Businesses and service providers in general usually make during the holiday periods by increasing sales and hence profits.
This will make them smile all the way to the bank.
This is the period that they know that holiday people will be less restrained.
You might be one of the millions of people who suffer after holiday period financial havoc.
To be successful in your spending habits you need to especially during holiday seasons control increased spending rates, the source of funding and the after effects of the spending spree the month after.
1.
Have A Plan On How Much To Spend Holidays come and go very quickly.
During these periods people hardly practice financial control.
To close the gap and cope they make use of credit cards.
But there are advantages of using plastic.
1.
For a month it gives you access to credit.
2.
You can spend beyond your means temporarily.
3.
You can track your expenditure via statements.
4.
Carrying excess cash is not necessary.
2.
Don't Increase Your Debt Status A credit card can add to your debt status.
Make sure you watch your income to debt ratio.
A ratio over 25% is not good.
3.
Credit Cards For Short Term For short term spending using a credit card may be a goo idea.
But you will be best off paying of the balance within a few days.
Paying of the minimum balance at the end of the month is not advisable.
4.
Protect Your Financial Health Amassing debt during the holiday period is usually caused by consumer spending.
Examples are the purchase of gifts, travelling costs, entertainment fees and travelling expenses.
In the long run you net worth will be reduced which is not good for the health of your finances in general