Careful Planning Helps Avoid Holiday Spending Hangovers

FREEHOLD, NJ (November 30, 2006) – Holidays are a time of joy and merriment. However, it’s hard to be merry when you’re worrying about your rapidly growing credit card statement. On Black Friday 2006 alone, consumers spent nearly $9 billion, with more of them hitting the stores over the next few weeks.

“We are truly urging consumers – especially those that have worked to pay down their credit card debts over the past year, not to overspend this holiday season,” says Diane Gray, Director of Education at Novadebt, a non-profit, social service agency that specializes in financial education and credit counseling. “The root of most post-holiday debt is a lack of planning, and while Black Friday has passed us, it is still not too late for people to avoid making financial pitfalls before the end of December.”

With the following tips from Novadebt, consumers can take proactive steps to stop holiday debt before it starts:

•Decide your spending limit in
advance and stick to it. Make your
holiday gift list early and set a
specific amount of how much you can
spend on each gift to remain within
your budget.

•Purchase gifts with cash or debit
cards rather than on credit cards to
avoid future bills. According to
the National Retail Federation,
consumers are using their debit
cards more versus credit cards this
holiday season. use has increased If
you do use credit for some gifts,
make concrete plans to pay off gift
purchases by February, before tax
time hits.

•Avoid last minute shopping. Decide
early what you want to get each
person on your list. Taking time
to shop for that item can eliminate
a desperate, last minute, and often
expensive choice.

•Once your list is done, stop
shopping. When every loved one on
your list has that special gift, and
your holiday spending limit is
reached… stop shopping. With
holiday cheer still in stores, this
is often easier said than done for
many consumers.

•Put your plan in action. If you
feel you have already overspent your
holiday season, and see it as a
continuing trend in your life, take
the time now to set a clear
financial plan with goals for next
year while the season of giving is
still fresh in your mind. Having a
plan in place ahead of next year’s
holiday season will help avoid
costly pitfalls, and allow you to
buy gifts ahead of schedule and
avoid the crowds.

By following these steps, you can take charge of your financial spending and avoid the seasonal stress that gets in the way of enjoying what the holidays are really about: spending quality time with friends and family.

Since its inception in 1991, Novadebt helped over 250,000 people to regain their
financial footing and repay approximately $340 million to their creditors. Novadebt
maintains an average active caseload of approximately 15,000 consumers at any given time. A non-profit, social service agency licensed and bonded by the New Jersey Department of Banking, Novadebt is a member of the Association of Independent Consumer Credit Counseling Agencies (AICCCA) and the Better Business Bureau. The United States Government recognizes Novadebt as a charitable organization under 501© (3) of the IRS Code. All of the agency’s counselors are certified by the Institute of Personal Finance.

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Contact:
Monica Talmud
R&J Public Relations
Work: 908-722-5757
Cell: 908-635-1295