Don’t let mounting debt dampen the holiday spirit. By keeping a lid on spending, the season can be fun, festive and light on the pocket.
Here are eight easy ways to control holiday spending.
1. Ditch the credit card
Instead of maxing out your credit card, pay for purchases in cash. That way, you can stick to your seasonal budget and avoid buying items on impulse.
2. Set a gift limit
Make a pact with family and friends to spend an agreed amount on each gift. Limit the amount to how much everyone can afford.
If it has been an especially difficult year financially, a system like Secret Santa works well. Everyone buys just one gift for a nominated person. The system ensures each person gets something special on the day.
3. Expect the unexpected
Avoid spending money you don’t have. There’s no way of knowing if the new year will be any better than the past 24 months, so plan for a worse-case scenario. You’ll be better placed to handle any challenges.
4. Buy local
Local is lekker. Where possible, make an effort to buy local merchandise. It boosts the economy and prices are generally more affordable. This applies to bubbly, brew and single malts.
5. Staycation over vacation
A staycation can be as much fun as a holiday in an expensive, exotic destination. Rather than spending money on accommodation, flights and car rental, explore your own city.
There are plenty of low-cost activities and events, suitable for the entire family, in cities like:
6. Redeem rewards, points and cashback
Consider using accumulated rewards, points and cashback to help fund the festive season. These days, it’s possible to redeem points for air tickets, petrol, holiday rentals and retail goodies.
It may not cover all the holiday expenses, but it means getting something back on the year’s purchases.
7. Get creative
Homemade gifts and decorations are often more cherished and appreciated than store-bought items. Personally produced items are gifts from the heart, whether it’s preserves, baked goods, arts or crafts.
8. Be charitable
Get-togethers with family and friends don’t need to be costly and lavish occasions. Organise a charitable outing or gathering, where everyone contributes their time. It’s a wonderful way to bond with family and give back at the same time.
Visit sick children in hospital, collect and distribute clothing at a homeless shelter or build kennels for dogs in impoverished areas.
Using an asset to unlock funds, with Lamna
It’s not always easy to control holiday spending. When funds are needed, one straightforward alternative is to use a high-value asset to unlock short-term financing.
At Lamna, we offer fast, discreet loans against the value of a wide range of assets, from luxury watches and jewellery to vehicles or artwork. For more information, contact us on 086 111 2866 or simply complete and submit our online application form.
ILLUSTRATIVE EXAMPLE
Client borrows R10,000 for 90 days.
Loan Amount | Repayment Period | Monthly Interest | Total Cost of Loan | Initiation Fee | Monthly Fee | APR |
|---|---|---|---|---|---|---|
R10 000 | 3 months | R500.00 | R2 914.50 | R1 207.50 | R569.00 | 60% |
Fixed rates range from 36% to 60% APR and payment options range from minimum 3 to maximum 24 months. Apart from the initiation and monthly fees shown below, the only additional fee is credit life insurance if the borrower does not have this already.