Monthly Archives: November 2013

Tips for making good borrowing decisions during the holiday

With stressful days people experience throughout the year, they want to relieve those ill feelings, mental indisposition and stress during the holiday season, especially during Black Friday, the day after Thanksgiving Day, which marks the start of the Christmas shopping season. However, the season comes with many financial demands. It is the time families want to buy their precious gifts to their loved. It is also the families want to take trips to some of the tranquil tourist spots to recreate their body and mind. In addition, during the holiday season, there are booming promotional opportunities in stores like fashion designers.

These opportunities require money and the regular income may not be able to sustain such costs. Borrowing during the holiday season has become a tradition for many families and this is because they are able to get cash, which they can spread out through the period and remain financially capable of meeting their obligations.

In this era of increased consumerism, coupled with long working hours and stressful life, the end year holiday season is a relieve for many families to maintain sanity in their emotional well being. They opt to relax in tourists spots and take adventure trips as part of their recreational activities but this escape plunges many families into financial pitfalls.

Without proper financial planning, families are likely to face hard times in the beginning of a new year. In order to create a balance in their financial spending, holiday borrowing is viewed as a major boost to the financial constraints faced by families. Although studies show that many under banked Americans are reluctant to spend a lot in holiday shopping in 2012, the bottom line is that they will part with more money during the season.

According to a 2012 survey released by Think Finance, it showed that under banked consumers of all income levels were cautious on their spending habits because of the strain they had in their wallets owing to the tough time they went through since the economic crunch left their financial resources drained.

Many of them are recovering from these pitfalls and do not wish to spend much in holidays. The report indicated that many of these consumers are planning to spend conservatively on gifts in the year 2012. The study involved more than 1000 Americans who supplemented their bank accounts with other financial services like prepaid debit cards and payday loans.

Even with mainstream lending institutions shying away from offering lending services to people with bad credit, there are street financial institutions willing to offer holiday lending options for consumers still struggling with the menace of bad credit. The end result is that people will be able to borrow despite their credit score status and thus able to indulge in holiday spending including buying gifts to their loved ones, indulging in beach side recreation activities or taking adventure trips to their dream destination.

Borrowers are also able to take advantage of the great promotional deals, which come along with the holiday season. Holiday loans can help relieve financial stress, which faces many families during the celebration season. During the holiday season, borrowers need to search for the best lending options available in the market in order to avoid getting into financial traps thereafter the season.