Every year we are in a constant loop. Christmas comes up and
we are surprised that it is December already once again. Then we spend a lot of
money on credit cards and then take all next year paying them back with
interest. How about we start the New Year with a new end game in mind with a
Christmas Club or Holiday Club account.
These types of accounts are normally associated with Credit
Unions and they are essentially a savings account that pays out on November 1st.
All you need to do is either have money
transferred from another account or you can do my old favorite and use
financial allotments, where you have the money come out of your check. Just
think if you have just $50 a pay period coming out of your check you could save
$1300 for Christmas. Just think of the
money you would be saving on the interest alone when you are not spending the year
paying back credit cards, especially when some cards charge upwards of 24%
interest.
Just doing this simple change can make your financial
situation ten times better and the holidays stress free. You will already know
how much money you have to spend, no credit card debt to deal with over the
coming year and on your way to a debt free living. Once you have this in place
and my other suggestion of an emergency fund you could find yourself in a
situation where your only bill maybe a mortgage and you could eventually be
mortgage free by the time you retire. Just start by checking into credit unions
in your areas to find the best choice for you.
Ms. Smart
