To think it’s fairly normal to put a holiday on a credit card?

[isobelok]

And pay it off over the year?

I’m not talking maxing out the credit card and letting the interest build, more putting it on a 0% credit card and paying it off over the year, even if you’re still paying it a couple of months after your return from holiday

Talking to a friend who said they’d never go on a holiday that they couldn’t pay for outright and that they would save up first. We are in a different situation where holidays will be cheaper until baby turns 2 as they will travel free so it kind of makes sense to do it now rather than wait and save and inevitably pay hundreds and hundreds more when we do go. I also think it is easier to travel with a non-mobile baby so will probably make the most of going abroad in the first year, and then maybe just enjoy UK holidays whilst they are very little and reconsider going overseas when they’re slightly older

Putting it on a 0% card as long as you pay it off is sensible.

I absolutely would not.

Debt is for financing essentials, not luxuries in my view.

Although I'm well aware there are many others these days with 'a have to have it all now' perspective like you.

I would skip a year and get into a position where you are paying for your holidays from savings, albeit using the credit card as a vehicle for protection, but paying it off at the earliest opportunity from the pot you've built up.

I use my credit card to pay for everything as I get cashback for all purchases and it gives me legal cover, which is great peace of mind, especially on larger purchases. But I always pay the balance off every month.

0% credit cards are a great way to oh for large purchases but I'd hate to be paying for a holiday after I'd got back.

No, I wouldn't pay for non essentials on my credit card.

For me credit cards are there either for the protection they provide or as a safety net for unexpected rainy days, I wouldn't use them for a holiday.

If you don't have savings to pay for your holiday, and you use your credit card what do you have to fall back on if the car has a big issue, someone loses their job, the boiler goes, you have a problem with your roof, or any other of lives unexpected expenses? Sod's Law 2 or 3 of them could happen in succession.

Using a credit card to live beyond your means is how many people get into financial difficulties.

Same. Protections and points.

Your reasoning seems sound. I put every online purchase on a credit card via PayPal checkout for security reasons. I pay it every month and don't pay interest.

You've rún the numbers. It's financially advantageous, so whatever your friend does or doesn't do is irrelevant. The "putting it on a credit card" = "bad" belief is a bit financially naive.

We would never go on holiday with money we don't already have in our account. My DM does that and it has gotten her in trouble before when some unexpected expenses came in. You never know what is going to happen in the future.

I'm not objecting to paying for the holiday using a cc, but op clearly stated paying it off during the year and even after the holiday ends. That I object to, using money you don't have.

If it’s an either a 0% card, or you put it on the card, then pay it off before the statement comes for the extra protection, and cashback or whatever other perks the card has, then fine. But I wouldn’t dream of paying credit card interest for a holiday. Oh, and even a 0% card I want paid off before I went.

Personally I wouldn’t and never have. Guess maybe it depends on your finances and how easy are you going to find the repayments.

what if you needed a new boiler next week or a new car - could you afford paying for that as well as the holiday payments?

Actually using a credit card to book a holiday is a sensible choice as you get protection on the or chase of holiday firms go bust etc. i have a credit card specifically for booking holidays - i do always pay it off straight away though

lots of holiday companies let you spread the cost of a holiday over a year also

its not actually anyone's business how you pay for holidays - the main thing is as long as you can afford them and are living within your means.

We always pay on credit card as you get added protection. Our mortgage is paid off so it’s also a good way of keeping our credit score high.

We use 0% cards for big purchases all the time. Not only is there better protection but it's a way of maximising your money. We could afford to pay it off immediately, but the money is better in a savings account earning interest when there's a 0% card available. We then just pay it off in full before the 0% ends and have gained the interest.

Racking up debt you can't afford without a plan is obviously a bad thing. What you're doing isn't that and I think it's fine.

No way. Anyway holidays with small children are hard work. Take a couple of years off and save for the next holiday. You literally can’t afford one.

I was shocked when I realised that paying our mortgage off had an adverse effect on our credit score. It feels a bit bonkers.

Funny how different people use credit cards. We buy everything we can on credit card, from a cup of tea to holidays, to a car. We have it set up to pay in full every month. We get cash back points and it gives time to ensure there is enough money in our current account to pay the bill. On the Ops case, they have it planned, 0% finance, to be paid in a set time. The danger is if they are tempted to use it for other purchases and don't pay it off, then getting hit with high interest charges. I'd say go for it.

I think, in your case, it sounds sensible, however, I have never owned a credit card!

A friend of mine has NO MONEY and is usually in dire straits a week before payday. Her grown up son wanted her to lend him £10 for food but she didn’t have it. She’s just come back from an All Inc in Egypt and doesn’t know how she’ll pay for it 😳

Yeah - perhaps I am reading it the wrong way but to me the OP doesn't sound like she has a firm budgeted plan to pay it off but is just "oh later" about it and if it would take over a year, it doesn't sound all that affordable

It depends, I have 1 toddler and we had 2 fantastic holidays this year. We chose hotel that was child friendly, went all inclusive and we had a blast! The little one loved it and so did we! He keeps in saying that we needed to go on holiday again 🤣

'@Thewrongdoor

I buy on credit card because of the protection it gives, but I do always pay it off on the first bill.'

Exactly.

I do the same.

I put any holiday hotel/flight/train on my credit card purely for the extra legal protection and pay it all off when I get the card statement.

Not everyone wants to holiday in the UK. The weather is awful here.

Plus it's not even cheaper half the time.
We have done loads of UK breaks and by the time you've paid for accommodation, food and activities for the week you haven't saved much at all. In a sunny country my children are happy to play in the pool or the sea all day. Here you spend a fortune on wet weather activities.

We’ve holidayed in the UK every summer for about 15 years (granted we have gone abroad too just usually not in high summer) and only once has the weather been poor.

meanwhile I went to Greece one June and it rained the whole time.