How a holiday loan can help fund your getaway

How to pay for your holiday

If you’re planning a holiday, but are worried about paying for flights, accommodation and all your activities upfront, a holiday loan could be the perfect solution.

A holiday loan is essentially just a personal loan that you can use to spread the cost of your trip, so you don’t need to pay it all in one go. Personal loans will have added interest, however the interest rate will vary depending on your lender and the time frame you choose to pay back your loan.

Holiday loan calculator

Taking out a holiday loan is subject to interest. This means the overall cost of your holiday will be more than you would pay up front. However, it will help you spread the cost of your travels over time.

Our personal loan calculator can help you work out exactly how much you’ll end up paying for your holiday. Simply move the sliders to find the perfect repayment plan for you.

How much do you want to borrow?



Over how many months?



Existing customerFootnote 1

Customers who do not meet our normal criteria may be offered a different APR to our standard rates. The amount and term you request will also impact the rate offered.

View more information on our loans rates and tiers

Representative example

Borrowing over months:

  • Monthly repayment £179.94
  • Total amount payable £10,796.40
  • Representative 3.1% APR
  • Interest rate of 3.1% p.a. (fixed)

Credit subject to status to UK residents only. To apply you must have an annual income of at least £10,000 and be aged 18 or over. The loan amount and term you request will also impact the rate offered.

Is a holiday loan right for you?

Holiday or travel loans can be a great way to finance your holiday, especially if you’re worried about having to pay for everything in one go. But they’re not the right choice for everyone, especially if you’re unable to keep up with the payments.

Read these pros and cons carefully to help decide if getting a loan is the best way to pay for your holiday:

Pros of a holiday loan

  • Spread the cost of your trip
  • A payment plan that suits you
  • Borrow more than you could with a credit card
  • No need to dip into savings

Cons of a holiday loan

  • Pay more for your holiday
  • You may incur charges for missed payments
  • Missed payments could affect your credit score
  • If you have a low credit score, interest rates could be high

Why get a holiday loan with us

At M&S Bank, our holiday loans could let you borrow between £1,000 and £25,000, making them ideal for anything from solo travel, to honeymoons and larger family holidays.

Once you’ve chosen how many months you want to spread your payments over, we’ll give you a fixed payment plan, making it easy for you to manage your money, and budget over time.

Check your eligibility with our free personalised loan quote tool to find out how much you can borrow.

Related articles

Reasons to get a personal loan

How to apply for a personal loan

Search M&S Travel Insurance

Published January 2023