Everyone loves to have a vacation once in a while; it is definitely a best way to forget all worries and to explore new places, their culture and so on. It is good to take holiday at some time during the year like a beach vacation, hills stations, snowing landscapes and so on. And loan is a great option to manage the finance part of the travel.

Vacations are fun, but can put you under lot of debt!

Vacations are fun, but can put you under lot of debt!

Though it is lot of fun to be on holidays, the real pinch is when you get back to your place with a debt hangover. Of course, you are very happy with your tour and certainly it was a memorable one but the expenditure has to be borne completely and this could be a huge amount if you had travelled with your family.

Using debt for a vacation will carry you away to a black hole if it is not well planned. Though it is not advisable to go for vacations by financing through loan, it is alright to do so if you have a precise plan and capacity to repay the loan/ debt within two years of time. So while planning for a vacation firstly determine what would be the approximate expenditure, check if the amount is affordable and if you have a regular income to repay the same. Forecast your fixed expenses for a year and accordingly plan your budget. If everything falls in place then apply for a loan.

Smart Ways to get out of Vacation Debt Hangover:

These might seem silly for some but it has worked wonders for many. These simple things done at right time will help you to get out of any type of vacation debt hangover. It is not unusual to have that feeling plus not everyone has cash readily available for all types of expenses. It is alright to take a loan for vacations as long has you have a clear plan to repay the same.

  • Admit that you have overspent and accordingly tune your mind to reduce expenditure.
  • Have a certain amount as saving for your travel.
  • Try to have some extra cash with you apart from what your estimation is.
  • Plan for a trip that is lower than your budget, that way you will have enough money to spent and if lucky it will be even possible to save some money.
  • Have a plan to pay down you holiday debt as early as possible, try clearing it before it affects other areas of your financial needs.
  • Take a break from spending through your credit cards.
  • In case of availability make use of holiday bonus for booking flights and hotels.
  • Make a weekly or monthly payment towards your holiday debt, this way you will be able to clear it off before it starts being a financial burden.
  • Change you spending habits for a specific time period unless you feel everything is falling into place.
  • Addictions such as movie, smoking, partying and drinking alcohol can be controlled to save some extra money.

How to prevent Vacation Debt Hangover in the first place

It is always good to prevent something than correcting what has gone wrong. If you are planning to go on a vacation by putting yourself on debt, then it is good to make use of the below tips to avoid being pulled into vacation debt hangover.

  • Start saving well in advance.
  • Make a money recovery plan once you are back and stick to it.
  • Get assistance from family and friends to assist you with finance that does not attract any interest.
  • Find some additional source of income to clear off the debts in case if you overspend.
  • Irrespective of what the expenditure is, do not cut down on meals and basic essentials, these might lead to other issue which require medication and will again cost you.
  • Reduce shopping when you travel, this way you get opportunity to visit more places, can save some money plus you don’t end paying extra for flight baggage limit.
  • Do not try doing or eating too many exotics things because the last things that should happen to you falling sick in a much awaited vacation.

When you start planning for a vacation it is good to keep a track of your expenditure, tighten up your budget to avoid unnecessary expenditure and most importantly don’t over shop for a vacation that will last for few days or months.