is tight. Just make sure you’re not making this a habit or spending more than you need to, since even the loan will have to repaid at some point!