If things are rough this year for your family, that doesn’t mean that you should add to your debt to make up for it this holiday season. It is okay to tell your children that Santa is broke this year. They probably already know that something is up, or they have an incredible sixth sense about how grownups are feeling.
7 Ways Not To Go Into Debt This Christmas
One of the worst things that you can do though is trying to keep up with the status quo. Here are seven great ways to avoid adding to your debt this Christmas.
1. Use Your Credit Card Reward Points
My wife and I love to earn reward points with our credit card. We use the points at the end of each year as a way to get free gift cards that we ultimately give to our friends and family members each Christmas.
Those reward points that we earned throughout the year help supplement our gift giving and helps to keep us from going into debt this Christmas and every holiday season. You can find great deals on reward points when you compare credit cards and pick the right one that will earn you the most points on the things that you buy most.
2. Earn Free Gift Cards
One thing that I love during the holidays are the deals that retailers and especially restaurants give when you purchase gift cards to give as gifts. Many national restaurant chains offer deals such as giving away a free $10 gift card when you purchase $25 worth of gift cards.
The card can be great ways to get gift cards to give to your loved ones during the holidays doing something that you normally do anyway (go out to eat). You can also use these gift cards to save you money while eating out at restaurants as well. Whether you give these extra gift cards to friends or save them for yourself, they can be a great way to save money and avoid debt this Christmas.
Giftcardmall.com offers online access to hundreds of the best retail branded gift cards like Nordstrom, Home Depot, iTunes, Starbucks, AMC, and much more. You can get your gift cards delivered via email or traditional mail! The cards can be used online or at the store location. Customized gift cards are also available by uploading photos and images.
GiftCardMall.com helps you create gifts as unique as your loved ones. From custom Visa Gift Cards, MasterCard Gift Cards, to store gift cards and e-gift cards, GiftCardMall.com is your one-stop shop for celebrating individuals.
Or, you can try GiftCards.com. GiftCards.com is another leading online retailer of gift cards with an array of gift card products including personalized Visa Gift Cards, MasterCard Gift Cards, eGift cards, and popular merchant gift cards including Best Buy, Home Depot, Sephora, Anazon.com and over a hundred others.
GiftCards.com offers gift cards in denominations from $10 to $500 with the average purchase above $120. Visa and MasterCard gift cards allow purchasers the option to personalize the gift card with a personal photo or image or to select from thousands of predesigned gift cards. All gift cards – whether plastic or electronic – can be enhanced with a personalized or pre-designed greeting card, including a wide selection of e-greeting cards from American Greetings®.
3. Comparison Shop Online & With SmartPhone
One thing that a friend said to me recently really struck a chord. He said that he never pays retail prices online for anything. He taught me that he always looks for deals and checks comparison sites before making a purchase.
He also checks websites like RetailMeNot.com to find some of the best online coupons before buying any items or even services online. This was a great tip that has ultimately saved me a lot of money over the past year or so. Now you can also compare prices right on your smartphone as well.
5. Make Hard Cuts To Your List
Do your aunts and cousins really need a Christmas gift from you this year? Would they understand if you told them that you are only giving gifts to your immediate family this year in order to save money and avoid adding to your debt this Christmas season? They will most likely understand your plight because we have all been struggling these past few years.
6. Layaway Is Making A Comeback
Many retails are hitting the mark this holiday season by bringing back layaway, leading the charge among other retailers bringing back the once popular holiday staple. Using layaway is a great way to force you to space out the payments for your gifts this holiday season. Instead of going further into debt this Christmas, using layaway can help you purchase your gifts this year with payments that you can afford.
7. Set Spending Limits This Year
The hardest word to say in the English language is no. No! But, it is a critical one in my family when it comes to staying out of debt this Christmas. My wife and I set a spending limit for the holidays and all of the gifts we give. While budgeting is not a fun topic for anyone, it is incredibly important. You have to have a spending plan and set a limit to keep yourself and your family out of debt this Christmas.
Did you already miss the boat this year? Now is the time to start thinking about next year. Do you spend the average $500 during the holidays on gifts? If you saved $40 per month or $20 per paycheck, you could have a debt free Christmas next year. It is time to bring back the Christmas Club Savings Accounts, or you can just create your own.
How do you avoid adding debt during the holidays? Let me know your tactics in the comment section!