Deck the halls with...Debt? Or good credit?
According to a recent survey conducted by myFICO, almost half of respondents charge an average of $100-$500 more than usual on their credit cards during the holidays, which for some takes up to six months or more to pay off.
When surveyed last year, nearly 40 percent of respondents said that credit card debt was their biggest financial worry going into 2010. In our latest survey, the same number said it continues to be their main concern for 2011. As many Americans still face financial challenges, protecting already fragile credit, making wise shopping decisions, and being aware of debt will be the key to enjoying a safe and happy holiday season.
Check out these findings from a recent FICO® survey polling holiday shoppers. The results might shock you!
- Tightening the holiday belt: 75 percent admit they will be changing holiday traditions this year due to the economy.
- Cash or Credit?: Only 15 percent said they use cash to pay for holiday shopping.
- Bah-hum-budget: More than half confessed they do nothing to prepare for the added bills during the holiday season.
- 30% off now can mean points taken off your credit score later: Although most people do not apply for in-store credit cards, almost 10 percent are lured into obtaining new retail cards with upfront discounts.