How to avoid Christmas debt in 2020

posted by Chris Valentine

It’s been a difficult year, so for many for us, the festive period is one that is greatly anticipated. It’s the best time of year to kick back, relax, spend time with friends and family, and indulge as much as we can. Sadly, the pressure of the Christmas season can leave us with more than leftover turkey and more tins of chocolate than we can handle, worryingly, Christmas can leave families and individuals struggling to stay afloat in a sudden wave of debt, one that usually hits in January.

The pressure of buying gifts and getting the children everything they’ve asked for whilst worrying they’ll be disappointed is one of the main reasons families fall into this dangerous financial situation. Others feel pressured to partake in expensive Christmas traditions, such as spending on certain brands, events or activities that just aren’t budget-friendly right now. 

The best option all round is to avoid being pulled into a spiral of debt. Companies like Creditfix are here to help if you’re struggling with your finances and you need advice. Here we’ll look at how you can avoid Christmas debt in 2020.

Plan your budget now

Christmas isn’t here just yet, so there’s plenty of time to plan your budget and ensure that you stick to it. Controlling your spending starts with you, so go through your finances and ask yourself how much you can really afford to spend. Perhaps you could release a little more money by cancelling those streaming services or subscriptions, so you have a little more financial breathing room? Take some time to go through what you can afford, and you’ll feel more confident about your financial situation too! 

Speak with friends and family

Communication is key. So, rather than feeling as though you have to compete with your sister’s “city break” gift for your mum, reach out before the shopping season starts and agree on a price limit of gifts. Or, if you don’t want to spend, simply say so! You may find other family and friends are relieved at not having to spend more money than they can afford.

If you can, start buying now

Many people roll their eyes when friends mention Christmas as early as September. But these people aren’t just overenthusiastic, they’re onto something! Many toy stores and shops have gift and toy events in the run-up to the Christmas period. So, snapping up bargains and items now means spending less money and having more free time with family during the festive period. 

And finally, food and drink

After gifts, food and drink is often the biggest Christmas expense. But with some clever planning and frugal finds, you’ll be able to save a bundle. Again, you can start adding a few additional items to the trolley now, to save money and time before December. Don’t be afraid to shop around for cheaper items and always keep an eye out for a bargain. Planning your meals over the festive period will also help you spend better and keep costs down. 

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