Whether you have to attend a relative’s wedding out of state or just need to escape, you can get vacation financing. Here’s how to get the show on the road.
35% of Americans take a family vacation in any one given year.
You might feel like your family needs a bonding getaway, or you may want to go somewhere yourself. Or, perhaps you just want to get away with your spouse and relax.
For many people, taking a vacation isn’t in the cards financially speaking.
This is where vacation financing comes in.
Simply put, it means combining things like credit cards, personal loans, and savings to pay for a vacation.
Read on to learn about some of the different ways you can finance a vacation if you can’t pay up front.
Work with the Travel Agency or Company Itself
Some companies and big vacation destinations will offer financing packages. This allows you to buy now and pay later. In some cases, this may mean making a large down payment before then paying off the vacation bit by bit.
Look out for travel agencies or companies who may have this option, as it can be a great way to finally have that getaway you’ve been wanting, even if you can’t completely afford it!
Vacation Financing: Get Creative
Get creative with your vacation financing and use several sources of money instead of just one.
You can get creative by paying with a credit card or personal loan, and then paying a huge chunk back immediately. This means that a good portion of the vacation is already paid off, so your monthly payments will be lower. Or, you can simply off the rest of it when you get the money to do so.
You can also decide to go somewhere budget friendly over the blowout Disney vacation you might be dreaming of. You’ll still get the getaway and the memories without the tab.
Personal Loans
Some people take out personal loans in order to go on vacation. This is probably not the best thing to do unless you have a good amount of money free to pay it back quickly.
However, personal loans are a great way for you to get financing quickly. They’re also a good way to finance things like your vacation that you may not be able to experience otherwise.
Many people discount personal loans because they need a good credit history in order to get approved. Luckily, there are online loans no credit check companies available that will help you get one, regardless of your credit history.
In some cases, these loans can have high interest rates, so you’ll need to find one that works for you and your finances.
Taking out a personal loan for a vacation, especially if you can pay it back quickly, is a good way to help build your credit as well. If you don’t have a great credit history or you’re still very young and have no credit history, this is a good strategy to help invest in your future.
Using a Credit Card
A credit card is also a way to finance a vacation. Putting the entire thing on a credit card may not be the wisest financial decision, but it can mean that you’ll get to go on vacation with no money down.
You need to be aware of credit card interest rates, as you may be paying for the vacation several times over if you don’t make more than the monthly payments each pay cycle.
Credit cards can be handy for travel, especially if you get a credit card that is attached to or sponsored by an airline. Often times, the more you use the card, the more miles you get. Some airlines also have deals with hotels and rental car stores to allow you to gain even more travel-related rewards.
Using your credit card can be a wise financial decision if you plan correctly. If you use a card associated with an airline, you might be able to get free plane trips, free nights in hotels or free rental cars.
Using Your Savings
Using your savings is another good way to finance your vacation. However, you shouldn’t use your entire life’s savings in order to have a great vacation. Instead, you should use only some of your savings in order to supplement your vacation fund.
Using savings is a smart financial decision because it doesn’t accrue interest and you can pay off everything immediately. However, be careful not to spend all of your savings on one big blowout trip. You’ll want to prepare yourself and plan for emergencies that may occur while you’re on vacation, such a missed flight or hotel reservation mishap.
Combining Methods
The best way to finance a vacation you can’t afford upfront is to combine some of these strategies. It’s not advisable you take out a loan or spend all of your savings for the entire vacation’s price. Instead, you should use some from your savings and put some on your credit card to leave you with money after you return from your days away.
A vacation is a fantastic way to relax and unwind, and can make you more motivated to earn money once you’ve returned so that you can go on vacation again!
Final Thoughts
If you play your cards right, you can have a fun and productive vacation without breaking the bank.
Although vacations don’t last forever, memories and experiences are some of the best times many people look back on as they age.
Family vacations, especially, will be something you’ll remember well into your old age. Your children, too, will always carry these special memories.
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