Here’s how to fund your festive expenses using personal loans

personal loans

The festivals bring us joy but also prompts expenses. You tend to spend money on home renovation, hosting parties, shopping and the list goes on. Besides, you will find your mail inbox filled with lingering festive offers from banks. So, you try to make the most out of this offer by purchasing valuable assets. Alongside, the festivities go on for an extended period which can release stress to deal with the cumbersome expenses. Now you can get personal loan to tackle all sorts of budgetary obligations surrounding the festive seasons. 

In recent years, several banks have come up with various personal loan offers to make festival planning easier for their customers. These loans are generally provided for a limited amount, so banks are flexible regarding the eligibility criteria. Such exciting offers can easily fool you to overspend during the festivity. Hence, you must know how you should fund your expenses using personal loans this festive season. 

For buying electronic expenses

There must be an electronic gadget that you are longing to buy for a long time then you can take a low-cost personal loan to buy home appliances. Even you can use this opportunity for furniture, electronics, white goods, etc. The benefit of using a personal loan is that you can purchase anything and you get low-cost EMIs along with flexible tenure. Some banks also give you the freedom to apply for a personal loan online. 

Use it for home renovation 

The festive season is the time when your clean and decorate your house to make it picture ready. So if there is some area you want to redecorate in your place or maybe want to do some painting work, then these personal loans are the best option out there. 

A fresh layer of paint enhances your living space, and when you have money in your bank account, you can shop satin, metallic or flock or maybe try wallpapers to give your home a more sophisticated look. Besides, a home renovation gives you the freedom to play with lights as well as a chance to brighten up your home. Festival means you are going to hold a puja at home so this time you can take a personal loan to remodel your prayer area. A home renovation using a personal loan this festive season is the perfect option for you. Because the banks offer comparative interest rates, a flexible repayment period of 36 months with zero collateral, and you can also do the whole procedure online. 

Use as a debt consolation loan

If you want to give yourself a fresh start by closing your old debts and then you can use the festive loans to clear your credit card debts or other personal loans. Otherwise, you can use a personal loan to combine all your higher-interest debts so that you can repay in a single loan with low-interest rates. This step will not only help you to rebuild your CIBIL score but also give you a hold on your financial situation. 

Invest in other loans

Festivals are not just about spending money or shopping. Many people use it to buy assets or build their wealth. You can also start by simply investing in person to person loan (P2P loan), which will help you to make a passive income stream. If you buy a house using a personal loan during the festive season, then you can claim tax benefits towards the interest that you pay for the loan. These loans will provide you with flexible EMIs, so don’t worry about burdening yourself later. Further, you can also take this opportunity to invest in the stock market or mutual funds. 

Facilitate gold purchase

Gold is considered as the most valuable asset since the beginning of time. In festivals like Dhanteras, you purchase gold, silver or any metal for an usher of wealth. When you have money in your account, then you can consider buying silver or gold coins for keeping them as assets or convert them into jewelry. Otherwise, you can purchase Gold Exchange Traded Funds (ETFs) instead of buying traditional gold. This is a smart strategy to buy gold with personal loans and paying it back in lowe-interest rates. 

The festive personal loan offers are fascinating but don’t borrow a significant amount that is out of your repaying capacity. But festival loans are the best option if you want to take a small loan and for a short tenure. Besides, personal loans can be applied online, so using the EMI calculator, you can evaluate the money that you have to repay. This way, you will know if taking this loan will be a feasible option for you. These points, as mentioned above, may help you decide why you should use a personal loan for funding your festival expenses.