Credit for the vacation
In today's consumer society, it is common to buy cars or furniture on a loan basis. It happens more and more often that someone goes on vacation and only pays later. Large tour operators in particular offer holiday trips on credit. But banks also offer you a vacation loan if you are ready for a vacation, but not necessarily liquid. Whether a loan makes sense for the vacation is a fair question.
If you work all year round, you can look forward to a longer vacation. With a well-filled holiday budget, you can fulfill many holiday wishes. But that is not always the case. In the event of unexpectedly high expenditure, the iron reserves have to believe in it. Some go on vacation on credit.
Vacation financing options - vacation fund, iron reserves, gifts and credit
the Foundation for Future Issues has determined that an average vacation in 2013 cost around 1,060 euros per person. More than every fourth tourist spends more than 1,500 euros. The longer a vacation lasts, the more it costs.
- A vacation day in Germany makes 75 euros, in Europe it is 85 euros and for long-distance trips around 120 euros. A trip to Europe quickly costs 2,000 euros. For a long-distance trip, it is more than 3,200 euros. Traveling with the family can get really expensive.
- A survey of the CreditPlus Bank According to around a third of holidaymakers manage with the holiday budget they have saved up. The majority of those who love to travel, in turn, underestimate the total costs. They fall back on the iron reserves. Current income is the most frequently used source of finance for summer vacations. There are also many Germans who pay for their trip with their company's vacation pay.
- There is also that: the vacation is free for five percent of summer vacationers. You received it or won it. Two percent use their overdraft facility to finance vacation. Eventually, one in a hundred takes out a consumer loan.
Sometimes consumers get into the situation that they redeem a loan early ...
What speaks against the bank financed vacation
- Long-distance or luxury travel can be costly. Because a vacation lacks real value. If you have a automobile finance, you have material value. If the financing doesn't work out, you can sell it. Not so on vacation. There would certainly be a relaxation factor. But after a few months it is no longer there.
- Should you opt for a vacation loan, choose a short term. The last repayment date should be before the next vacation at the latest in the following year.
- In any case, you should consider the psychological stress. How will you feel when you get a vacation loan? If the thought of repayment causes you more stress than relaxation, it would be better not to do it.
- You should choose a vacation loan wisely, even if you have a good income. After all, it can happen that the washing machine goes on strike or that a major car repair is suddenly due.
When vacation financing through the bank can be useful
There are a few things that speak against the holiday loan. What are the arguments in favor of financing your vacation with money from the bank?
- There are trips that are best made at certain stages of life. You usually go on an adventure trip or long long-distance trips before you start a family.
- If the trip has to be financed by the bank, low interest rates, as in 2014, can limit the financial burden.
Alternatives to the vacation loan
- So that you can get by on your vacation without outside financing, you should plan your trip and the vacation budget for the long term. This means that you will regularly save money for the next vacation. It is easier to calculate your vacation budget if your employer pays you vacation pay.
- Despite all vacation planning, it happens that the calculated vacation pay is over sooner than the vacation. Very often it is possible to cover the extra costs from your own resources. An expensive and not recommended solution is the use of the overdraft facility.
- As a consumer, you can basically fulfill your every wish with an installment loan. With this type of loan, there is no fixed purpose. Nothing stands in the way of your vacation on credit. At the latest by the end of the vacation, the guilty conscience will stir. The holiday is over. But he's far from paid.
As an alternative to the vacation loan from the bank, you can borrow money from relatives on favorable terms. With a gift or a prize, the vacation trip can even be free of charge. Maybe you are lucky.
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