The Christmas season is full of expenses. You may spend your money (or use credit cards) on gifts, decorations, travel and higher heating bills. Your wallet may suffer, especially if you decide to splurge on presents for the people you love or decorations to be the most wonderful house on the block. This spike in expenses can cause trouble for your finances.
If you use your credit card too much, you will face hefty bills soon. You may have already been in financial troubles before the holidays only for it to get worse. Here is some information to help you to understand where you are and what you should do next.
Holiday spending statistics
The winter holiday season is the most impactful economic stimulus for countries around the world. The average gift expenditure for Americans is $906. Astonishingly, the average retail sales during the Christmas season top out at over $3 trillion. These numbers about the holiday shopping season can help you realize you are not the only one struggling. The holiday rush may leave you wondering where your financial stability is going and if you will ever get it back.
What to do about holiday debt
If you find yourself in a mountain of debt after the New Year rolls around, you may have no idea what to do. You may face hefty credit card payments with high interest rates. Depending on how much debt you have, it may take several months or years to pay it off. This may not be a feasible option. Instead, you may want to consider bankruptcy. Despite the fact that declaring bankruptcy may sound scary or negative at first, it can provide you with the financial relief you need by wiping out your debt.
When the holidays leave you in financial devastation, discharging your debt through bankruptcy may be the best gift you can receive.