How Should I Fund My Holiday Shopping?Posted: November 19, 2018
Q: Help! I’m fretting over holiday expenses. How am I going to pay for all this stuff?
A: Relax! You can keep your budget and your sanity. Take a few minutes to learn how you can spend responsibly this season. Let’s explore some options:
1.) No-interest credit cards
If you can open a credit card with an introductory no-interest period, you can borrow the money to fund those purchases without paying a penny of interest.
Nice: This option can be ideal if you have an excellent credit score and concrete plans to pay back the bill quickly.
Naughty: Don’t go this route if you have a poor track record for paying credit card bills. You might end up carrying that balance well after the grace period ends and then getting hit with really high interest rates.
2.) Personal loans
Anytime you need a pile of dough, you can stop by West Texas Credit Union to apply for a personal loan. Our representatives are always happy to help you!
Nice: Our personal loans have low interest rates, which make the payback plan affordable for almost any budget.
Naughty: If you’re already carrying a load of debt and unpaid loans, don’t take out another one just to get you through the holidays. Consider lower cost gifts and focus on paying off debt.
At West Texas Credit Union, we offer our own gift this time of year: the option to skip a monthly loan payment to give you that extra cash flow.
Nice: When you choose Skip-a-Payment, you can pay for those gifts without adding to your current debt. No high-interest bills to haunt you!
Naughty: Every Skip-a-Payment makes the loan’s term one month longer.
4.) Special Account
Pay a little bit toward this expensive season all year long by opening a Special Account.
Nice: Special Accounts offer you a way to pay for your holiday shopping ahead of the season, instead of playing catch-up on your bills in the coming months.
Naughty: It’s not too late to open up a Special Account to help you make it through this season. On the other hand, it’s never too early to start thinking about next year!
5.) Deferred-interest financing
If you’re considering several large purchases at big-box stores, consider signing up for the retailers’ deferred-interest financing. Many chain stores offer customers this interest-free financing option so they can walk out with their purchase today, and pay for it tomorrow.
Nice: Deferred-interest financing works just like an interest-free line of credit, only it’s exclusive to the store selling it. If you don’t like the idea of opening another credit card, but you need that interest-free option, this can be the perfect solution for you.
Naughty: If you neglect to pay off your bill before the interest-free period expires, you’ll be slapped with sky-high interest fees.
If you’re still struggling to get through the holiday season, we can help! Stop by West Texas Credit Union today. We’ll show you how to stay in the black when your holiday expenses have you seeing red.