The holiday season often brings joy and laughter to people. Unfortunately, it’s also the season that brings credit card debt. With all the parties, travelling, and gifts, it’s easy to just swipe out your card without realising how quickly your debt adds up. But with discipline and careful planning, you can enjoy the holiday season while avoiding credit card debt.
Having a clear budget is necessary to avoid credit card debt. Before the holidays roll in, make a list of your expected expenses, such as food, travel, gifts, decorations, and more. Assign a spending limit for each of them and make sure you stick to it. Treat each limit as non-negotiable to easily resist impulsive buying.
Use cash and debit only to avoid accruing credit card debt. If you see money physically leave your wallet, you become aware of how much you are spending. If you prefer to pay using a credit card just for convenience or rewards, make sure to pay off the full balance as soon as you can.
Plan your purchases early. Compare prices, watch out for discounts and take advantage of sales instead of going for a last-minute rush. Thoughtful planning will not only help save money but also avoid emotional spending, which happens a lot when one is under pressure.
Don’t settle for minimum payment traps. Paying only the minimum payment allows interest to quickly accumulate and double the cost of purchases over time. Always pay the balance in full.
For gift giving, it’s best to set boundaries. Suggest handmade gifts or put a limit to gift costs to avoid overspending while keeping the holiday spirit alive.
Having a clear budget is necessary to avoid credit card debt. Before the holidays roll in, make a list of your expected expenses, such as food, travel, gifts, decorations, and more. Assign a spending limit for each of them and make sure you stick to it. Treat each limit as non-negotiable to easily resist impulsive buying.
Use cash and debit only to avoid accruing credit card debt. If you see money physically leave your wallet, you become aware of how much you are spending. If you prefer to pay using a credit card just for convenience or rewards, make sure to pay off the full balance as soon as you can.
Plan your purchases early. Compare prices, watch out for discounts and take advantage of sales instead of going for a last-minute rush. Thoughtful planning will not only help save money but also avoid emotional spending, which happens a lot when one is under pressure.
Don’t settle for minimum payment traps. Paying only the minimum payment allows interest to quickly accumulate and double the cost of purchases over time. Always pay the balance in full.
For gift giving, it’s best to set boundaries. Suggest handmade gifts or put a limit to gift costs to avoid overspending while keeping the holiday spirit alive.