Low-interest loans for rest and relaxation2 of 6Yes, it would be better to save up all year for a family cruise or ski trip rather than take out loans. But for many Americans, that simply isn't in the cards.Goldwasser doesn't advocate financing a vacation. If you're going to do it, avoid putting it on a high-interest credit card, she says. Taking out a personal loan may be a better choice because the interest rates on those loans aren't as high as they are on credit cards, says Goldwasser. The rate will vary based on your credit score and the lender, so it's best to shop around.An alternative is to join a membership club. These clubs give members access to interest-free loans to use on the club's vacation packages. Players Vacation Club, a travel company in San Diego, offers financing of up to 80 percent for members who pay at least a 20 percent deposit and keep up with monthly membership fees. To qualify for up to a $3,000 line of credit you have to be 18 years old and a U.S. resident, and be employed for six months, have a valid checking account for six months and make a household income of at least $2,200 per month. Related Articles:When it pays not to scrimpDebt pay-down calculatorSaving in the recessionSilly borrowing behaviorsRelated Links:Comparing loan optionsCutting back to get aheadThe simple art of budgetingPain lingers from cash advance advertisement
Yes, it would be better to save up all year for a family cruise or ski trip rather than take out loans. But for many Americans, that simply isn't in the cards.
Goldwasser doesn't advocate financing a vacation. If you're going to do it, avoid putting it on a high-interest credit card, she says. Taking out a personal loan may be a better choice because the interest rates on those loans aren't as high as they are on credit cards, says Goldwasser. The rate will vary based on your credit score and the lender, so it's best to shop around.
An alternative is to join a membership club. These clubs give members access to interest-free loans to use on the club's vacation packages. Players Vacation Club, a travel company in San Diego, offers financing of up to 80 percent for members who pay at least a 20 percent deposit and keep up with monthly membership fees. To qualify for up to a $3,000 line of credit you have to be 18 years old and a U.S. resident, and be employed for six months, have a valid checking account for six months and make a household income of at least $2,200 per month.
Bankrate wants to hear from you and encourages thoughtful and constructive comments. We ask that you stay focused on the story topic, respect other people's opinions, and avoid profanity, offensive statements, illegal contents and advertisement posts. Comments are not reviewed before they are posted. Bankrate reserves the right (but is not obligated) to edit or delete your comments. Please avoid posting private or confidential information, and also keep in mind that anything you post may be disclosed, published, transmitted or reused.
By submitting a post, you agree to be bound by Bankrate's terms of use. Please refer to Bankrate's privacy policy for more information regarding Bankrate's privacy practices.