Airlines With Payment Plans

More and more airlines now offer payment plans so you don’t have to pay for your entire trip upfront.

Instead of dropping a big lump sum at once, you can split the cost into smaller instalments—either directly through the airline or via a third-party “buy now, pay later” (BNPL) provider.

Used well, this can make travel more manageable. Used badly, it can stack payments and strain your budget.

KOHO Essential With Access to Pay Later

Instead of juggling a different payment plan with every airline, you can keep things simple by using KOHO.

Here’s how KOHO Pay Later works for qualifying purchases:

• Select one or more $100+ purchases, up to $1000

• You can repay the cost of your past purchase over 3 months, 6 months, or 9 months

• No interest, just a small fee

• No credit check

KOHO Essential is designed to work like a no fee monthly account for most people because:

• It has a low monthly plan fee that can be waived when you set up direct deposit or add +$1,000.

• Grow your savings with a 2% interest savings rate on your entire balance.

• Earn 1% cash back on groceries, eating & drinking, and transportation.

• Enjoy unlimited transactions (never worry about sending money to someone again).

That means one app, one card, one place to track it all, instead of different plans on every airline site.

How Airline Payment Plans Usually Work

Depending on the airline and partner, you’ll typically see things like:

• “Pay in 4” or monthly instalments at checkout

• A BNPL provider (like a financing partner) that pays the airline upfront

• You repay the BNPL provider over time, sometimes with fees or interest

You get your ticket right away, but you’re still committing to future payments, so it’s effectively a short-term loan.

Pros of Airline Payment Plans

Payment plans can make sense when:

• You’ve planned the trip, but don’t want to empty your cash all at once

• You can comfortably afford the instalments within your budget

• You’re using them instead of piling charges onto a high-interest credit card and carrying a balance

They’re best when they’re part of a clear travel budget, not a way to justify trips you truly can’t afford.

Risks to Watch Out For

Be careful if:

• You’re juggling multiple BNPL plans across different airlines and stores

• You’re using instalments for everyday spending, not just planned travel

• Fees or penalties kick in if you miss a payment

• The payment plan tempts you into more expensive flights or extras than you’d normally buy