Best vacation loans for 2024

A vacation loan could be a good idea if you're planning your once-in-a-lifetime dream vacation or need an emergency trip. Technically, you can take out a personal loan to fund anything from a short getaway to an exotic adventure with no expense spared.

However, you'll want to proceed with caution. It's usually best to save up for a vacation or fund it with a lower-cost option, such as using your credit card rewards points, money from savings or a 0% balance transfer credit card.

If you're looking for a simple, no-hassle way to fund your next trip, check out our list of best vacation loans.

Best vacation loans

Our top recommendations

Credible: Best for smaller loan amounts

Credible Personal Loans

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Credible Personal Loans

APR

6.99% APR - 35.99% APR

Loan amount

$600 to $200,000

Fees

0 to 12% origination fee

Credible is a one-stop-shop platform that features partnerships with multiple lenders. When you compare loan offers on Credible, you have access to third-party lenders' rates, loan terms and offerings. Because Credible works with different lenders, loan amounts range from $600 to $200,000. Credible is a strong choice if you are searching for a smaller loan amount for a mini vacation.

One feature of Credible is its speedy rate check. If you have the information you need to prequalify, you can get a quote in several minutes. So, if you want lightning-fast offers to compare different lenders quickly, Credible makes it easy.

SoFi: Best for no fees

No fees

SoFi Personal Loans

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No fees

SoFi Personal Loans

APR

8.99% to 25.81%

Loan amount

$5,000 - $100,000

Fees

No late fees, origination or application fees

Originally an online lending platform designed to help pay off student loan debt, SoFi has expanded into the savings and investment space. What's particularly notable about SoFi is the lack of fees — there are no late fees or prepenalty fees. And while there's technically an origination fee, you might be able to get it lowered or waived entirely with a high enough credit score.

Besides a speedy prequalification process, you might be able to get funding within the same business day. You must opt into autopay and direct deposit to snag the lowest score possible. Note that the lowest APR is 8.99%, a tad higher than other personal loan lenders.

Discover: Best for the 30-day money-back guarantee

Discover Personal Loan

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Discover Personal Loan

APR

7.99% to 24.99%

Loan amount

$2,500 to $40,000

Fees

Late fee, $39

While perhaps best known as a major credit card network, Discover's personal loans are notable for their flexible repayment options. You can choose whether to repay the loan in as little as 36 months (three years) or as long as 84 months (seven years). Of course, the longer your repayment schedule, the more you end up paying in interest.

Discover personal loans also don't have origination fees, which means more of the funds go to you instead of toward fees. Plus, you can access the funds as early as the next business day.

Upgrade: Best for poor or fair credit

Poor of fair credit

Upgrade

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Poor of fair credit

Upgrade

APR

8.49% to 35.99%

Loan amount

$1,000 to $50,000

Fees

Origination fee, 1.85% - 9.99%

Founded in 2016, Upgrade has made over $27 billion in credit available to its millions of customers. Upgrade offers loans, banking and a handful of credit cards. Headquartered in San Francisco, Upgrade specializes in fixed-rate credit products and credit health.

With a required minimum credit score of 580, borrowers can quickly get approved for a loan. However, it's important to remember that the lower one's credit, the higher the origination fees and interest rates. Another notable advantage of an Upgrade personal loan is that you can borrow up to $50,000, which can be helpful if you're funding a large home improvement project. While you may not want to borrow $50,000 for a super-luxe vacation, you can also borrow as little as $1,000.

Lightstream: Best for good or excellent credit

Good credit

LightStream

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Good credit

LightStream

APR

7.49% - 25.49%

Loan amount

$5,000 - $100,000

Fees

None

Headquartered in San Diego, California, Lightstream is a leading online lender that offers a variety of loans. The platform is part of Truist Financial, a bank that formed in 2019 when BB&T and SunTrust merged.

The repayment terms can stretch out as long as 240 months, and borrowers can access anywhere from $5,000 to $100.000. However, you'll need strong credit to qualify. Lightstream also looks at assets, debt-to-income ratio and payment history when determining loan amounts, rates and terms.

Upstart: Best for flexible lending criteria

flexible lending criteria

Upstart

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flexible lending criteria

Upstart

APR

6.4% - 35.99%

Loan amount

$1,000 - $50,000

Fees

0% to 8%

Since 2012, Upstart has been a pioneer in the AI lending space. It has helped more than 3 million customers connect with hundreds of financial institutions to obtain personal loans, auto loans and home improvement loans.

Besides your credit score, Upstart also considers your education and employment history to determine whether to extend you a loan. Because it considers different lending criteria, you might qualify with a lower credit score. Plus, loan amounts start at $1,000, and you can receive the funds as early as the next business day.

Lending Club: Best for flexible payment dates

Lending Club Personal Loan

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Lending Club Personal Loan

APR

9.57% to 35.99%

Loan amount

$1,000 to $40,000

Fees

Origination fee: 1% to 8%; late fees after 15 days

Founded in 2007, LendingClub was the first peer-to-peer (P2P) lending platform. Although it shuttered its P2P services in 2020, it continues to offer loans and banking services to its millions of members.

LendingClub is on our best-of list for its flexibility in payment due dates. You can change the initial payment date within 15 days of your initial date, which can make it easier to sync to your paydays and stay on top of your payments.

BestEgg: Best for secured loans

Unsecured and secured installment loans

Best Egg

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Unsecured and secured installment loans

Best Egg

APR

8.99% - 35.99%

Loan amount

$2,000 - $35,000

Fees

Origination fee, 0.99% to 8.99%

BestEgg is an online lending platform that offers primarily personal loans for various purposes, such as debt consolidation, moving expenses and baby adoption. Since its inception in 2014, BestEgg has funded over $21 billion to over 1 million customers.

BestEgg offers secured and unsecured loans. You can provide your car or your home as equity. While offering a valuable asset as collateral can mean less credit and lending criteria, lower rates and higher loan amounts, it can also feel scary. However, BestEgg will take the fixtures in your home — think light fixtures and cabinets — and not the structure of your home as collateral. Plus, if you need funds sooner rather than later, you might be able to get loans as early as the next business day.

How we chose the best vacation loans of 2024

We compared vacation loans based on the following criteria: APR, loan amounts, terms and fees. We also took the search volume on the lender or lender name, the turnaround time, customer service reviews and whether it offers prequalification into our analysis for greater nuance.

Ultimately, we looked for vacation loans that offer the most value to customers.

Choosing the best vacation loan provider: Where to begin

When choosing a vacation loan, consider how much money you need to go on vacation, how long you'll need to pay it off and whether it's an actual necessity. Compare three to five lenders, paying attention to:

• APR ranges.
• Loan amounts available.
• Minimum credit score.
• Funding time.
• Terms.
• Fees.

Make sure you pick what's likely to work best for you, your needs and situation.

How to get a vacation loan

Before applying for a vacation loan, checking your credit's a good idea. You can get a credit score for free through a free credit monitoring service. Some major credit card issuers also offer a free credit score.

You can order a credit report through AnnualCreditReport.com. Comb your credit score for errors that could potentially lower your score, such as accounts incorrectly labeled as delinquent or payments mistakenly reported as late. Filing a dispute for any errors can potentially help improve your score.

Next, spend time shopping for lenders. Look at the APRs, loan terms, loan amounts and funding times. It's also a good idea to look at the fees, customer reviews and whether there's a prepayment penalty if you pay off your loan early. Pay close attention to the features of the loan that matter most to you.

Before you apply for a vacation loan, you might be able to get prequalified. Prequalified means the lender will do a preliminary check on your creditworthiness to see what kind of loan you'll likely get approved for. The major advantage of prequalification is that the lender will run a soft check on your credit, which won't impact your score. That way, you can compare several lenders without worrying about lowering your credit.

Once you've decided on which lenders you'd like to apply to for a vacation loan, gather your documents. This typically includes your proof of identity, like a government-issued ID, Social Security number, bank statements and recent pay stubs or tax returns.

If you are approved for a loan, you should review the loan amount, APR, terms and fees. The funds will be deposited into your account within several business days.

How do vacation loans work?

A vacation loan is a personal loan you take out to pay for a vacation. These loans often have high interest rates. According to the Federal Reserve, the average interest rate for a 24-month personal loan is 12.49% as of February 2024. However, the range for personal loans can range from 8% to 36%.

Personal loans are installment loans, which means you'll be given a lump sum from the start and make the same monthly payment until the loan is paid off. Loan terms can vary according to the lender but can be between one and seven years.

Alternatives to vacation loans

If you're unsure you want to stomach the interest rate and fees that come with a vacation loan, you have options. Here are some alternatives to taking out a personal loan for your vacation.

Zero percent APR credit card

If you have strong credit, you can look into a 0% APR credit card. These credit cards have an introductory period that features no interest. If you can pay off the purchases you made on your vacation with the card before the intro period ends and the standard APR kicks in, you can save a significant chunk of cash in interest payments.

Rewards points

If you've racked up rewards points on a travel card, you can save money by paying for part or all of your trip using your points. Often, a credit card issuer will have a travel portal where your travel points have a higher redemption rate. Plus, travel cards might feature perks that help you save on your trip, such as car rental insurance and lost baggage insurance.

Boost your savings

Consider taking more time to save by pushing back your vacation dates. Otherwise, find ways to free up more cash in your budget for your trip: scale back on your spending, take on a side hustle or drum up more ways to tuck funds into your vacation fund.

Scale back the vacation

If you were planning a month-long luxury getaway to an exotic locale, consider scaling back to bump down the costs. Make adjustments, such as looking for less-expensive alternatives and shortening the trip.

Frequently asked questions (FAQs)

Can you get a loan to go on vacation?

Yes, you can get a personal loan to fund a vacation. However, personal loans tend to have higher interest rates than other options, and you'll be responsible for making monthly payments until the loan is paid off. Consider alternate ways to fund your vacation first.

Are vacation loans worth it?

It depends. Vacation loans might be worth it if you can get a good deal on them, such as a lower APR or flexible repayment terms. You'll also want to make sure you can pay off the loan within a reasonable time.

How hard is it to get a travel loan?

Travel loans are personal loans, and they have certain credit and financial criteria, such as minimum credit scores, debt-to-income (DTI) ratios and income. The stronger your credit and the lower your current debt, the lower the interest rate and better rates you'll likely get approved for.

How can I get money for vacation?

There are several ways to fund your vacation. You can take out a personal loan to cover the costs or put your expenses on a 0% APR card. Other options include using points earned from a travel credit card, scaling back on travel plans and budget or pushing back travel plans until you can save more for your trip.