How To Manage Your Credit Card Spending

how to manage credit card spending

‘Tis the season for family, gratitude, celebration, and spending. Now that the season is here, there’s the need to be financially responsible when it comes to gift-giving. Like many, gift giving most likely brings you a tremendous amount of joy (and maybe a pinch of stress). 

The good news is, you don’t need to let your shopping consume your financial and emotional health this year. Before you begin perusing the internet or hitting up the mall to make your purchases, here are some tips on how to manage your credit card spending this season. 

Create A Budget And Stick To It 

Stated by a credit repair expert, you need to build a budget and stick with it strictly. Dishing out a large sum of money requires some thoughtful planning and budgeting. Before swiping your credit card and amassing a collection of gifts, invest time in creating a spreadsheet that details who you need to purchase presents for, designating a maximum budget for each individual. 

With today’s social pressures to give top-of-the-line gifts, it’s easy to spend much more money than you originally intended. Being fiscally responsible requires you to take a look at your bank account and decide how much money you are able to spend in total. Once you’re clear on available funds, you can plan on how much to allocate to each person and even do a little brainstorming on the types of gifts that will fit within that budget. 

There are several apps, like Santa’s Bag, that can help you with the process. For example, you can keep a running list of your gift recipients, what you intend to purchase for each, and the dollar amount you’ve rationed out per person. Staying organized is key - and thankfully, there’s technology available to help you along the way. 

Sniff Out The Best Deals 

Once you’ve established a budget, you can scour the internet and apps in search of the best deals on the market. This is the most effective way to maximize your available budget and shop strategically. 

RetailMeNot is just one of the many resources you have at your disposal. Coupons, discounts, and major deals are what you should be hunting down. Already out shopping? Don’t worry, there’s an app for that. ShopSavvy features an incredibly useful barcode scanner, which you can use to compare prices with nearby stores and ensure you’re grabbing the best deal out there. 

Use Your Points 

If you’re a savvy shopper, you’ve probably racked up some pretty impressive reward points on your credit card. Unless you’ve already splurged on travel upgrades or redeemed your points for a credit on your monthly statement, then you should consider leveraging these points for your purchases. 

Consider Using Cash Back Cards 

So, maybe you don’t have an impressive stash of points to redeem. Why not make the most of your spending by utilizing cash back cards? The benefit of using a cash back card is you’re reducing the actual amount you’re paying for your purchases. Every percentage counts when you’re accumulating bills during the season. Cash back cards can be paired with apps, such as Rakuten, which offer additional cash back opportunities when you shop through their platform from select retailers. 

Credit Card Conclusion

Managing your credit card spending is all about smart shopping and planning. By using these tips, your budget will go further and you won’t fall into the trap of overspending.

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