Make Christmas a debt-free cracker

No matter what’s been going on in your world this year with lockdowns, restrictions, or not much difference in your neighbourhood – we all know Christmas is coming. This year it threatens to be a biggie because people just want to have a good time.

However, the one thing the Debtfix Crew wishes for all friends and whānau is a debt-free celebration that leads to a positive start to 2022.

We don’t want to be Christmas Grinches but let’s face it, we are all tempted to grab the credit card or rack up another buy now, pay later deal, especially when we’re fed up and just want to party. It’s a bit like scoffing out on chocolate and afterwards, we feel sick, guilty and determined to never go on a choccy binge again – until next time.

If we think of debt like chocolate, could we come up with a cunning plan to celebrate Christmas and New Year in a different way?

A little treat is OK

Indulging in a few little pieces of chocolate is not such a big deal. We all deserve a treat, especially at the end of a bad day or bad year. A little taste treat doesn’t do much damage and it’s the same with debt.

A little bit of debt that is manageable is not a problem and this should be everyone’s aim this Christmas. Keep the treats small and minimise the festive damage.

Sharing is good for everyone

If we share our block of chocolate with others it makes more people happy, and the calories simply dissolve away among your family and friends.

If we share the load of Christmas, the expenses are spread between more people, and it is less likely to blow out one person’s budget. Set a limit that works for you and encourage others to only contribute what they can comfortably afford.

The feel-good factor is short-lived

Popping that piece of chocolate into your mouth may give you a little moment of bliss. Enjoy! Sadly, the melt-in-your-mouth moment doesn’t last for long and if you can’t get your tastebuds under control, you’ll be looking for another sweet hit, and then another and another.

Then it’s going to take a whole lot of working out to burn off that overindulgence.

Spending at Christmas can be the same. You buy one thing and then another, and before you know it you’ve maxed out the credit cards and it is going to take a whole lot of budgeting to pay it off in the New Year.

Some of us don’t even like chocolate

If you’re a chocoholic, you may struggle to fathom that some people actually don’t like chocolate, but those people really do exist. Your act of generosity is a kind thought but before you know it, the recipient could be re-gifting that chocolate to someone else.

So, when you are on a shopping spree buying things for people that they may not want, take a breath, and think about what the people who are important to you would really prefer. Could you reduce your Christmas spending by giving someone time, something from your garden or something you make?

Whānau and friends who know you well will be much happier, knowing you’re not spending money you don’t have, buying things that no-one really needs or wants.

If you hold onto it for too long you get a sticky mess

We have all seen little kids and even some big kids, who hold onto chocolate for too long and it turns into a great big sticky mess that takes ages to clean up. The more you try to wipe away the gloop, the further it seems to spread, and the job just seems to get worse.

You get the picture by now – debt is just the same.

Christmas debt that we hold onto for a long time accrues interest, maybe missed payment penalties and creates a bigger mess that is more difficult to get rid of. After Christmas it can be tempting to take another loan to pay off festive debt and then things can get really messy.

If you have any Christmas debt, pay it off as quickly as your budget permits.

Sometimes it’s better to avoid it

For those of us who don’t have an off button when it comes to chocolate, it is better not to have the stuff anywhere near us. Temptation can lead to regrettable gorging, and it is probably better to dodge the sweet aisle at the supermarket and avoid hiding a stash in a cupboard.

If you know you’re likely to be tempted to over-spend at Christmas, try to shop with cash, which admittedly is a bit tricky in areas with Covid restrictions. A debit card is preferable to a credit card and stay away from interest-free or buy now, pay later deals.

Set a Christmas budget, make a list, hit the shops once and then find other things to do to keep you away from places where you spend money.

The Debtfix Crew knows Christmas and summer holidays are challenging for household budgets, especially after another year of Covid restrictions.

We know you want to have some fun and the Crew’s wish for all New Zealanders is an affordable celebration and holiday season that has true meaning for you and your whānau.