December 1, 2023Deck the Halls with a Holiday Loan

The holiday season is upon us, and one thing is for sure: We always forget how pricey these celebrations can be until they’re here. Between the gifts, decorations, parties, and travel, your budget will be put to the test. And with prices continuing to stay high, preparation is crucial. 

By now, you’re likely starting to see offers for holiday loans. But what exactly are these financial tools? And how do they compare to other options, such as credit cards? You might be surprised to learn that next to paying in cash, holiday loans are one of the best ways to deck the halls affordably. 

What is a Holiday Loan?  

A holiday loan is a personal loan wrapped with special holiday incentives. Financial institutions generally tie promotional rates or terms to the loan to give it that festive spirit.  

Personal loans are unsecured loans that provide a specific amount of money with a set repayment plan. These loans can be used for car repairs, medical bills, debt consolidation, vacations, and anything else you can think of—the cash is yours. However, during the winter months, they are packaged to help spread holiday cheer. 

Unwrap the Perks of a Holiday Loan 

Big banks and popular department stores may lure you in with credit cards that promise enticing rewards. However, these cards are anything but rewarding when your bill comes due in January. Nothing is worse than starting the new year with high-interest credit card debt! It can set a challenging tone for the rest of the year. 

Instead, let’s explore what makes holiday loans more valuable than even the most incredible holiday sale. 

  • Lower Interest Rates: 

While holiday loans are still unsecured debt like credit cards, they typically have much lower interest rates, especially when compared to store-sponsored cards. So, every purchase you make with a holiday loan will save you money in the coming year. PEFCU’s holiday loan rate is 12% APR*. 

  • Fixed Interest Rates: 

Nearly all credit cards today utilize variable rates. That means the rate can fluctuate with the economy. Lately, interest rates continue to rise, which means purchases today could cost even more in the coming months. 

Holiday loans generally offer fixed rates, meaning the rate will remain the same throughout the loan. It’s a vital benefit that many tend to overlook. PEFCU’s holiday loan rate will not change for the life of the loan.* 

  • Set Dollar Amount: 

It’s easy to get carried away during the holidays and overspend. And the convenience of credit cards allows you to make impromptu purchases without a second thought.  

On the other hand, you receive a specific dollar amount with a holiday loan. This feature makes budgeting much easier because once the money is spent, it’s gone. Many use this strategy to ensure substantial holiday debt doesn’t follow them into the new year. PEFCU’s holiday loan offers a $1,200 limit.* 

  • Predetermined Repayment Plan: 

Holiday loans have a defined term and repayment plan. Just like a car loan, you’ll make monthly payments until your debt is paid off. PEFCU’s holiday loan offers a 12-month repayment plan.* The goal here is to help you eliminate the balance quickly and prevent long-term debt.  

With credit cards, you’re only required to make minimum monthly payments. That means this year’s holiday expenses could potentially cost you interest for years to come. 

Why Choose PEFCU’s Holiday Loan? 

  • Financial Peace of Mind – With our competitive rates, you can enjoy the holidays without worrying about breaking the bank. Our flexible repayment options make it easy to manage your budget so you don’t get stuck paying off debt from last year’s holiday season. 
  • Unforgettable Celebrations – Whether it’s the perfect gift, a winter getaway, or hosting a festive gathering, our Holiday Loan provides the financial flexibility you need to create memories that will last a lifetime. 
  • Member-Centric Service – As a member of PEFCU, you’re not just a member; you’re part of our family. Our dedicated team is here to support you at every step, ensuring a seamless lending experience. 

Don’t let high inflation dampen your holiday spirit. Apply for our Holiday Loan today and give yourself the gift of a stress-free holiday season. 

We’re Here to Help! 

The holiday season is one of the most joyous times of the year. It’s also one of the most expensive. If you want to keep your spending organized and head into the new year on top of your finances, consider a holiday loan. 

With a sleigh full of financial perks, holiday loans are guaranteed to keep spirits high. If you’re interested in learning more about holiday loans, we’re ready to help. Please stop by any of our convenient branches or call 800-226-6673 to speak with our Member Contact Center today. 


Each individual’s financial situation is unique and readers are encouraged to contact PEFCU when seeking financial advice on the products and services discussed. This article is for educational purposes only; the authors assume no legal responsibility for the completeness or accuracy of the contents.  

*Rate is quoted as Annual Percentage Rate (APR) and is subject to change if a term other than the term listed above is chosen. Estimated monthly payment of $93.22 for 12 months at 12.00% APR. The payment amount may vary based on the payment due date selected. This offer is contingent upon creditworthiness requirements. You may request a different loan amount, however, the interest rate and estimated monthly payment may change. Income verification may be required. This offer is available November 1 – December 31, 2023.

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