Use Credit Cards Wisely During Holidays

Using credit cards is a way of life for most Americans. More than half of all families own one or more cards.

During the holidays, use of credit cards is always high. Consumers not only use cards for holiday purchases, but also for travel expenses including airline tickets, motels and food.

“For most people, holiday gifts are not regularly budgeted, so using plastic is convenient, and allows consumers a little more freedom to spend,” said Bernice B. Wilson, a resource management specialist with the Alabama Cooperative Extension System. “However, it also can lead to overspending and to financial difficulties when bills come in after the holiday season is over,” she said.

It’s always best to plan ahead and set a budget for gift-buying. When possible, set spending limits for gifts, travel, decorations and food, and stick to it. Keep all your receipts in case there is a problem with billing or if you need to return a gift.

Another precaution during the holidays is making sure you don’t lose your card or that it is not stolen. Make sure you get your card back from cashiers. When you do, put it immediately into a safe place in your wallet or purse. If you have a lot of credit cards, carry only those you expect to use when shopping or traveling. Leave other cards in your bank safe deposit box or in a safe place at home. Don’t leave cards in the glove compartment of the car or put them in luggage when traveling.

Keep a record of all credit cards and credit card numbers. Be prepared to act quickly to inform the issuer when a card is lost or stolen. The use of a credit card safety record can make fast action possible.

To make a credit card safety record, gather all the family’s credit cards. In a six-column chart include the name of the card, the card users, card account number, telephone number for reporting lost card, company address for reporting lost credit cards and expiration date.

Keep this record in a safe place in the home. After properly notifying the credit card issuer that the card has been lost or stolen, you are no longer responsible for any charges made against the card.

Source: Dr. Bernice B. Wilson, Extension Resource Management Specialist,

(256) 372-4969.