How to deal with Christmas expenses: Credit card or personal loan?
The month of December not only brings the expenses of the dinner of 24 at night, but also the secret friends or exchange of gifts in the office and with the group of friends, gifts for the family and even, what is necessary to have a good time in the new year, either staying in the city or going on a trip.
Given all these expenses and without any extra income that appears, many are already starting to evaluate the wallet and wondering if the best option will be to burst the card or be encouraged to apply for a personal loan.
The Option that suits you will depend on your lifestyle
The first thing to keep in mind is that the option that suits you will depend on your lifestyle, but ideally, it is the cheapest of all. If you have a credit card that you use regularly, which allows you to accumulate points, get discounts at a certain store and other benefits, you could use your plastic to cover these expenses. But you should be clear about these conditions: You should be able to apply discounts to the products you will buy and your purchases should not be funded in more than three installments.
You will not only make purchases but also need cash
Now, if the case is that you will not only make purchases but also need cash, perhaps using the card would not be so convenient, since the fees and commissions for the withdrawal of cash, along with the interest for the purchases you will make, would end up making the bigger expense. The option in this situation would be to apply for a personal loan, since interest rates are relatively lower. Ideally, first compare the options and see which are the entities that offer the most competitive rates, less requirements and more benefits.
In both cases, prepare a budget establishing a maximum amount of expenses, so you will not have problems or start 2017 indebted to the neck.