Words of Wisdom from SharLeigh

Keeping Holiday Spending in Check

All of us start the holiday season with the “BIG” purchases. We love to see the smile on our family-member’s or friend’s face when they unwrap that special present. It is a grand time of holiday cheer and gift giving. But soon enough, January comes - and with January, comes the credit card bills! Somehow we have become a nation of plastic. How easy it is to go Christmas shopping and pull out the plastic. We do not even feel the pain. What has happened to all of us? Remember when we had a Christmas Account at the bank? We would draw out the savings and from that amount would buy Christmas presents. Were we more practical then? Yes, in a way. But it worked out well because when the cash in your wallet was gone you were done Christmas shopping. Instead of trying to fulfill everyone’s desires, you took the time to buy more sensible gifts. Credit card debt is becoming a major issue in the United States. Many people live beyond their means because of credit cards. Too many of us are living with the attitude that if you max out one card then you just start on another. Some people spread the wealth and use 4, 5, 6 or more cards all at once. When the cards are out of control, many people refinance their home just to pay off the cards, thereby chipping away at the investment in their property. Credit cards have become so easy to use that many now take large loans on them instead of going through the hassle of dealing with a traditional lending company. We are bombarded with offers of free credit cards everywhere, especially through the mail. The other day I received one from a grocery store! I was shocked - it made me stop and think about this new type of economy. Never has the old saying “Buyer Beware” been so relevant. But how do we regulate our spending? Simply put, you have to keep track of what you are spending and make sure you can pay the credit card in full each month. If you cannot pay your bills, then see a Credit Counselor - they will teach you how to manage your credit more effectively. Why not make this Holiday Season a more reasonable one? Just have fun and be creative. Remember, it’s not the price of the gift that’s important, it’s the thought. Never forget that when you are out shopping!