Currently, we’re thinking of what new treasure could be waiting wrapped under the tree. It’s really easy to simply swipe a piece of plastic and forget how much a new purchase cost. However, therein lies the first pitfall of the season, forgetting! This time, instead of forgetting to set the timer on the oven, this forgetful act will cost more than the cost of an apple pie.

From “85 percent of respondents in a March 2013 poll said they were unlikely or somewhat unlikely to talk with a stranger about credit card debt a subject more taboo than religion, politics, salary and love life details.”
If you already have a balance that you are currently paying off then you likely will not need the new item if you do not have the saved cash.  That’s the number one rule to follow to avoid credit card debt.  Use that extra case to pay off the due balance or possibly early. 

“It’s a super great sale item” Usually said right before the credit card debt goes higher. This is the time of season when super extravagant deals will be occurring. It could be 75% off, but if you have no intention to have a zero balance by the end of the month, it will cost more than 100% of its value in short time.

Don’t take on another credit card, especially a store card. While having the extra liquidity may seem like a great idea, it will only be another line of temptation. It may feel as if the card is “burning a hole in your pocket” especially if it has high limit.  One little purchase usually is followed by another before you know it those micro transactions add up to a hefty sum quickly.  Many card companies do target people with poor credit in guise to assist them to better credit, but it a cyclical trap.

Have a great Holiday season! Keep credit at bay this holiday spending season and you will end up with a great new year! Life and leave the legal stuff to us!