Implications of Non Payment
Lenders follow their own principles and policies regarding fees and interest if you don’t pay on time. While most of them will contact you by phone or letter to rearrange payment, remember that non-payment can lead to extra charges and increased interest rate which eventually affects your credit score. It’s important that you read the lender’s website’s charges section before finalising the loan.
Lenders usually contact you by phone, email or letter to arrange payment as non-payment can lead to charges and higher interest rates affecting your credit score. There is the possibility of your debt being passed on to a collection agency and consequent further charges with continued non-payment.
Make sure you contact your lender well before your repayment date if you plan to renew your loan. You will most probably be charged the same rate of interest and fees for the next month on the entire loan amount. The loan renewal/extension is automatic and leads to more interest and charges to your account in the event of a non-payment.
Frequently Asked Questions
Is the application entirely online?
It is likely that your application will be processed online. You will be asked to fill in a few relevant details, and once submitted, you can expect a decision from the lender fairly quickly. However, there are cases where we may ask for more documents before approving your application.
How do I make repayments on the loan taken out?
We would usually use CPAs (continuous payment authority) set up via the debit card you registered with to collect the monthly repayments. However, if you would prefer, you can pay manually by contacting the lender direct.
Can I change or cancel any booking?
Whilst are able to amend or cancel a booking, there could potentially be an amendment fee, depending on the terms and conditions of your original booking. Also, bear in mind that if you cancel a booking, you would still need to settle the balance on your loan.
When will I receive my booking confirmation?
You should get this by your travel provider when the booking process is complete. Please get in touch with us if this has not happened.
How much can I borrow?
We offer holiday loans from £1,000 - £10,000, but the amount you receive can depend on a variety of different factors, including the lenders requirements. Factors such as employment and credit history are examples of factors that can affect this.
What is representative APR?
Representative APR is an indication of the rate that the borrower can expect to pay in interest. Bear in mind that lenders all have different criteria, so this can differ quite dramatically.
What information is required for me to fill out an application form?
In order to apply for a loan with Holiday Loan, please ensure you provide the following information.
• Details of your income
• A home telephone number (must be a landline)
• Details of your residence over the last three years
• The name and address of your employer
Why did my application get declined?
Your application being declined could be due to several different things as it is assessed by a credit reference agency, who take into consideration your individual circumstances. Nevertheless, the most common reasons for why your loan application was declined is due to the following-
•Your credit history This is the main thing that goes into the lender’s final decision. If your credit score does not match the lenders criteria, then it is possible that they could see you as a risk, and choose to decline.
•Your employment status or income If you are unemployed, or are perhaps not earning within a certain threshold, then lenders may choose to decline.
•Too much debt It is typical of lenders to assess your debt to income ratio. So if your income indicates that you may not be able to keep up with their repayments, they can choose to decline your application.
What happens when my application gets referred?
If your loan gets referred, this means that the lender is reviewing your application and needs to make further assessments. In most cases like this, the lender will contact you and ask that you provide the relevant information.
What conditions do I have to fulfil to be accepted for a loan?
If you fulfil the following requirements, then you have a chance of being accepted for a loan:
• You are a UK resident
• You are employed
• You have a UK bank account
• You are 18 or over
Are there any other fees that I need to be aware of?
You’ll be glad to hear that we do not charge any fees for our service.
What if my flight is delayed or cancelled?
If you have been told that your flight is delayed, you should make sure to monitor your airlines website and check for regular updates on the status of your flight. If there are further issues with your flight, then it might be worth contacting your airline directly and asking them to provide information on what your next steps should be.
As well as this, make sure that you always contact your hotel and inform them of any issues you are experiencing. This way, they can prepare for your delayed arrival and make sure everything is in check for when you arrive.
If your flight has been officially cancelled, then you will be required to confirm whether or not you want to cancel or book a different flight with your airline. You can check other flight options via the airlines website.
What if my holiday is affected due to a weather warning?
If you get informed of a weather warning, then it is likely that you will experience delays on your flights, as well as potential cancellations. To ensure that you are one step ahead, make sure that you allow yourself some extra travel time so that you are able to get to the airport promptly.
You can always find out more information on your flight by monitoring the airlines website and by contacting them directly to find out your options if it is cancelled or delayed. If your flight is delayed due to a weather warning, then you should also contact your hotel and inform them of the anticipated delay.