How does a holiday loan work?

A holiday loan is a personal loan to help you spread the cost of your holiday or trip. With one, you can repay it over a set number of months, so you don’t have to worry about paying for it all in one go.

Check your eligibility

  • Check if you're eligible to apply for a loan by answering a few questions and if pre-approved, get a personalised rate - with no effect on your credit score.  
  • No need to re-type your answers - as long as nothing's changed, you don't need to type these details in again.
  • Apply securely online to get a decision.
  • If approved, you should have the money in your account in 2 hours, or sometimes up to three working days.

The amount of lending and the interest rate offered to you, depends on an assessment of your personal circumstances.

Check your eligibility

MBNA personal loans are provided exclusively by Lloyds Bank plc. MBNA Limited act as a credit broker and not the lender.

Things to think about before you jet off

Money saving tips

  • Do your research – shop around for flights and accommodation deals.
  • Book in advance – see if you can save yourself cash.
  • Set a budget – work out what you think you’ll need to spend. And then allow for a little extra!
  • To avoid cash machine, credit or debit card charges abroad, sort out your travel money before you go.

Things to consider

  • Consider how the monthly repayments will fit into your budget.
  • Only borrow money if you’re confident you can repay the full amount in the time given.
  • Make sure that a loan is the best option for you when paying for your holiday.
  • A credit card might be a cheaper borrowing option. Compare loans and credit cards here.
  • You may be able to pay by instalments through your holiday provider.

What happens now

Check your eligibility

With our eligibility checker you get:

  • to find out if you're eligible to apply for a loan.
  • if pre-approved, get your personalised rate with no effect on your credit score.

What do we need to know about you? To help us get to know you a bit better, here's a few things we'll need from you: your personal and contact details, details about your money coming in and going out and your employment details. Don't worry, as long as nothing's changed, there's no need to type these details again if you go on to apply.

Get a decision

Go on to apply and you'll get an instant decision.

Get the money in your bank

If we approve your loan, you should have the money in your account within 2 hours. Sometimes it may take a bit longer, but no more than three working days.

You can apply for a loan if:

  • You are age 18 or over.
  • You’re a UK resident (except for the Channel Islands and Isle of Man).
  • You’re not in full-time education. 
  • You’re in paid employment or have a regular income.
  • You’ve not been declined for credit in the last month.
  • You don’t have a history of bad credit.
  • You are not applying for any of these reasonsLoans won't be provided for speculative purchases (gambling, investments and share purchases), any illegal purposes, business-related purposes, purchase/lease of land or property, either full or part purchase (including deposit), timeshares/holiday clubs

Information needed if applying

If you get an offer and decide to apply for a loan today, you'll also need your UK current account details.

We might also ask you to confirm your identity. For this, you'll need a smartphone or tablet to take a selfie. You’ll also need to take a photo of your UK passport or driving licence.

Frequently asked questions

  • All of our loans are unsecured, meaning they’re not secured against anything such as a car or your home.

  • Getting a personalised quote, telling you what your repayments would be, doesn’t affect your credit score – we’ll only do a ‘soft search’ then. If you go on to apply, we’ll then do a full credit check, called a ‘hard search’. This helps us understand if you’re likely to have any problems paying the loan back.

  • When you apply for a holiday loan, we’ll tell you how much your monthly repayments will be. This includes the interest and is a fixed amount until you pay the loan back. The repayments will start the month after your agreement begins. We’ll take them by Direct Debit on a date that suits you.

    You can make extra payments with no charge. If you pay the loan off early, we may charge you up to 58 days’ interest.

    If you miss a repayment, your account may be passed onto our collections team and you may be charged £25. And if more repayments are missed, you may be charged more.

  • Our eligibility checker is an online tool you can use to tell us a bit about you and your circumstances. By answering a few questions, you can:

    • find out if you're eligible to apply for a loan.
    • if pre-approved, get a personalised rate.
    • relax - as long as nothing's changed, you don't need to re-type any of the details you've already given us.

    All of this, before you apply and with no effect on your credit score.