Achieve Security Blog

Steps to staying out of credit card debt over the holidays

While all of us wish to spread the holiday cheer, in light of the last Holiday Shopping Poll from Consumer Reports, it shows 13.6 million Americans are still juggling last years credit card debt from the gift giving season. 

Look at that Christmas list realistically; mark off people that you feel obligated to buy for like your trash man or your Aunt Sue’s neighbor, unless they’re an integral part of your day to day life.  If you do feel compelled to acknowledge them, a nice card or plate of homemade cookies will probably do the trick.

Put away the plastic, most have rates that rise over the holiday season.  Cash is King and so is layaway, use it to your advantage.  "It's easier to stick to a budget if you only pay with cash," says Andrea Woroch, consumer savings expert for The Frugals, a network of savings websites that includes CouponSherpa.com. "Even debit cards make it easy to overspend, a fact that likely won't hit you until the monthly statement arrives. Having to part with actual greenbacks makes it much more real."

While setting that Christmas budget (realistic goal) start thinking about how you’re going to get there.  Curb the eating out, the take out, the movies on date night, etc.  If you start this type of thinking 3 or 4 months prior to the holidays, you will have saved up quite a bit in your Christmas fund. 

Your cash goes further. Three-quarters of Christmas shoppers will be in the stores next week. A high percentage say they’ll wait until December 24 to finish up. They’re looking for prices marked “70 percent off.”  Think early, shop late. 

How many fruit cakes can one shelf hold?  Start thinking of alternatives, such as a nice crocheted scarf, a handmade book mark, a photo montage, pillows, etc.  These gifts often mean more and stay around longer than a hastily purchased gift card.

If you have found yourself in credit card debt that tips cannot fix and wish to live a life debt free, give us a call and ask us how we can help.