Three Tips for Holiday Shopping with Credit Cards

Three Tips for Holiday Shopping with Credit Cards
The holiday season is in full swing. As you join the ranks
of Christmas shoppers, you'll find plenty of ways to spend
your hard-earned money. Using a credit card makes shopping
easy; so easy, in fact, that many Americans will spend too
much this month. Yet Christmas shopping does not have to
lead to credit card debt. This year, you can take steps to
avoid a gloomy credit card statement in January.

Create a Budget

Before you set out on a shopping spree, think about how
much you plan to spend. Make a list of the people you need
to buy gifts for. Set a limit for each present. If you're
on the hunt for decorations, baking supplies, or wrapping
paper, add those items to the list. Then estimate your
total costs.

Using a credit card to buy the goods on your list can make
shopping easy. Just be sure that you know what the credit
limit is. Also, plan a way to pay back the credit card
balance. Some experts advise spending only what you can pay
off in three months. So if you can put $200 toward the
credit card bill in January, February, and March, then keep
your spending under $600 (you may have to pay a bit more
depending on your card's interest rate). Others suggest
running a balance that you can pay off within one month.
Whatever you decide, make sure your plan is practical and
works for you. With a budget set in place, you'll spend
within your means and feel better about it, too.

Get the Most out of your Credit Card

As you use a credit card for holiday shopping, you'll want
to make sure you get as many benefits as possible from it.
Check for rewards or cash back offers; these can add up
fast over the holiday season. If you plan to carry a
balance for a few months, use a credit card that has a low
interest rate. This will help you save on interest expense
in the coming year.

Many stores offer discounts, such as 10% off, if you sign
up for one of their cards. Before adding another card to
your wallet, however, consider the long-term effects.
Signing up for too many credit cards can affect your credit
score. It may appear to lenders that you are short on funds
or that you are overstretching your credit. Also, many
store credit cards come with a high interest rate. If you
do not pay off the balance right away, you could get caught
paying much more than you initially saved. Your best option
might be to stick with the Visa or MasterCard that's
already in your wallet.

Stay Safe Online

Shopping online for Christmas is convenient and fast. But
before you electronically swipe your card, make sure the
site is safe. A padlock on the screen indicates the page is
secure. You can also check for "https" at the beginning of
the web address - the "s" show that the page is safe.
Finally, look at the total amount before you make the
purchase. Shipping costs and other charges may be added on
to the original price.

By following these steps, you can take charge of your
credit cards this year. You'll make smart, planned
purchases. And you'll avoid high credit card debts during
the upcoming year.

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To Apply For A Credit Card Today click the following link:
http://www.credit-card-surplus.com . Ed Vegliante runs
http://www.credit-card-surplus.com , a directory helping
consumers to compare and apply for credit cards.