Lively family gatherings, sumptuous food, sparkly events, and piles of colorful presents: These are the images that suffuse the holiday season, but behind all that warmth and good cheer can be plenty of stress, especially when it comes to holiday-related finances.
Thankfully, there’s a way to get control of seasonal spending without giving everyone socks and toothbrushes this year. Cobalt CU’s personal loans can help you create a stronger financial management plan that helps you sail into the New Year feeling confident.
With a personal loan, you can skip the “I’ll just add it to the credit card” habit that’s sure to end in regret as you open your statement come January. When you take out a loan for a specific amount at a set rate, it’s easier to fit holiday spending into your financial plan.
Flexible use: Although loan funds can be used to purchase holiday items or control expenses, you might consider using the money to consolidate debt, especially on high-interest credit cards. Consider it a gift to yourself to knock out those higher interest rates.
Fixed term: One of the biggest benefits of a personal loan is the fixed term, which means that your percentage rate stays the same for the life of the loan. That gives you a better handle on expenses, and you avoid the kind of rate fluctuations seen with many credit cards. Often, credit cards will offer a low upfront, promotional rate that expires just a few months after you sign up and then switches to a much higher rate on unpaid balances. This means it may take much longer – and cost more – to pay off your holiday purchases.