New research commissioned by the Money Advice Trust (MAT) which runs National Debtline shows the levels of debt used to fund Christmas expenditure. The poll suggested that more than half of households in the country only started saving for Christmas in December and some 16% of people questioned said they were likely – or very likely – to fall behind with their finances in January, as a result of Christmas spending – that amounts to almost 8 million people. Overall, more than one person in three (37%) said they were putting Christmas presents on credit.
Among new year resolutions to stay out of debt are:
Make a plan for 2018
Get on top of your finances. Sit down and work out how much money you have coming in every month, and what you need to spend. Don’t forget to account for annual expenditure, like car insurance or road tax, by dividing it through by 12.
Join your local credit union
Even if you’re not able to start actually saving in January, you can get ready by joining your local credit union, which is a great way to save for occasional costs and by becoming a member, you can access affordable credit if you need to later.
“Credit unions across the country help their members to save towards the costs of Christmas with dedicated Christmas savings accounts which lock funds away and make them available as the festivities approach,” said Mark Lyonette, chief executive the Association of British Credit Unions Limited.
Click here to become a member of St Albans District Credit Union