This year has presented unprecedented challenges for individual financial stability, from massive job loss to a devastated economy. However, surprisingly, credit card debt balances have been dropping this year. According to reports, the average amount of debt Americans are carrying right now is 14 percent lower than last year.
Whether you are part of that group of people or not, the coming weeks could be especially difficult to reign in credit card spending. This is due in part to some of the following unique circumstances.
- Pandemic-related relief suspensions: Payment waivers and canceled late fees provided some relief to borrowers in recent months. However, those payment holidays are coming to an end, if they haven’t already. If you have not worked out continued protection with your credit card company or transfer a balance, you will likely be back on a payment schedule with which you may not be able to keep up.
- Making up for a challenging year for the children: Children have faced hardship, just as their parents have. They’ve had to adjust to virtual learning and have not been able to play sports or spend time at friends’ houses. To make up for these challenges, parents can be tempted to overspend during the holiday season. However, there are numerous tips for avoiding this, including those in this list.
- Increased shopping online: Closed stores, stay-at-home orders and simple boredom can mean people are more likely to shop online. These virtual transactions can make it easier to spend money or buy things you weren’t planning to buy, and you can lose sight of just how much you are spending. Thus, it can be helpful to keep a log of your online spending. You can also make a shopping list and stick to it.
People are experiencing considerable stress and anxiety today; adding the financial burden of the holidays can prove to be too much. That said, if you do wind up charging more than you planned or wanted to, there are tools to help you recover and seek relief from debt. To discuss these options, you can call 814-833-2222 to talk to an attorney at The Quinn Law Firm.