Plan Ahead And Avoid Holiday Debt By Doing This

All told, about 1 in 3 people in America say they expect to go into holiday debt this year, according to a Credit Karma study.  The holiday season is the most common time to overspend. Even if you commit to spending less than the year before, it’s easy to spend more than you wanted without realizing it. And how about overlooked expenses, such as food and décor for parties or travel? Have you taken that into account?

Holiday debt doesn’t have to be an inevitable sign of the season. Here are a few things to keep in mind when opening your wallet this year to avoid being saddled with holiday debt next year.

How To Avoid Holiday Debt

Set A Budget And Stick To It

We know. Budgeting is not fun, but it’s a basic necessity when you are trying to avoid holiday debt. As far in advance as possible create a budget apart from your regular budget that considers all of your expected holiday spendings, including gifts, entertainment, and travel.

You can even set specific budgets for specific people. For example, how much to spend on a gift for your aunt and uncle. Then all you have to do is stick to your plan.

Settle On Your Way To Pay

According to a survey from Discover, around 36% of all consumers worry about going into holiday debt, calling it the most stressful part of the holiday season. Much of this fear stems from the sole use of credit cards to make holiday purchases, an approach that makes falling into debt much more likely. 

Consider spreading out purchases and using different forms of payments, including debit cards or cash, that can go a long way in lowering debt. Head to the store with just cash — and just enough cash for a gift on your list and nothing more.

Don’t Dip Into Savings  

It’s always tempting to combat the potential for holiday debt by using some of your savings for last-minute gifts or travel. Unless you have part of your savings account set aside for holiday purchases, don’t do it. Instead, stick to your budget that uses just your income and not your savings as a guide.

Plan Ahead 

Holiday sales start earlier every year — and it’s a great time to score some serious deals for everyone on your holiday gift list. Timing is key here since some sales are also launched closer to the holiday.

Do a little research on when your favorite stores may be offering sales this year. Travel plans should never be made last minute during the holidays unless you don’t mind paying ridiculously high prices for your flight or train trip.

Rethink Gifting

Sure, that shiny new bike or the latest cell phone is an attractive gift, but they’re also among the most expensive. You don’t need to spend a lot on gifts to make everyone on your list happy. Go the less expensive and more personal route. If you’re crafty, make your gifts.

Create a scrapbook of family and friend memories, knit a scarf, or create artwork. If you’re good in the kitchen, whip up some tasty baked goods for your gifts this year. People tend to remember those gifts more than that trendy toy that everyone else gave as well. 

Find A Side Hustle 

The holiday season is a great time to bring in some extra cash to fight impending holiday debt. Rent out a room in your home, score a food delivery gig, or find part-time work at a store that needs extra help for the holidays. That extra cash will always come in handy, especially if there are any unexpected expenses this season.

Get Some Emergency Holiday Cash With A Payday Loan

While going into holiday debt is avoidable, emergency holiday cash may be needed if you face a costly emergency room visit, need to travel at the last minute, or have to pay for a home or car repair during the holiday season. 

A payday loan can help. Payday loans are designed as short-term loans that help bridge the financial gap between paychecks if you are dealing with an emergency.

They are usually paid back when you get your next paycheck. It’s easy to qualify for such emergency holiday cash at Carolina Payday Loans, Inc. You can qualify for your payday loan cash in as little as 30 minutes. 

Here’s how it works: Just head to our homepage, submit the payday loan form, and one of our loan representatives will give you a call to discuss the required items, answer your questions and walk you through the rest of the fast payday loan process.

Once you qualify and are approved for the loan, you get your cash the same day or the next business day.

Get Started Today With A Payday Loan

A financial emergency can be particularly impactful when you have a solid plan to avoid holiday debt at all costs.

With a payday loan, you can make sure the holiday season remains full of cheer. Just start online, visit one of our locations near you, or give us a call today.

 

Note: The content provided in this article is only for informational purposes, and you should contact your financial advisor about your specific financial situation.