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Holiday Shopping and Credit Cards can give you a bad headache



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Holiday Shopping and Credit Cards can give you a bad headache

Christmas Season is Shopping Season and sometimes people tend to abuse their credit cards by splurging their credit and maxing out their limits, only to wake up neck deep on debts and past due bills.  

I learned my lesson a long time ago that credit cards should always be used properly, that means only on necessities and should be a last resort, I always use cash or debit cards.  Somerimes having a good or high credit limit can cause financial troubles specially for people who loves shopping a lot.  

This Holiday Season, a word of caution, spend money that you have, and think very hard  if your planning to shop on credit.

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burgosmichael24

You are right. People who doesn't understand the consequences of wrong use of credit cards wake up one day with a painful headache because of their debts. People nowadays need to be financially literate to avoid future problems because of mishandling their finances.



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Alania

Indeed, and to be honest, I never used a credit card. I just don't see the need of them. If you can't afford it, then why buy it? It's a crime against yourself. Gotta be cautious.



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NerdIndeed

Credit cards are not entirely wrong, but you should only use them to purchase things that will make you money. For instance, it is required for you to have a laptop to do your work more efficiently yet you don't have the funds for it at the moment, using CC is good as it will make you more money in the end. Don't use it to buy liabilities but instead assets.



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iambeth

I agree. Credit cards should be used only when necessary. Credit cards make you think you have a certain amount of money thus make you buy things beyond your means.



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kaushikangara

I never use a Credit card. I know that credit card is like an advance loan. You just swipe your card at every location and you are unaware of how much you spend. Debit cards on the other hand are great. They will let you know how much you are spending and what your account balance is so that you can decide when to call it a stop.



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NerdIndeed

Using your credit card to purchase things is like spending money you don't have. Like you, I stay away from credit cards as well.



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Youngshark

Wise point my friend. I wish everyone knew this spending trick they could save themselves so much on debt.



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NerdIndeed

You're right. Although we can't blame people who shop using credit cards, it's not illegal in any way. It's just that I guess sometimes they get pressure from society, so they do whatever they can to keep up with the Joneses.



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Youngshark

Yeeeah yeeeah it is all about the society's influence and the craze to swipe at each and every place to look classier.



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jpk0007

Yes that is very true, people do tend to buy more during the Holiday season , especially when they have a credit card with them. The problem with the use of the Credit card is that you dont know how much you are spending at the time of shopping and that is why you are bound to spend more. On the other hand when you do your shopping with cash or a debit card you will have a good idea about the money that you have spent on your shopping.



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jaymish

Best advise ever. I also think that it is wise to have credit cards, but use them only in the case of an emergency or when you are paying at a place where it is more convenient to use credit cards. I agree that you should only spend that money that you have. Never rob Peter to pay Paul so to speak. Managing money is the difference between you having a good life or a stressful life where you are being chased by debt collectors.



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NerdIndeed

Best practice is never to shop on credit. Experts say that if you want to have something, think about it first. Ask yourself if you need it, take a month to decide before you purchase it as it might only end up in your closet after a month or two of buying it.



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knnon

Needs over wants is the best way to go about it really. And as much as possible use cash. The interests on credit cards are so ridiculous that sometimes it seems like they're just making things up so you'll pay them more!



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NerdIndeed

Haha, yeah you're right. I laughed when you mentioned that banks might only be making things up as it might be real. Cash is king!



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knnon

They have a lot of fees when you check the statement. It's so ridiculous sometimes! Sometimes they also charge for membership fee more than once.



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NerdIndeed

They get away with that sometimes. That is why it's important to keep track and check all your card transactions and fees when the statement arrives.



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Franzel2oo

That's some great advice. There is this expression back here that goes: "January is four months'. This is to mean, due to high spending habits surrounding Christmas and the new year, many people end up struggling through January with little income left, or even in debt. We all know how time tends to be slow when all we want it to do, is move fast. Beware of how you spend guys. You don't want to be broke for four months.



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luv2xacosta

Totally true. After holiday season, your problem would pile up because of the bills and how to pay your credit card. Whenever I do shopping, I prefer bring cash or debit card so that I can control what are things that I'm to buy for Christmas. It would be good also if I have a list with me so that I know what are the necessary things I'd like buy for Christmas.



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Barida

Going shopping with cash is the better option as long as one is safe with that. This is because when we shop with cash, there is always that possibility of buying what we can afford at the moment and once the cash is finished, we have to go home.



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Barida

This is something that has got a lot to do with one being rational when they go shopping as this is the only way to ensure that you work out things for the better. I don't really think that going over the limit all because we are in Christmas is going to make any meaning at the end of the day.



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iambeth

Planning your expenses is a wise thing to do during this time of year. Know your budget and make a list of the things you need to buy. The key to preventing debt is living within your means. Don't rely on credit cards because you still need to pay it back.



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edencaga

When it comes to shopping, I don't really use credit cards as its interest is kind of a bigger problem. My father always use his credit cards before and the day came when his credits became six digits and he found it very difficult to pay for it. Thankfully my aunt was there to help him. We were still in college at that time so we can't help him with that.



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Jeane

Why overspend on Christmas and spend the next two years paying back that money?

That is good advice @Kakashi2020. Christmas season shouldn't be the time we spend more than we can afford to. The best way to avoid spending money you don't have is by saving money for Christmas or doing your Christmas shopping slowly through the year. This way you'll avoid getting into debt.



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mhingnhormz

Holiday shopping and credit cards can give a baf head ache: Yes in some point if you don't know how to control your self and manage you financial term. We are in control of those stuffs, what we have to do is evaluate what we can afford and what we only needs.



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theresajane

I actually feel bad for those people who cannot control themselves because of the tempting deals during Christmas. It's definitely a bad headache when you realize that you spent too much, but, it's already late to turn back.



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amelia88

Christmas is meant to be about time with loved ones in my opinion rather than getting too materialistic. Sweet thoughtful presents always mean more than something bought just for the sake of spending money.

I don’t want to rack up a bunch of debt to start the new year with so I’m not using my credit card over the holidays.



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theresajane

I agree with you. Sometimes, you family would just want you to come home and celebrate with them. Preparing good food is also a plus. Don't go overboard with your budget as you will really have a hard time after the happy season of Christmas.



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amelia88

Food is definitely one of the most enjoyable parts of the holiday season. Preparing a meal together and then all sitting down to enjoy it together is such a wonderful feeling. One of the best parts of Christmas!



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Corzhens

I had the mistake one Christmas season when I overdid my shopping that it was already April when I was able to fully pay my purchases. But now I am used to my credit card purchases because I always have a list of what to buy for gifts. You can imagine the effort to buy more than 100 gift items. I couldn't do that properly if I don't have a list that includes the amount of the gift item with a corresponding name so I would easily identify the recipient of the gift.



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knnon

Credit cards are so easy to abuse because of the concept of "buy now, pay later". The credit limits don't even help at all as credit card companies know the higher your limit the more likely you'll use your card. I think this is the best warning we can give to others this Christmas. Avoid abusing your credit cards no matter how fun it is to do so!



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theresajane

It's very tempting to shop during Christmas seasons. Just by seeing the enticing deals if products and your credit card are such things that makes you lose control. It's just very tempting to shop for yourself and for your love ones during Christmas.



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gutzman

I agree. You can also make a list of what you need and what you want. Prioritize first the "what you need list". Everything written/typed here should be of necessity like food, clothing, items with long term use and the like which will benefit you the most. On the other hand, the "what you want list" should consist of things you wish you have. These will be your luxury items. It could also be a service like experience a spa, massage or an expensive vacation. Have a budget first and it should be limited. Buy all the "what you need list" and if there would be extra money left, that's the only time you'll going to buy the "what you want list". You can also choose one from the "what you want list" if your budget is low just to make sure you'll still be happy after spending money.



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theresajane

I was alqays reprimanded by my mother before because I only thought of what I want first before my needs. Well, especially during Christmas seasons, one should really prioritize his needs first. That's why it's great to have that list of what you need when shopping.



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