Christmas Loan Eliminates Credit Card Debt

Securing a Christmas loan for our household has become a natural part of our holidays for years. Knowing the cost of interest rates on credit card debt, a Christmas loan or holiday loan made more sense to us to eliminate credit card debt from escalating.

It is a know fact that consumers use credit cards more at the Christmas holiday than in any other time of the year. We did not want to be left paying for these credit card debts forever, but at the same time we wanted to be able to have enough funds to cover our extra holiday costs.

Our Christmas loan takes the form of a short term personal cash loan. The interest rates are way lower than using a credit card and we can pay them off much quicker, eliminating the sting of the extra holiday spending for a much shorter period of time.

Around the first part of October, we plan out our upcoming holiday spending. We always pad a little extra for unforeseen events. Then we schedule time with our banker to determine our loan needs and decide if we want the short term cash loan to be a secured loan or an unsecured loan. We have been fortunate thus far in getting a secured short term loan, saving us even more in interest rates.

Whether you select a secured loan or an unsecured loan, you will still end up saving a lot more money than on those high interest credit cards.

Too, with the cash loan for the holidays we have already established a budget for our spending. This is why we preplanned some extra spending padded into our budget. We are more inclined to stay within our set parameters for cash spending when we can visually see what we have to spend, what we have already spent and what is left. Also with cash, there are, at times, deals to pick up where a credit card is not accepted.

Credit card spending tends to be a more impulsive or emotional type of spending. You usually do not find out the actually spending occurred until you get your next credit card statement and that is not always up to date. There is usually a lag time of a week or two.

The Christmas holidays are an emotional and stressful time of year, make these emotions and stress good ones. Securing a Christmas loan or holiday loan has really helped our holidays become much more pleasurable. Eliminate credit card debt by preplanning and keep from regrets coming early next year when all those credit card bills arrive in your mail box.