Don’t Put Christmas On The Credit Card
Christmas is likely to be a distant thought for many people at this moment but there will be plenty of people who are looking to the festive season right now. Some people have to plan ahead to make sure that they find the right gifts for their loved ones. Of course, there is also the fact that people need to think about their finances and determining what they should do with their money for the best.
Sadly, too many people spend beyond their means at the festive period. There is a high level of pressure placed on people and families at this time of year, particularly when it comes to looking out for kids. Yes, people want to ensure that children have a fantastic time at the festive period but this shouldn’t necessarily mean throwing a lot of money at them. There is a need for people to work out their budget and then determine what they can afford to spend on other people.
One of the biggest issues that many people have at this time of year is the fact that they decide to put Christmas on the credit card. There is a difficult situation looming with debt and credit in the United Kingdom. When used correctly, credit cards can be a fantastic way to deal with short term debt but when they are used as an essential part of life or part of the fabric of everyday living, they start to cause a lot of problems. A Christmas bought on with a credit card may be fun at the time but this is the sort of situation that can cause problems for many years to come.
Basically, don’t put Christmas on the credit card, but there are other things to take on board when it comes to finance and the festive period.
Don’t buy presents with plastic
In recent years, there has been a greater level of understanding on how people approach the festive period. It seems that around a third of people in the UK plan to borrow, or have borrowed, to cover the cost of the Christmas period. This equates to around 17 million people in the country are planning on enhancing their Christmas by turning to the festive period.
This shouldn’t be a surprise. The country has a big issue with credit cards, bank overdrafts, store cards and catalogue credit options. These options may bring about a lot of short term fun but in the long run, they can hurt people a lot more than they assist.
The cost of food at Christmas can hurt
If Christmas was just about presents, it would be difficult enough but it isn’t. The festive period is likely to be the most sociable time of year for people and when it comes to the big day, or days, itself there is an awful lot of food and drink consumed. This means that people can end up racking up big bills on the celebration without having too much to show for it.
This is another area where many people can get up in the ease of using credit, but this means that you can end up paying for your festive food and drink for months, if not years, depending on how long it takes you to pay off your credit card debt.
While most people are looking to have as much fun as they can when it comes to Christmas and socialising with friends, you need to think about your budget.
There is also the fact that the festive period can bring in so many other costs. You often find that there are more drinks with work colleagues or friends that you don’t see that often. This can lead to new outfits being bought, restaurant meals, taxis and a lot of expenditure on alcohol. You may also need to tip staff more at this time of year and all of this can see the festive period being a very expensive time of year for a lot of folk.
It is tempting to make Christmas as much fun as it can possibly be but you need to be sensible. If you’re forced into using your credit card to make the most of Christmas, it is time to step back and reevaluate what the festive period really means.
Andrew Reilly is a freelance writer with a focus on news stories and consumer interest articles. He has been writing professionally for 9 years but has been writing for as long as he can care to remember. When Andrew isn’t sat behind a laptop or researching a story, he will be found watching a gig or a game of football.