Is it a bad idea to put holiday on the credit card?

[noseykaren]

Desperate for some kind of break not bothered where we go whether it's abroad or a caravan holiday over here.

We've still not paid of last years holiday abroad, we didn't plan to go anywhere as we've just brought a house and all the money is saved for moving and decorating.

OH reluctant to use the credit card again, is it a bad idea?

Using a credit card is not a bad idea but ultimately depends how much overall debt, how you can afford to pay it off etc

We always put our holiday on credit card in order to get better payment protection, but it’s paid off before we go on it. I can understand why your DH is reticent to put another on there if you haven’t paid off the last one tbh. Is there a DIY job you could stand to put off for a few months and take the money from savings?

It is not bad if you have the money to pay it off but as you haven’t paid off last years yet then yes it would be a bad idea.

You can't afford to go on holiday. Try a staycation and think of some free things to do.

Very bad idea if last years holiday is not paid off.
I always pay for holidays on cc as you get more protection, but i wouldnt dream of adding to debt from last year.
The interest must be huge. Have you worked out how much the interest has increased the cost of that holiday?
This is clear example of living beyond your means.

It is a good idea if instead of spending cash on a holiday, you bank the cash and earn higher interest off it than you would pay for the credit.

If you have no cash and are putting it on a credit card then bad idea.

If you’re savvy you should be using credit to make money, not to fund things you have no cash for.

Personally I wouldn't put a holiday on a credit card unless I already had the money to pay it off or there were very specific circumstances. For example you know you'll have the money at a later date but if you book it at the later date then it'll cost significantly more.

Also, if I was to put a holiday on a credit card I'd want to apply for a 0% purchases card.

As an aside, even if you can pay for your holiday outright putting some (or all) of it on a credit card and then paying it off before interest fees is a good idea as you will then have added protection from cancellation etc using Section 75.
www.totallymoney.com/press-centre/section-75/

It's a really bad idea if you haven't paid off the last one. But isn't that obvious?

Totally depends on your own financial situation, how long it might take you to pay it off, how much interest you'll have to pay, whether you might need the credit for something else before it's paid off, how secure your jobs are , so, loads of factors specific to you

No one can give you a yes or no answer

You don't have the money for it. That is the issue. So, no. It is a bad idea.

It’s a terrible idea OP, after payday loans, credit cards have the highest interest rates.

I would always put a big purchase like that on a credit card to get better protection, but we always pay the balance off in full each month. If you haven’t yet paid last year’s holiday off, it would seem you really can’t afford one this year. I agree with your DH.

Yes it’s a very bad idea OP. Can’t you plan day trips instead or a weekend to the seaside or something?

YABU. You haven’t paid off last years yet so of course it’s a bad idea.

It’s a bad idea as you just can’t afford it I’m afraid. If you haven’t even paid off last year’s holiday you really can’t be taking on yet more debt.... it’s your decision of course but it’s not something I would do

Yes it’s a bad idea.

You know you need to pay off your holiday from last year before you even start window shopping for another one. Is a week away really worth the added ongoing stress of carrying two years of holiday debt into your future?

You haven’t paid off last year’s holiday, therefore you cannot afford it. You decided your priority was the house this year.

How will you pay off 2 holidays - what’s the plan?

If your OH is reluctant then he thinks it’s a bad idea.

Crazy idea. You haven’t even paid off the last holiday, clear that then see what you can afford.

Your OH is right. Don't go on holiday before you've paid off the last one.

In your situation yes it’s a bad idea

Also the holiday might have to be cancelled and you might lose your money. I wouldn’t risk it even if I had no other debt or commitments.

Why don’t you plan a nice day out somewhere so you have something to look forward to.

As long as you can afford to pay for it without additional costs, credit cards are good for consumer protection for big/ longer term perchases as technically the credit card company is paying for it and is a more powerful consumer than an individual in the event of difficulties.

Stacking up multiple holidays that you're not paying off is a potentially expensive risk.

You can't afford a holiday, you still haven't paid for last year's.

Stay home, crack on with the decorating and start paying down last year's holiday. When you've done that, start saving to go somewhere nice next year.

I would only use a credit card for a holiday to get the protection you get in the event of a dispute.

@sst1234

It’s a terrible idea OP, after payday loans, credit cards have the highest interest rates.

It totally depends, my credit card has 0% interest, it couldn't be any lower and it would be silly of me to pay off the balance earlier than I need to.

Don’t do it. You clearly can’t afford it if you’ve not paid last years holiday off. I would just have a few days out instead.