Holiday shopping can cause stress, but dealing with the financial aftermath of it can be worse. You went overboard with gifts and holiday decorations this year, and now you’re out of money, but thankfully, not out of luck. Here are some ways to help you through this money grieving process, and get you back up on your feet.
The irony of it all is that after spending all that money, some people often think of themselves as unstoppable, as if they have all the money in the word. Here’s a tip- don’t. Try not spending for awhile, unless it’s necessities. There will always be time to buy after you restore your financial state, but right now is not that time.
Try not to spend money for a month and make do with what you already have, again, unless it’s necessary. This is a way of saving, and a way of giving yourself a break and realizing what you can really do without over an extended amount of time. After the month is over, you’ll have saved the money you would usually have spent, and it can go towards paying off your holiday debt.
If you still need help paying off your debt, 0.25% of interest you earn on the money in your savings account can help. I know it’s a scary thought, diving into the account you’re supposed to be saving on, but it works. What’s the worst that can happen? You have less money than you thought in your savings, but more money on your credit you can save because you paid your debt.
If you’re not a fan of any of the previously mentioned options to save money, simply, always be on the look out for money. Have a garage sale, grab the money off of unused gift cards, concert change laying around the house to cash. With all the money you scrape up, debt doesn’t seem so bad or maybe ever, nonexistent. This method is a bit old fashioned, but nonetheless, helpful.
When it comes time to you actually paying off your debt, here’s a suggestion- tackle your highest debt rates while paying the small debts too. Doing away with small debt first assures you that your motivation will not be lost in the sea of debt. In fact, a study was conducted on breaking down small debt first, and the reports showed that those who pay off small debts periodically will often end up erasing all of their debt afterwards.
Now you know what not to do during the holidays, and hopefully this was a lesson for you. Now that you know better, take this time and all the money you’ve been saving and put transfer it into a holiday savings account. By doing this, you eliminate the stress of where your holiday shopping money will come from. Through the year, the savings amount will grow and when you get ready to go shopping, you know what to do.
Get ready for next year. Once you’re debt-free, take the payments you were applying to your cards and redirect them into a holiday savings account.

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