5 Things You Can Use a Personal Loan for in 2025

A personal loan is a kind of installment loan that disburses a predetermined sum of money to you all at once. Most personal loans can be obtained without putting up any security. The repayment period can range from one to ten years. The best part is that these loans could be used for almost anything.

Here are five smart and practical ways people are using personal loans in 2025:

1. Wedding Expenses

Indian weddings are beautiful, emotional, and let’s be honest, often expensive. The costs can add up quickly, from venue bookings to catering, outfits, jewellery, and photography.

A wedding loan can help you:

• Pay vendors in advance to lock in lower prices.
• Avoid dipping into long-term savings like fixed deposits.
• Spread the repayment over months instead of draining your funds in one go.

2025 trend: Many couples now opt for destination weddings, pre-wedding photoshoots, and live-streaming events for guests abroad. These come with extra costs, making a personal loan a proper backup.

2. Travel and Vacations

After the travel boom post-pandemic, 2025 continues to see a rise in international holidays and luxury domestic trips. Whether it’s a family vacation, honeymoon, or solo adventure, travel costs like flight tickets, hotels, and activities can be high.

A personal loan can:

• Help you take that once-in-a-lifetime trip without waiting years to save up.
• Cover group travel costs and allow you to repay them later.
• Provide funds for last-minute deals or peak season travel when prices are higher.

Example: A family of four planning a Europe trip can use a personal loan to book early and take advantage of discounts, then repay over 12 to 24 months.

3. Medical Emergencies

Medical emergencies often come without warning. Even if you have health insurance, it may not cover:

• Certain advanced treatments
• Costly medicines
• Recovery-related expenses
• Non-hospital costs like home care

In such situations, an emergency loan can:

• Bridge the gap between your insurance coverage and the actual expenses.
• Provide immediate funds without the need for asset liquidation.
• Give peace of mind during stressful times

2025 trend: With rising healthcare costs and increased use of advanced treatments like robotic surgeries, more people are using personal loans to cover medical bills quickly.

4. Buying a Bike or Car (New or Used)

Buying a vehicle is a major decision, and while there are dedicated auto loans, a personal loan offers more flexibility. Unlike vehicle loans, you:

• Don’t have to pay a down payment if you use a personal loan for the full cost.
• Can finance a used bike or car easily without complex valuation checks.
• Can buy directly from another individual, not just a dealer.

Example: In 2025, electric scooters and second-hand EV cars are popular choices. A personal loan for vehicle can help you buy one outright and avoid the lengthy processing times of specific EV financing schemes.

5. Education – Including Online Courses

Education is no longer limited to college degrees. In 2025, upskilling and online certifications are huge, from AI and data analytics to design, languages, and finance.

A personal loan can help you:

• Pay tuition fees for higher education (India or abroad)
• Fund online courses from global platforms like Coursera, edX, or university-led programs
• Invest in professional skill development without breaking your monthly budget.

Example: A working professional taking a 6-month online executive MBA program can use a personal loan to pay fees upfront, then repay in EMIs.

Why Choose Piramal Finance for Your Personal Loan in 2025?

• Competitive rate starting at 11.9%* p.a.
• Quick approval and disbursal often within 24-48 hours
• Flexible repayment tenures up to 60 months
• Minimal documentation and a hassle-free process

Final Word

Personal loans in 2025 are more flexible, faster, and easier to get than ever before. Whether it’s for a wedding, travel, medical emergency, buying a vehicle, or education, they can help you achieve your goals without derailing your savings.

The key is to borrow smart, compare rates, know your repayment capacity, and choose a trusted lender like Piramal Finance for transparent terms and quick processing.

FAQ

Q1. What are the most common uses of a personal loan in 2025?
A1. The most popular uses include wedding expenses, travel, medical emergencies, buying a bike or car, and funding education or online courses.

Q2. Can I use a personal loan for international travel?
A2. Yes. A personal loan can cover flights, hotels, and other travel expenses, allowing you to spread costs into EMIs instead of paying all at once.

Q3. Is it better to take a personal loan or use savings?
A3. If using savings would impact your emergency fund or investments, a personal loan can help manage costs while keeping your savings intact.

Q4. Can I use a personal loan to buy a second-hand car or bike?
A4. Yes. Unlike vehicle loans, a personal loan can be used to buy a new or used vehicle directly from a seller without extra documentation.

Q5. What is the starting interest rate for a personal loan at Piramal Finance?
A5. Piramal Finance offers personal loans starting at 11.9%* p.a., with flexible tenures and minimal documentation.