CUA finds women choose smaller personal loans for travel than men

Data from Australia’s largest customer-owned financial institution CUA has shown women are opting for far more conservative loans than men for their travels.

Of 1600 recent CUA personal loans used for travel, men in the over 40 age bracket took out $900 more than younger men and women overall. Women accounted for 54% of personal loans and young women borrowed the smallest amount of funds. 

These results should come as no surprise as several studies have consistently shown that despite the pay gap between women and men, women consistently save more. 

US investment firm, Fidelity Investments reported last year on the money habits of both genders. Its data showed that overall, “women exhibit stronger savings and asset collection behaviour than men”. 

Personal loans are taken out for a range of reasons including to buy cars, pay for weddings, and in this case, to cure the travel bug. 

Chris Malcolm, the Head of Customer Insights at CUA, said personal loans are useful for the extra costs involved with travel we can easily forget about. 

“It’s important that people budget for holidays and think about the total cost upfront- before packing the car or boarding a flight,” he said. 

"Underestimating the cost of the trip upfront often means travellers are paying for little extras on their credit card, or dipping into funds you need for other expenses back at home. Those extras quickly add up and your holiday could end up costing much more than you expected.” 

Are you on the hunt for a personal loan with a competitive rate? Mozo’s personal loan hub will help you compare and find the best deal for you.