Vacation Loans: Finance Your Travel in 2026

Nearly half of Americans (45%) plan to take a vacation in summer 2026 that requires a flight and/or paid lodging, according to NerdWallet’s annual summer travel survey. These travelers expect to spend $3,940, on average, for summer travel costs.

While most travelers said they plan to use credit cards to pay for at least some of their summer travel, 7% plan to use a personal loan. An unsecured personal loan can be used for almost any reason, including travel expenses.

These vacation loans provide a lump sum of funds and are repaid in fixed monthly installments over a set term. Online lenders, banks and credit unions all offer vacation loans. See our picks for the best vacation loans below, and keep reading for details on these lenders and how we chose them.

NerdWallet's picks for the best vacation loans

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.

LightStream: Best travel loans for borrowers with good credit

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.

Upgrade: Best for borrowers with fair credit

You only need a 600 credit score to qualify for an Upgrade personal loan.

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 of 1.85% to 9.99% of the loan amount, which increases the cost of the loan.

Upstart: Best vacation loan for bad credit

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.

LendingClub: Best for small vacation loans

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: Best for flexible terms

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.

Discover: Best for fast approval and funding

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.

Pros and cons of vacation loans

Most financial experts advise against incurring debt for discretionary vacation spending.

For urgent travel or a major trip, borrowing may make sense when a loan is your cheapest option. Make sure the monthly payments fit into your budget, and commit to paying off the loan on time.

Pros of vacation loans

Cons of vacation loans

How much do vacation loans cost?

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.

How to get a vacation loan

The process to get a personal loan generally involves these five 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 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 to avoid late fees and hits to your credit.

» GET STARTED: Pre-qualify for free on NerdWallet to compare loan offers

Should I use a personal loan to pay for vacation?

Ideally, you’d use a personal loan for purposes that improve your overall finances — such as consolidating high-interest debt or a home project that increases your home’s value — and save for a vacation and other discretionary purchases.

But taking out a vacation loan could make sense, particularly if your plans are time-sensitive. For example, if you have to travel for an emergency, take advantage of expiring PTO or you’re planning a once-in-a-lifetime trip, you may not have time to save before your travel dates.

If you’re considering a vacation loan, make sure your monthly payments can fit comfortably into your budget. Consider using a combination of savings and financing to keep your loan payments affordable. In any case, work money-saving travel tips into your plans.

Be sure to compare lenders, as well as other financing options that may be cheaper. For example, a 0% interest credit card could save you money if you can pay off the balance before the interest-free period ends.