How Will You Be Paying For Christmas?
It’s autumn already, and before you know it the festive season will be here. There are already mince pies and puddings lined up in the seasonal aisle in the supermarket, and there are adverts on the TV telling you to buy your sofa now so it is delivered in time. Soon it will be time to buy your presents, before wrapping them and putting them under the tree.
Is it just me or does Christmas seem to get more expensive each year? There are more people to buy presents for, more expensive food items in the supermarket, never mind the actual cost of the presents themselves. It takes me almost a whole year to have enough cash for everything I need to buy for my friends and family. This got me wondering how other people fund their festivities. Do you have special savings for Christmas? I asked my friends and here are a couple of examples of what they do…
Use a savings account
Like me, many of my nearest and dearest have shared that they have a savings account with their bank or building society. Most of us have instant access accounts, but I know a couple of people with limited access agreements which generate a bit more interest for them. The reason I use an instant access saver is that you never really know what’s around the corner when you have a family home to run. We always have to make sure we have funds available if the boiler breaks or we need some repairs for the car.
Sign up to a Christmas savings scheme
A couple of my older friends swear by Christmas savings schemes. The idea is that you pay in small amounts during the year so you have a good pot of money put by come the festive season. There are a number of different schemes running in the UK at the moment; just by searching online quickly I found them with the Post Office as well as the leading supermarkets. The one downside to a scheme such as this is that you won’t be able to withdraw your funds if you need them; they are locked in until November or December when you get all of your money back in the form of gift cards or vouchers.
Use a credit card
Finally, if you haven’t saved up in advance, you might be tempted to use a credit card to fund your Christmas purchases. If you are going to do this there are a number of ways you can make the repayments less painful. The first is to look on a price comparison website and see which cards won’t charge you APR during the first year. The second is to sign up to a company who is able to give you benefits for your spending – think along the lines of Tesco’s Clubcard credit card. Also, make sure you don’t spend more than you can pay back, or else you will find yourself paying back money for many months or years.