Before the holidays, GetItOnline Northern KZN published this DebtSafe article about spending and saving money in December. We asked consumers if their budgets are updated and if they remembered to leave enough money aside for the first few weeks in the New Year…
January is normally a difficult month when it comes to finances, because people don’t check their budgets regularly just to end up having nothing or almost nothing left to pay for children’s school necessities as well as normal living expenses in the first weeks of a brand new year!
Wikus Olivier, Debt Management Expert at DebtSafe, says according to a survey done by the Company in early 2015, 51% of the participants couldn’t make their minimum debt repayments in the first month of the year. He warns consumers to be careful not to overspend in December, because it has a snowball effect… in February, a person then has to make a double payment or apply for more credit or take out a loan. This scenario puts consumers in more debt.
“Stick to your budget and work extra holiday expenses into your planning. Try to minimize entertaining, going to the movies or getting take aways. Consider less expensive ways of entertaining and giving fewer gifts,” he says.