Work is a very important part of our life and, precisely for this reason, we must also value the need for a good vacation to rest body and mind and return fully renewed.
A correct rest is essential! In fact, recently the researcher Jessica Brown, from the University of Pittsburgh (USA), did a study taking 12,000 men at high risk of coronary heart disease as a sample. The analysis revealed that participants who did not take annual vacations were 32% more likely to have a heart attack.
Holidays are even more beneficial for women. According to a 2015 study by the Good Finance Investment, women who take vacations less than once every two years are more likely to experience depression, as well as develop coronary heart disease. It’s to think about it, right?
However, although we are all aware of the need to take a few days of relaxation, sometimes we are presented with the eternal dilemma of financing. How can we plan a vacation with little money? Are there cheap destinations to travel in the summer season? Or is it even possible to fulfill the dream of taking children to an exotic destination without getting into too much debt?
In this post, we will talk about financed trips and the possibilities that the financial market gives us to pay for holidays in installments.
How to pay for the holidays in installments?
There are three formulas to finance the holidays: a payday loan, a payroll advance or a credit card payment.
Applying for a payday loan from a lender is one of the most recommended options. In addition to allowing us to request higher amounts, the interest is usually lower than that of credit cards.
Although until a few years ago it was practically an exclusive product of banks, today there are other types of entities, such as Credit, which offer the option of requesting a quick credit of up to 5,000 USD to pay for our trip in installments, which can be amortized in a period of between one and 36 months.
In the framework of the Workers Statute, as stated in article 29, “the worker and, with his authorization, his legal representatives, will have the right to receive, without the appointed day for payment, advances on account of work and accomplished”.
In other words, an employee may request an advance payment of the payroll on the work already earned, but not of future wages or extra pay. Once the advance is authorized, it will be discounted in the payment of the following payroll without interest.
In addition to the company itself, some financial institutions, such as banks or savings banks, also usually grant payroll advances. They are credits for which the entity advances one or more payrolls to clients who meet certain requirements, among which is having said payroll domiciled in one of the bank’s accounts.
These types of applications require a little more time since the entity must analyze the applicant’s risk to assess both the loan amount and the interest. Therefore, if we choose this route, we must estimate between one or two months to process it.
I pay with credit card
Credit cards can be of great help, especially if we travel abroad or if we need extra liquidity during the trip. Through the credit card, we can spread the expenses over a longer period of time.
For example, if we have just made the hotel reservation and travel, we can use the credit card to cover the expenses during the trip: meals, visits, purchases. Or vice versa, use our savings for day-to-day expenses and use a credit card to book travel and accommodation.
This last option is highly recommended since credit cards usually have insurance that covers us in the event of flight cancellations, loss of luggage or illness. On the other hand, if you decide to allocate the use of the card to purchases, many of them have arranged discounts in stores, restaurants or entertainment venues. You must inform yourself of the conditions of each one.
What can be financed with a travel loan?
As you have seen in previous lines, the market offers a wide variety of modalities that will allow you to finance from the transferred (plane tickets, train tickets or a cruise) to the accommodation (hotel, vacation rental house) or the expenses of the day a day (meals, shopping, tickets for shows).
The only thing you have to take into account is which financing method to choose for each of these concepts. The best thing is that you previously make a list of the expenses that will be presented during the holidays, compare it with your financial situation and choose what part of the trip you are going to finance.
Finance a plane ticket
A clear example is that of airline tickets. As you may already know, the price of airline tickets increases considerably as the date of travel approaches, except in the case of last-minute flights.
Therefore, a general recommendation is to buy airline tickets as soon as possible, when the dates of the trip are already clear. However, we do not always have sufficient liquidity. In that case, financing airline tickets is the best option to get the best price.
There are two main ways to finance a plane ticket: through a travel agency or the flight company itself or by requesting a microcredit. The main problem with travel agencies is that they only allow you to finance airline tickets, that is, if you want to take advantage of the financing to pay other concepts in that sense, you will be limited.
Another problem is the lack of flexibility, that is, these financing offers are usually conditioned by a complete vacation package that has closed the days to travel and includes the hotel and visits.
For its part, quick credits allow you to immediately access the amount of the tickets to make the purchase before the flights rise in price, with the freedom to reserve the rest of the elements of the trip to your liking, without being tied to a specific offer.
If, in addition, you decide to ask for a slightly higher amount to cover the accommodation or to have liquidity for the holidays, since it is a type of consumer credit, they will not put any conditions on the destination for which the financing is directed.
In addition, if you opt for a line of credit, like the one we offer at Good Finance, you will have the peace of mind of having up to 5,000 USD in case you need them during the holidays, without any commission and paying only for the money you finally use.
In conclusion, health professionals point out that vacations do not necessarily have to be long and expensive to help us reduce stress, it is worth taking a few days off to appreciate the free time and forget about daily tasks. So, do not hesitate to apply for a loan to be able to recharge your energy in the summer season.
Of course, remember to make an estimate of the expenses that you will have during the holidays and that will be decisive in choosing one financial product or another without getting into more debt than you can afford since any expense of these characteristics must be adjusted to our income.