School summer holidays are arguably one of the most expensive times of the year where spending is concerned, and if you’ve gone a little overboard. Your credit card spending and are panicking about how to cope, here are some tips to help you:
1. Get sensible – clear your balance
If you can pay everything off, you should. Paying interest on credit cards when you have the money in your savings account is bad economy. If the money is sitting in an account somewhere, use it to pay off your balance and start saving again.
2. A lesson learned
Without sounding like a school teacher, next time you holiday, it’s a good idea to spend cash instead of credit. Start saving now towards your summer holidays, just like you may do with Christmas, and you’ll have cash ready to spend as you wish, and without the guilt. Set up a standing order from your current account every month to your savings account, and you’ll have a lump sum for you and the family to enjoy.
3. Balance transfer
If you can’t clear the balance, you could look into transferring your balance onto an interest free credit card, and then make all your best efforts to pay the money off during the length of the interest free term so you don’t start to pay interest.
4. Check your statements regularly
If you think your balance is higher than you expected, go through it with a fine tooth comb to make sure it hasn’t been used fraudulently. If you see anything unusual contact your credit card provider and get it looked into.