Turn your dream holiday into reality with smart budgeting, strategic savings, and the right travel loan without draining your bank account:
We all have that one destination that is calling to us. It could be the pristine beaches of Bali, the breathtaking landscapes of New Zealand, diving in the Great Barrier Reef, or the irresistible charm of wandering through cobbled streets in Europe. Wherever your dream destination is, it shouldn’t remain just a dream!
Great news! Your dream holiday doesn’t have to wait. With the right plan and a well-structured travel loan, you can make it happen sooner without draining your savings. In this guide, we’ll show you how to turn your getaway goals into reality without the financial stress.
Creating a realistic budget isn’t about limiting your dream; it’s about bringing it into focus. When you know exactly what you’re aiming for, you’re one step closer to making it happen.
Start by asking yourself a few key questions:
Your answers will lay the foundation for your budget. Once you have this clarity, you can research the major expenses:
Remember, you’re not just budgeting; you’re building a roadmap that helps you stay focused to achieve your dream holiday!
If you need help creating a budget, Moneysmart offers some terrific insight on how to create a budget with their article ‘How to do a Budget’.
Once you have built your budget, it’s good to set up a dedicated savings account for your holiday. This could involve creating a separate account where you deposit a certain amount of money regularly. You don’t have to worry about saving for the full cost, as travel loans can help you cover the rest.
A dedicated savings account for your holiday helps separate your vacation funds from your daily expenses, preventing any accidental spending. Some banks offer specialised vacation saving accounts with competitive interest rates, so make sure to check with your bank if they offer this.
Thorough research is essential for finding the best deals. Compare prices, set alerts for your preferred routes, check directly with airlines for exclusive offers, and consider alternative airports nearby.
Generally, if you’re looking to travel within Australia, it’s good to book 2-3 months beforehand. If you’re looking to travel overseas, you’d want to book everything roughly 4-5 months ahead. Booking far enough in advance will help you save more money, as last-minute bookings, whether within Australia or overseas, will cost more.
Smart travel planning also involves creating an itinerary that includes the activities you want to do, local food places to eat at, and local transportation options if needed.
Another important consideration is obtaining travel insurance because it can help cover medical emergencies, trip cancellations, lost or delayed baggage, and flight disruptions. If you’re looking to get travel insurance, make sure to compare policies and review the exclusions to ensure the coverage offered fits your needs.
When applying for holiday loans, there are some important factors to keep in mind regarding lender requirements. Lenders will review your bank statements to determine your borrowing capacity. This assessment helps them establish how much you can realistically afford to borrow and repay.
After you’ve been approved, many lenders require proof of your travel plans. This might include flight receipts, accommodation bookings, or a detailed itinerary. Since requirements vary between lenders, it’s wise to consult with your lending specialist at Fox Finance Group beforehand so we can help you prepare the necessary documentation.
Expect questions about how you’ll manage your finances during your trip. Lenders may ask whether you’ll be using annual leave while travelling and will want to understand your plan for repaying the loan while on your holiday.
Understanding the key differences between secured vs unsecured loans will help you choose the right financing option:
Secured loans will offer you more favourable loan terms and flexible options, because the lenders risk is reduced due to taking security over your vehicle, for example. In contrast, unsecured loans carry higher risk for lenders since there is no security to recover if you stop making your repayments, resulting in tighter guidelines.
Once you have secured your holiday loan, make sure to set up automatic payments for all your bills and liabilities before you leave. There’s nothing worse than having a wonderful holiday and coming back to find you’re behind on your bills.
Stop thinking your dream holiday is out of reach. Apply now for us to help you make it happen!
Curious where to travel on the Sunshine Coast? Check out our blog about what we believe to be the “Top 9 Places to Stay in Queensland” to create an unforgettable adventure for yourself!
 Rowdie Lang |
Rowdie has been a part of our Team since 2020. He has witnessed firsthand the ongoing evolution of the finance industry as technology continues to change the way customers' access financial services. He has a passion for helping people and relishes the opportunity to work alongside our teams every day as they help our customers financial dreams come true.
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Reviewed by: Nathan Drew ✅ Fact checked 📅 Last updated: Aug 21, 2025 |
First, figure out where you want to go, how long you’ll be there, and what kind of trip you want. Then, research costs for flights, places to stay, and activities. This helps you create a realistic budget.
It’s good to set up a special savings account for your holiday. You don’t have to save all the money, as travel loans can help with the rest.
For trips within Australia, try to book 2-3 months ahead. If you’re going overseas, aim to book about 4-5 months in advance. Booking early usually saves you money.
Lenders will check your bank statements to see how much you can afford to borrow. They might also ask for proof of your travel plans, like flight bookings, and how you’ll manage repayments while you’re away.
