Vacation loans are one way to cover your upcoming trip. See our picks for the best vacation loan lenders and compare with other financing options.
Checking rates is free and won't impact your credit score.
A vacation loan is an unsecured personal loan used to pay for travel expenses, including flights, hotels, rental cars, meals or anything else trip-related.
These loans don’t require collateral and are repaid in fixed monthly installments, meaning the monthly payment won’t change over the course of the loan.
Online lenders, banks and credit unions all offer vacation loans.
Best for borrowers with good credit
2026 NerdWallet award winner
6.49 - 24.89%
$5K - $100K
660
2 to 7 years
Best for borrowers with fair credit
2026 NerdWallet award winner
7.74 - 35.99%
$1K - $50K
600
2 to 7 years
Best for borrowers with bad credit
2026 NerdWallet award winner
6.70 - 35.99%
$1K - $75K
None
3 to 5 years
Best for small vacation loans
2026 NerdWallet award winner
6.53 - 35.99%
$1K - $60K
600
2 to 7 years
Best for flexible terms
7.89 - 26.44%
$1K - $35K
None
6 months to 5 years
Best for fast funding
7.99 - 24.99%
$2.5K - $40K
660
3 to 7 years
Our team of consumer lending experts follows an objective and robust methodology to rate lenders and pick the best.
30+
Lenders reviewed
We review over 35 lenders, including major banks, top credit unions, leading digital platforms, and high interest installment lenders operating across multiple states.
25+
Categories assessed
Each lender is evaluated across five weighted categories and 27 subcategories, covering affordability, eligibility, consumer experience, flexibility, and application process.
60+
Data points analyzed
Our team tracks and reassesses hundreds of data points annually, including APR ranges, fees, credit requirements, and borrower tools, ensuring up to date, accurate comparisons.
We evaluate more categories than competitors and carefully weigh how each factor impacts your experience.
NerdWallet’s review process evaluates and rates personal loan products from more than 30 financial technology companies and financial institutions. We collect over 60 data points and cross-check company websites, earnings reports and other public documents to confirm product details. We may also go through a lender’s pre-qualification flow and follow up with company representatives. NerdWallet writers and editors conduct a full fact check and update annually, but also make updates throughout the year as necessary.
Our star ratings award points to lenders that offer consumer-friendly features, including: soft credit checks to pre-qualify, competitive interest rates and no fees, transparency of rates and terms, flexible payment options, fast funding times, accessible customer service, reporting of payments to credit bureaus and financial education. Our ratings award fewer points to lenders with practices that may make a loan difficult to repay on time, such as charging high annual percentage rates (above 36%), underwriting that does not adequately assess consumers’ ability to repay and lack of credit-building help. We also consider regulatory actions filed by agencies like the Consumer Financial Protection Bureau. We weigh these factors based on our assessment of which are the most important to consumers and how meaningfully they impact consumers’ experiences.
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The best vacation loans have flexible loan amounts and repayment terms, which make them easier to customize for your trip. We also include options for borrowers across the credit spectrum.
If you have a 660 credit score or higher, it’s hard to do better than a LightStream loan, thanks to the lender’s particularly low interest rates. It even offers a rate beat program, in which you can get an additional discount if you show you’re approved by a competitor for a similar loan.
One downside: Loan amounts start high at $5,000, so this lender is only a good fit if you’re planning a more expensive vacation.
An Upgrade personal loan is like booking a luxury hotel at a discount — you’ll receive top-notch features, but you only need a 600 credit score to qualify.
Among Upgrade’s perks are a rate discount simply for setting up automatic loan payments and one-day funding after you’re approved.
Keep in mind, Upgrade charges an origination fee, which increases the cost of the loan.
🤓 Nerdy Tip
You’ll see that many lenders charge origination fees, which can be up to 10% of the loan amount and are typically taken from the loan proceeds. Say you get a $20,000 loan with a 5% origination fee. That 5% — or $1,000 — would be deducted from your loan and leave you with $19,000. And while you receive the lesser amount, you must still repay the higher amount.
Upstart loans have no minimum credit score requirement. The lender even considers borrowers who don’t have enough credit history to generate a credit score.
Though you’ll have a wide range of loan amounts to choose from, repayment terms are limited to either three or five years. Most lenders offer at least three terms to choose from, which helps you better customize your monthly payment to fit your budget.
If you don’t need much financing for your trip, LendingClub loans start at $1,000, which is the lowest you’ll see from an online lender.
Borrowers can also add a co-borrower to their application, which can increase your odds of getting approved, particularly if they have a good credit score. This may be especially helpful if you’re going on vacation with a partner or family member.
LendingClub may charge an origination fee up to 8%, which is deducted from the loan funds.
PNC Bank’s repayment terms are particularly flexible, ranging from six months to five years. Most personal loan terms start at two years, so this is a great perk if you’re looking to pay off your vacation in one year or less.
You can also choose your loan’s payment due date and change it once every 12 months.
While non-customers can take out a PNC loan, you'll need to live in one of the 26 states the bank operates in.
Need money for a last-minute trip? Discover can approve your application the same day you apply and deposit the funds in your account the next business day (or the day you’re approved, if you have a Discover bank account). Discover also charges zero fees.
You’ll need a 660 credit score or higher to qualify.
Most financial experts advise against incurring debt for discretionary vacation spending.
For urgent travel, and when a loan is your cheapest option, borrowing may make sense. But make sure the monthly payments fit into your budget, and commit to paying off the loan on time.
The cost of a vacation loan is measured by its annual percentage rate, or APR, which includes interest and fees. APRs on personal loans range from about 7% to 36%. The lower the rate, the more affordable the loan.
For example, a two-year loan of $3,000 with an APR of 11% would have monthly payments of about $140 and cost $3,356 overall. That same loan with a 25% APR would require monthly payments of $160 and cost $3,843.
The rate you ultimately get depends mostly on your credit score and your debt-to-income ratio (DTI), which is the percentage of your income that goes toward paying off debt each month.
The higher your credit score and the lower your DTI, the more likely you’ll get a low rate on a vacation loan.
» MORE: See average personal loan rates
Use NerdWallet’s free personal loan calculator to estimate your vacation loan’s monthly payments, based on the amount, rate and term.
Estimated monthly payment
$309.92
Total interest over 3 years
$1,156.95
Total loan payment
$11,156.95
Loan amount
$10,000
Interest rate
7.25%
Loan term (years)
3
If you’re interested in a vacation loan, you can get one in five simple steps:
1. Check your credit: The first step to getting a vacation loan is to check your credit report, which you can do for free on NerdWallet or at AnnualCreditReport.com.
Look for common errors, such as inaccurate credit limits, accounts you don’t recognize or incorrect late payments. Disputing these errors can help your credit score and your chances of getting a better rate. Paying off small debts can also help your credit score.
2. Know what terms you need: Estimate the total cost of the vacation in advance so you can request the right loan amount.
Also, consider how long you want to be paying off your loan, so you know your ideal repayment term. Lenders will ask for these loan details when you pre-qualify.
3. Pre-qualify: Pre-qualify with multiple lenders to see which lender offers the lowest rate and the repayment term that fits your budget.
Pre-qualifying involves filling out a short online application with the lender, and it won’t affect your credit score.
4. Gather documents and apply: Once you’ve decided on a lender, it’s time to apply.
Gather the necessary documents — including proof of identity, W-2s or pay stubs, your Social Security number and bank account numbers — and submit a formal application.
There will be a hard credit pull at this stage, which temporarily knocks a few points off your credit score.
5. Get funded and prepare to pay off the loan: Many online lenders offer same- or next-day funding, and pretty much all lenders can fund vacation loans within a week of approval.
Once you receive the funds in your account, plan for your new loan payment, which starts in about 30 days. Making the monthly payments on time is important for avoiding late fees and hits to your credit.
» GET STARTED: Pre-qualify for free on NerdWallet to compare loan offers
Before getting a loan, consider these alternatives to finance your trip.
Savings: If there’s still time before your trip, start saving. Create a dedicated travel savings account and put away some money each month. Find out how much the trip will cost by comparing prices of flights, hotel rooms and car rentals on travel websites.
» MORE: Easy tips to save money on travel
Travel credit cards: If you travel frequently and have good or excellent credit (a score in the mid-600s or higher), you may qualify for a travel credit card.
These cards often offer a sign-up bonus and other perks that could help lower the cost of trips in the long run.
0% credit card: If you have good credit, you may also qualify for a 0% APR credit card that allows you to carry a balance interest-free, typically for 15 to 21 months.
That means if you can pay off the trip in that time, you can skip the interest altogether and finance your trip for free.
BNPL: Many BNPL apps partner with major airlines, hotel companies and travel websites to include “buy now, pay later” financing for travelers when they book their tickets.
This means you can make your purchase now, but pay for it in installments, similar to a personal loan. BNPL, though, may offer 0% interest, so it could be a cheaper option.
Borrowers with fair or bad credit (any score between 300 to the low 600s) may also have an easier time qualifying for BNPL than other financing options.
A vacation loan is an unsecured personal loan used to pay for travel expenses, like flights, hotels or meals out.
You can finance a vacation with a personal loan or credit card, but it typically costs interest. The cheapest option is paying for a vacation with savings.
