WalletHub makes it easy to find the best vacation loans.
The best vacation loans offer the potential for low APRs and $0 origination fees, in addition to large loan amounts. These loans can be used for any travel-related expense, like plane tickets, hotel stays or tickets to an attraction. To help vacationers start their search, WalletHub selected the best vacation loans from our partners, which you can check out below.
It’s important to note that most lenders do not offer a product specifically called a “vacation loan” to be used for travel expenses. Typically, you’ll just take out a general-purpose personal loan that you can use for nearly any expense. Plus, if you want to know your chances of getting a loan for a vacation, WalletHub’s free pre-qualification tool can show you which lenders are likely to approve you.
9 out of 10 customers would recommend Prosper to friends or family**
Get your money in as few as 3 business days — your monthly payment stays the same
**Based on responses from randomly selected borrowers in good standing who received a loan from 01/01/2016 to 11/20/2016. Survey conducted was of a statistically significant sample size with a 95% confidence level and a 3.94% margin of error.
APRs presented are estimated and were created based upon information entered by the consumer and through analysis of information publicly available at Prosper.com. The estimated APR presented does not bind Prosper. The range of APRs available through Prosper is 6.99% to 35.99%. Only borrowers with excellent credit qualify for the lowest rate available. Your actual APR depends upon credit score, Prosper Rating, loan amount, loan term, credit usage and history. All loans are subject to credit review and approval. All personal loans made by WebBank, Member FDIC. For example, a two-year $10,000 personal loan would have an interest rate of 11.5% and a 4.00% origination fee for an annual percentage rate (APR) of 15.64% APR. You would receive $9,600 and make 24 scheduled monthly payments of $468.40. A three-year $10,000 personal loan would have an interest rate of 11.74% and a 5.00% origination fee for an annual percentage rate (APR) of 15.34% APR. You would receive $9,500 and make 36 scheduled monthly payments of $330.90. A four-year $10,000 personal loan would have an interest rate of 11.50% and a 5.00% origination fee for an annual percentage rate (APR) of 14.27% APR. You would receive $9,500 and make 48 scheduled monthly payments of $260.89. A five-year $10,000 personal loan would have an interest rate of 11.99% and a 5.00% origination fee with a 14.27% APR. You would receive $9,500 and make 60 scheduled monthly payments of $222.39. Origination fees vary between 1%-5%. Personal loan APRs through Prosper range from 6.99% to 35.99%, with the lowest rates for the most creditworthy borrowers. Eligibility for personal loans up to $50,000 depends on the information provided by the applicant in the application form. Eligibility for personal loans is not guaranteed, and requires that a sufficient number of investors commit funds to your account and that you meet credit and other conditions. Refer to Borrower Registration Agreement for details and all terms and conditions. **You may receive your funds one business day after your acceptance of the loan offer, completion of all necessary verification steps and final approval. One business day funding is also dependent on your bank’s ability to quickly process the transaction.
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See your interest rate for free – will not impact your credit score.
LightStream
The best vacation loans come from LightStream. This online lender offers loans specifically for timeshares and destination clubs, which have APRs of 4.98% - 20.49%, plus general-purpose personal loans that can be used for vacations. The general-purpose loans have an APR range of 5.99% - 24.49%, dollar amounts of $5,000 - $100,000 and no origination fee.
Upgrade
Upgrade offers the best vacation loans that allow co-applicants. When you apply with a co-applicant, both applicants’ credit scores and incomes will be considered in the approval process. The company also offers loan amounts of $1,000 - $50,000 and an APR range of 8.49% - 35.97%.
Best Egg
Best Egg has the best vacation loans for fair credit. You’ll need a credit score of at least 640 to qualify for a loan from Best Egg. The company also offers loan amounts of $2,000 - $50,000 and an APR range of 8.99% - 35.99%.
LendingClub
LendingClub offers the best vacation loans with small minimum loan amounts. The company has loans as small as $1,000 and an APR range of 8.05% - 35.89%. You’ll also need a credit score of at least 600 to qualify.
LendingPoint
LendingPoint has the best vacation loans for people with bad credit. You’ll need a credit score of 580 or higher to qualify. The company also offers loan amounts of $2,000 - $36,500 and an APR range of 7.99% - 35.99%.
Prosper
Prosper offers the best vacation loans for people with fair-to-good credit. The company has a credit score requirement of 640+, an APR range of 6.99% - 35.99% and loan amounts of $2,000 - $50,000.
There are a lot of good vacation loan options available, and even people with bad credit may be able to get funding. It might not be the best idea to even try get a vacation loan, however.
Should You Apply for a Vacation Loan?
The decision is entirely up to you, of course. But it’s best to avoid unnecessary debt, and a vacation expensive enough to require a loan definitely qualifies as more of a luxury than a necessity. As a result, this type of loan could put your finances in a needlessly vulnerable position, in addition to making your trip cost more due to interest and fees.
In general, you want to owe as little as possible and have as much as possible saved. A vacation loan pushes you in the wrong direction. Plus, if an emergency happens and you’re unable to pay back the loan, you could wind up ruining your credit over something that was supposed to be a fun outing.
It’s best to pay for your vacation with money you already have saved. So, try to set aside a little money each month for future trips. You could also do some extra work to earn additional funds before you travel. Alternatively, you might consider simply taking a less expensive vacation. Ways to do this include choosing cheaper activities and destinations, hunting for the best ticket deals, or using saved credit card rewards to pay for a portion of the trip.
That said, if you’re confident you’ll be able to pay off a vacation loan, there are plenty of good options available.
Tips for Getting the Best Vacation Loans
Create a budget. It’s hard to know how much of a loan you’ll need if you don’t first know how much your vacation will cost. Add up the expenses for transportation, food, activities, shopping and more. Then, subtract any amount you’re able to pay with cash you already have. Keep in mind that this is the opposite of the most responsible approach – deciding what kind of vacation to take based on what you can already afford.
Compare personal loan offers. Given that the loan is for a vacation, you probably won’t have to worry much about getting a large amount of funding or having quick approval. So you can focus on comparing what really matters: APRs and fees. You’ll also want to keep the loans’ minimum credit score requirements in mind.
Check for pre-qualification. Comparing loans will only give you a very broad idea of their costs. But getting pre-qualified will give you a clearer picture of what your rates might be, along with a sense of your approval odds. You can get started with WalletHub’s free pre-qualification tool.
Submit your application. The fastest way to apply is usually online. You’ll need to provide personal details like your name, address and Social Security number, along with financial details such as your income, employment status and housing status.
Wait for a decision. With most personal loans, you can expect to hear back within a few business days. Some of the best lenders provide decisions the same day you apply.
Receive your money. Assuming you are approved for a vacation loan, you should get your funds within a few business days.
Vacation Loan Statistics
Americans spend an average of $2,000 - $3,000 per vacation. We can’t always afford the full tab with savings alone, either. Nearly one in four people say they’ve borrowed money for a vacation, according to WalletHub research, and even more of us (37%) believe travel is worth going into debt for.
So it should come as no surprise that U.S. consumers have racked up a ton of vacation debt: $12.6 billion, as of 2019. And that figure is likely to continue rising as long as we continue to spend so lavishly on leisure travel.
Year
U.S. Leisure Travel Spending (Billions)
2015
$666.7
2016
$683.1
2017
$715.5
2018
$761.7
2019
$792
Source: U.S. Travel Association
Only a small amount of all vacation borrowing actually comes from personal loans, though, at 12.7%. In contrast, credit cards account for 46% of vacation borrowing. Plus, 97.7% of personal loans are used for purposes other than vacation.
Final Thoughts
Personal loans are the best way to get vacation financing, even though they’re not usually marketed as “vacation loans.” On that note, there are some companies that specialize in vacation lending, but they tend to either have high rates or not provide much information on their websites. It’s better to stick with a reputable personal loan company, which also affords you extra flexibility with your spending. Personal loans can be used for anything.
At the end of the day, taking out a vacation loan can help you finance an exciting travel experience that you otherwise wouldn’t get to have. However, once the fun is done, it’s important to be responsible. Pay your bills on time, or memories of your getaway will be tainted by late fees and credit score damage.
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Unlike other sites that only promote loans they're paid by, WalletHub's editors focus on finding the best loans. WalletHub makes it easy to find the best vacation loans.
About the author
Gino Rodriguez
Gino Rodriguez is a staff writer for WalletHub specializing in personal loans. Gino has a BA in Philosophy with a minor in Psychology from The University of Texas Rio Grande Valley.
Comparing Personal Loans can be tough. But you've got the knowledgeable WalletHub community on your side. Other consumers have a wealth of knowledge to share, and we encourage everyone to do so while respecting our content guidelines. Please keep in mind that editorial and user-generated content on this page is not reviewed or otherwise endorsed by any financial institution. In addition, it is not the financial institution's responsibility to ensure all posts and questions are answered.
To get a vacation loan, start by comparing "vacation loans" and regular personal loans from multiple lenders. Vacation loans are just personal loans with different branding, and comparing offers will help you find the best terms among loans you're likely to qualify for. After you've chosen the best loan, you'll need to apply for it and wait for the lender to send you the funds.
How to Get a Vacation Loan in 6 Steps
Check your credit score.
Checking your credit score can help you see if you can get approved for a vacation loan with your current score or if you need to improve it. You can check your credit score for free on WalletHub.
Pre-qualify if possible.
Pre-qualifying shows you which lenders may approve you and what rates may be available to you. Not all lenders offer pre-qualification, though. You can pre-qualify with multiple lenders at once for free on WalletHub.
Compare your options.
The most important things to keep in mind when you're comparing vacation loans are the APRs, fees, loan terms, dollar amounts and approval requirements. The best vacation loans offer the potential for low APRs, no origination fees and large dollar amounts.
Choose a loan that works for you.
Choosing a loan depends on a number of factors, including which lender offers the best terms and your financial standing.
Apply for the loan.
Depending on the lender, you may be able to apply online, over the phone or in person at a branch. The lender will need some personal information for the application, such as your name, date of birth and address. They will also require some financial information, like your employment status and income. More often than not, the lender will do a hard pull of your credit history when you officially apply.
Wait for a decision and funding.
If you get approved, it may take up to a few business days to get the funds. The lender will either mail you a paper check or do a bank transfer.
After you receive the funds, you'll need to start repaying the vacation loan. Repayment could take a few months or years depending on the loan you get.
To start comparing loans, check out the top-ranked vacation loans on WalletHub.
You should not borrow money to go on vacation because a vacation is more of a luxury than a necessity, and it's best to save your borrowing capabilities for necessities. Taking out a loan may also make your trip cost more due to the interest and fees associated with it. Instead, you should save a little money every month for future vacations so you can avoid getting into unnecessary debt.
How to Avoid Borrowing to Go on Vacation
Set aside a little money each month for future trips. If you can take a little out of your paycheck every month to pay for your next vacation, you shouldn't have to worry about taking out a loan.
Work a little more before you travel. Picking up some extra shifts or working overtime can help you save up for a fun vacation. Plus, the vacation will be a nice break after working the extra hours.
Consider a less expensive vacation. To save on vacation costs, you could choose cheaper activities and destinations, hunt for good ticket deals or use credit card rewards to pay for a portion of the trip. You could also take a "staycation" to see things in your area that you haven't seen before.
Think about other ways to pay for the vacation. Instead of using a personal loan to pay for your vacation, you should consider using a travel rewards credit card and paying the bill in full by the due date.
If you're set on getting a loan for a vacation, check out the top-ranked vacation loan offers on WalletHub.
Yes, you can get a loan for a timeshare. It's possible to get timeshare loans directly from the seller of the timeshare or from a personal loan provider. Usually, the better option is to get a personal loan. That's because timeshare sellers' financing options tend to be more expensive. One of the best personal loan providers is LightStream, which has loans specifically for purchasing timeshares with APRs ranging from 5.95% to 17.25%. Other options for timeshare loans include taking out a home equity loan or using a credit card.
Timeshares typically let you stay at a property for one week out of the year, and cost over $21,000 on average, according to the American Resort Development Organization (ARDA). That's a one-time fee, but you may also have to pay a yearly maintenance fee of several hundred dollars. Vacationers can spend even more money to buy the rights to longer stays (or spend less money to stay less often).
If you're interested in taking out a timeshare loan, you should ideally have little other debt and no other big financial events coming up. You won't want to hurt your credit score or get in financial trouble over a vacation.
Ways to get timeshare loans:
From the timeshare seller. A timeshare seller may offer a plan where you pay off the cost of the timeshare over time rather than having to hand over all the money upfront. While this isn't exactly the same thing as a loan since the seller doesn't give you money at the start, it works pretty much the same way, in that you'll have to make payments in monthly installments. The average APR with timeshare seller financing is 14%, according to ARDA, but rates can be over 20%.
Personal loan: Most personal loan providers offer loan amounts large enough to accommodate a timeshare, though you'll likely need at least good credit to qualify for a loan that big. Lenders' minimum loan amounts tend to start at $1,000 to $3,000, and their maximums range from $25,000 to $100,000. The best personal loan APRs are as low as 6%, though the maximum APRs can be as high as 36%.
Home equity loan: A home equity loan can offer a lot of funding because you can borrow a portion of your home's value minus the mortgage balance. Plus, you can use the money for just about anything you want, including timeshares. But home equity loans are secured by your house, so it's probably not the best decision to risk foreclosure for a vacation rental.
Credit card: This is really only an option for people with excellent credit scores and high incomes. You'll need both to get a credit card with a credit limit over $20,000. And since credit card APRs are so high, you'll want a card with an intro 0% APR on purchases to avoid paying interest on the timeshare. Cards with 0% APRs only offer interest-free financing for 6 to 21 months, so you'll need to pay off the full amount within that time if you want to save as much as possible.
One word of caution – don't get a timeshare loan thinking it will be a good investment. While timeshares can certainly provide great vacation experiences, the resale market is very poor and most people sell their share for far less than what they originally paid.
While you do technically own a stake in the property (in most cases), the fact that you co-own with dozens of other people means you can't make any alterations to the property to increase its value, or sell the full property without a lot of hassle. That's part of why a timeshare differs from a traditional mortgage. In addition, the timeshare supply greatly exceeds demand. So if you buy a timeshare, expect to lose money in the long run.
The best vacation loans with no credit check are from 60MonthLoans. The company offers loan amounts of $2,600 - $10,000, APRs as low as 19%, repayment periods of 24-60 months and a funding timeline of up to 3 business days. 60MonthLoans does not do a hard pull of your credit history, which makes these loans easy to qualify for.
Even though there are some options for vacation loans with no credit check, it's smart to consider other alternatives. For example, saving for a trip is the best alternative to taking out a loan and getting into unnecessary debt.
The best vacation loans for bad credit are from LendingPoint. The company offers loan amounts of $2,000 - $36,500, repayment periods of 24 - 72 months, funding as soon as the next business day and APRs of 7.99% - 35.99%. LendingPoint loans can be used to cover all aspects of a vacation, such as airfare, hotel stays and cruises.
Still, it's better to save your money for a vacation rather than taking out a loan if you have bad credit. It's best to avoid getting into unnecessary debt, considering a vacation is more of a luxury than a necessity.
Personal loans through Upstart have dollar amounts of $1,000 - $50,000 with APRs typically of 5.35% - 35.99%. There is no minimum credit score requirement.
Achieve Personal Loans offers loan amounts of $5,000 - $50,000 with APRs of 7.99% - 29.99%. You'll need a credit score of 620+ to qualify.
You'll have to meet the credit score requirement along with other general requirements to be considered for a vacation loan. You need to be at least 18 years old, have a bank account and have enough income to make monthly payments, for example.
To see which companies may approve you and what rates may be available to you, check out the free pre-qualification tool on WalletHub.
Your loan amount will be determined based on your credit, income, and certain other information provided in your loan application. Not all applicants will qualify for the full amount. Minimum loan amounts vary by state: GA ($3,100), HI ($2,100), MA ($7,000), NM ($5,100), OH ($6,000).
The full range of available rates varies by state. The average 5-year loan offered across all lenders using the Upstart platform will have an APR of 24.83% and 60 monthly payments of $26.36 per $1,000 borrowed. For example, the total cost of a $10,000 loan would be $15,817 including a $594 origination fee. APR is calculated based on 5-year rates offered in the last 1 month. There is no down payment and no prepayment penalty. Your APR will be determined based on your credit, income, and certain other information provided in your loan application. Not all applicants will be approved.
* We work hard to show you up-to-date product terms, however, this information does not originate from us and thus, we do not guarantee its accuracy. Actual terms may vary from the estimates. Before submitting an application, always verify all terms and conditions with the offering institution. Please let us know if you notice any differences.
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