How To Avoid Holiday Debt This Year
‘Tis the season to be spending… It’s easy to get carried away by the holiday parties and sales and end up with a huge holiday debt that you’ll have to pay in the next year.
So how can you have fun without ruining your finances? Use these tips on how to stay money-savvy this Christmas and avoid getting into holiday debt.
How To Manage Your Money During The Holidays
Make A Holiday Budget And Stick To It
Calculate how much you can afford to spend on gifts, entertainment, travel, and other holiday expenses. If you have a small budget, set priorities. Don’t feel pressured to buy or do something, because it’s tradition or “everyone else is doing it.” It’s your money and your life!
Shorten Your Gift List
You don’t have to buy everyone gifts, and not all gifts have to be bought. You can bake cookies or make simple crafts like homemade scent sachets or bath scrubs. Or write a heartfelt note on a Christmas card, which will probably bring more joy than a generic gift.
Collect Coupons And Discount Codes
Go through the coupons you got in the mail, download a coupon aggregating app, or research online. You can get promos that the store may not advertise on its own site. While the discounts may not be that big—$10 here, $30 there—they will add up to stretch your holiday budget.
Give Personalized Gifts
Instead of splurging on expensive gifts that will put you into holiday debt, look for more personal gifts that your friends or family members will love. Think about their hobbies and interests, or a special memory or inside joke that only the two of you share.
For example, you can give your best friend a photo album with your favorite pictures of the two of you. Or, if your sister loves to garden, get her a nice pair of gloves or a folding gardening stool.
These gifts won’t break your holiday budget and will even be more meaningful because you clearly put a lot of thought into them.
Cut Down In Other Areas
Since some of your income will be going to your holiday budget, then you need to find ways to save in other areas of your life. For example, take the bus instead of a cab, give up your morning coffee runs, or bring your own lunch to work instead of buying takeout.
These small changes can help you lower your expenses and avoid holiday debt.
Look For Alternatives To Parties And Clubs
Chances are that your friends and family are also trying to stick to their holiday budget. They’ll probably welcome more affordable alternatives to big, expensive parties.
Why don’t you suggest volunteering together at a holiday soup kitchen or joining a fun run for a good cause? Or do a simple potluck at home instead of eating at an expensive restaurant?
Research On Free Holiday Events
Your local museum, park, or community center will probably be mounting a public event that is free of charge. Visit their social media sites and websites for announcements or check the events section of your local newspaper.
Remember What Matters
Don’t let a small holiday budget make you feel that you’re missing out. The most important thing about the holidays is spending them with the people you care about—and you don’t even have to spend any money to do that!
Focus on quality time with family and friends. You may get so caught up in shopping and entertainment that you don’t even get to make meaningful memories with them. Years from now, your kids won’t remember what toy you bought them, or what you cooked for dinner. They’ll just think about all the time you spent together. the best gift you can give.
Prepare For Holiday Emergencies
Life can be full of surprises—and we don’t mean gifts under the tree. Financial emergencies can ruin your holiday budget and force you to scramble for cash. This can include medical expenses, car or house repairs, or urgent and unexpected travel.
You can raise money for these holiday emergencies with a vehicle title loan. This is a personal loan where you use your vehicle title as collateral. At Southwest Title Loans, you can borrow up to $15,000, depending on the vehicle model, age, and condition.
You can use any car or truck to get a loan, as long as it is fully paid for and registered under your name. The title must be lien-free or have no outstanding judgments against it.
Benefits Of A Vehicle Title Loan
- You can apply even if you have bad credit or no credit history
- You don’t need to show proof of income or employment
- You can still use your car during the duration of the loan, while you meet the payment schedules.
Get Started Now
Don’t let the Holidays break your budget year after year. If you are proactive in following these tips, you can find yourself in a good financial state even in the midst of the Holiday fanfare. And remember, if you find yourself in an emergency financial bind, Southwest Title Loans has vehicle title loans to help you out. Fill out the form now to inquire and find out how you can get a loan for your emergency holiday expenses.
Note: The content provided in this article is only for informational purposes, and you should contact your financial advisor about your specific financial situation.