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Invest & save

How to pay for your next overseas holiday
Momentum Investo

7 MIN READ

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A happy young woman on an airplane with electronics and headphones looking outside of the window.


When it’s holiday time, what will be first, family you can’t wait to see, or the lure of faraway places? Where will you go?

An overseas holiday is expensive and there’s always the question of the purse – and how to pay for a trip. If you have been saving up, and putting extra money into your access bond, your savings will be your saving grace. If you must swipe the credit card, that may be painful – and we can show you just how painful.

These bucket list experiences could easily set you back R70 000 or more!

  1. Experiencing the beauty of the Blue Mosque in Turkey bathed in moonlight.
  2. Hearing the rush of the Niagara Falls thundering down.
  3. Feeling the cold steal your breath away on a ski slope in Slovakia.
  4. Exploring the dusty streets and spice souks of Morocco.
  5. Tasting the joyous mix of chilli, cumin and coriander of a green curry in Thailand.


Do the math: Holiday payment with your savings or credit card

If you’re planning a trip of R70 000, these are the sums:

Saving upfront
Paying with your credit card
  • Let’s say your credit card interest rate is 18% (the repo rate of 8,25% + 14%, as set by the National Credit Regulator).
  • A monthly repayment of R1 727 is required to pay back the amount over 60 months, if the bank allows it.
  • The total contributions will be R103 628.
The benefit of saving vs paying with a credit card
  • Paying for the trip with a credit card and repaying has a massive financial impact.
  • By saving now and paying later you will save R103 628 - R62 523 = R41 105.
  • You can finance your next holiday with the amount you save in interest repayments on your credit card.

Infographic showing the different methods of payment for an overseas holiday worth R70 000.


You won’t regret the sacrifice of medium- to long-term savings. With Investo, our investment options can even help you save for retirement. To find the best Investo solutions for your savings goals, chat with us or speak to your financial adviser.

Get advice

To learn more about how you can save for travel with your family, speak to a Momentum financial adviser. Find an adviser.

Join the conversation

Get more financial inspiration to #GainMomentum.

Contact Momentum Investo

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