Use your credit card as little as possible during the holidays.
Both people who work in retail and people who shop look forward to the holiday shopping season. Most of the sales that stores make during the holidays come from people who didn't plan ahead and are easily persuaded to buy shiny new gadgets on the spot. On the other hand, consumers rush to the mall with their credit cards in hand to get a thrill from the fancy decorations, Christmas music, sale signs, and crowds. At the end of the day, or let's say in January when things have settled down, consumers are crying over their huge credit card bills and wondering where all the money went, while retailers are laughing all the way to the bank or the board room. Even though it's not a bad thing for the retail industry, how can we as customers make sure we're not crying and are instead celebrating with the industry? It is easy. We can make a plan and a budget, which might include shopping for gifts all year long and comparing prices.
Christmas always comes at the same time. If we want to save money and keep our credit card balances low, we have about a year to come up with a plan and carry it out. Why should we wait until December 1 or Black Friday to start buying gifts for Christmas? We can buy gifts all year long for the adults and some of the kids on our list. Why not start in January or early February, when many stores start their winter sales? Or, on the day after Christmas, you can save a lot of money on the newest toys and gadgets. If you don't want to wait in long lines the day after a holiday, you can shop online, where the deals have been just as good. Some stores will even ship for free. Keep an eye out for free shipping and coupon codes when shopping online.
Your plan should also include making a list of all the family members and friends for whom you need to buy something, along with one or two gifts that represent them and your relationship with them. Then, you should put together a total budget based on the most expensive item you listed, and make a decision to stick to that bottom line. After that, get ready to compare prices, which you can do from the comfort of your own home. If you want to compare prices, you need to give yourself enough time. This is not a task for people who put things off. Check the websites of competing stores to find out who has the best price. You can also look at the weekly ads. This way, you'll know what you want and where to get it before you leave your house. This will cut down on the number of purchases you make on the spot and make you less likely to buy things along the way.
Don't let yourself get stuck in credit card debt every holiday season. Choose to make a plan and then stick to it. Early on, decide who you want to buy gifts for and what they would like. Then, make a budget you can stick to that will pay for all of these gifts. Last, give yourself enough time to shop around and compare prices. Keep an eye out for sales cycles and weekly ads from the same stores. Then decide that you will be done with your holiday shopping, or at least 95 percent done, by December 1. If you have a plan and try hard to stick to it, you can be sure that you will be happy with all the money you saved in January because you decided not to let retailers decide how much you spend on your credit card.
