Holiday shopping is upon us, but before you dive in and start crossing items off that Santa list, take a step back and ask yourself, ‘Am I in denial about credit card debt?”
For those that know they will be using credit cards and borrowing money to purchase gifts, do the courageous thing and evaluate your personal financial situation first.
Take this quiz by answering True or False for each statement.
- I know how much I currently owe on each credit card.
- I am receiving collection calls and notices.
- I have money saved to pay cash for holiday expenses.
- I will be adding new debt on top of old debit if holiday expenses are charged.
- I have reviewed my credit report and score in the past 12 months
- I am near the maximum amount allowed on my lines of credit.
- I am current on my vehicle payment.
- I have applied for a payday loan, title loan or cred card cash advance in the past 12 months.
- I have savings in addition to that earmarked for holiday spending.
- I have overdrawn my checking account more than twice in the past 12 months.
If you answered True to all odd-numbered statements, you are in good financial shape to begin your holiday spending.
On the flip side, if you answered True to even-numbered statements use this quiz as a wake-up call to take action on your financial situation before it spirals out of control.
Going into debt just to buy extravagant gifts for everyone on your list is not worth the financial stress you’ll be left with long after the decorations have been taken down.
This season, instead of going into debt, put yourself first, and give yourself the gift of financial peace.
If you want to further discuss, or are looking for guidance on your current financial situation, we are happy to support you in any way that we can.
Everyone deserves a happy holiday season; but let’s get your financial house in order first.
Contact me for a confidential, complimentary conversation about your financial situation. We are a no-judgement, no condemnation, shame-free zone.
Source: National Foundation for Credit Counseling. November 2014.