It’s almost Black Friday 2018, which will start the largest shopping season of the year. And, the average person will spend around $900 on gifts this holiday season.
That amount doesn’t even account for other holiday spending, such as travel costs, food, get togethers, decorations, and more. And while the holidays are a great time to spend with your family and friends, all of that unplanned spending can easily add debt if you aren’t prepared.
In fact, according to a survey done by MagnifyMoney, American consumers took on an average $1,000 worth of debt in 2017 holiday spending, and that number has grown in the past few years.
Putting your holiday spending on a credit card is a major problem because of the interest and finance charges you will rack up if you can’t pay your credit card off when the bill comes. That will hurt your credit score, your credit history, your debt to income ratio, and more. [Read more…]