It’s no secret that holiday spending is at an all time high this year. The decorations, food, and gifts can add up! We recommend saving up for the holidays but the truth is, sometimes a loan can really help. Even if you have a holiday spending fund, things like travel can surprise you. A holiday loan is a great short-term lending option for those who need a little extra funding this season. Before you take the plunge however, we recommend you do the following 4 things.
Shop Around
Although a holiday loan is a much smaller loan than an auto or home loan, it’s still important to do your research. Do your digging both online and in-person as many credit unions and banks have varying stipulations associated with these loans. Pay particular attention to things like interest rate, repayment period length, and monthly repayment amount. By shopping around first, you’ll be well informed of all loan offerings that are available to you and you’ll be sure you made the right decision.
Don’t Wait until Last Minute
As we get closer to Christmas you may be realizing that money is tighter than you thought. The time is now to research and seek out the best holiday loan for you. We recommend not waiting until the last minute so you don’t make any impulse decisions in regards to your loan, and your shopping list. The earlier you check off the holiday gifts, the less expensive they will be. Making any decision last minute could result in overspending and when it comes to your finances, you always want to make smart and informed choices.
Borrow the Amount you Need
It can be tempting to borrow more than you actually need for your holiday budget, but we advise against it. It all boils down to preparation. If you have a list of your holiday expenses, you can be sure to know the near exact amount you need for a loan. This will allow you to reduce your repayment period, monthly payment, and you’ll pay less interest on your loan. Our holiday loan is meant to help our members have a great and comfortable holiday by providing the loan they need.
Buy Thoughtfully
Surely you can see the theme by now; prepare and plan. If you’ve procured a loan and are now planning your shopping trips, use this time to seek out the best deals you can find. Holiday deals are abundant, so don’t miss out! Afterall, if you end up spending less than your loan in the end, you will pay less interest and you’ll have your loan paid off sooner. Try to always stay far away from impulse buys, even if it seems like a great idea, don’t let the pressure of the holidays affect your decision-making.
We wish you all a wonderful holiday and we are happy to help in any way we can! For more information on holiday loans, see our website or come in and see us!