Five steps to get out of January blues and handle Christmas debt

We’ve just passed ‘Blue Monday’ which is described as the most depressing day of the year. Not only is January a bleak, cold and grey month but for plenty of people you’ve not seen a payday since before Christmas and finances are starting to look worrying. Millions of people let overdrafts or credit cards pick up the strain of Christmas spending which can cause a lot of stress when trying to get a handle on it. There are some steps you can take to get out of those January blues and handle your Christmas spending debt.

Look at for a 0% balance transfer deal.
We all know how much interest lenders like to smack onto purchases and if you went a little overboard at Christmas your interest alone could be hundreds of pounds. By transferring all of your balances to one provider you may be able to get a better rate. There are plenty of options on the credit card market where you can get o% interest for anything from a few months to a few years. By transferring all your debt, you will have everything in one place and put a hold on the interest you may be being charged. With a lot of competition between providers and a high demand you’re bound to find a great deal.

Look for an interest free overdraft
Some banks will offer you an interest free overdraft when you open a new account, perhaps for a limited time or perhaps up to a limited amount. You could save yourself paying interest fee’s if you open an account and use your overdraft to pay off credit cards, store cards and other forms of debt which you may have racked in over the Christmas period.
If you can’t find a o% one just shop around for a better deal than what you’re currently paying, less interest means less pay-out for you.

Pay something off each debt every month
If you have credit out in multiple places such as both a credit card and store cards, ensure that you pay off at least the minimum monthly payment each month across them all. Don’t be tempted to start paying off one while ignoring the other until you’re done. The likelihood is you’ll be charged late payment fees if you do not pay anything for a month or two. Once you have paid the minimum balance off if you have additional money pay this against the debt which will incur the most interest to minimize your pay-outs.

Think about re-mortgaging your property
Generally, mortgage interest rates are cheaper than the APR’s on Credit Cards and you might find by re-mortgaging you can reduce your monthly payments and have some spare cash to use towards paying off your debts from Christmas. Alternatively, some mortgages will allow you to add debt to it so you may be able to add your credit card debt to your mortgage and end up just paying a few pounds extra a month for it.

Start saving for next Christmas
It might seem a long time away but once you have got a handle on this year’s debt you should start thinking about saving for next Christmas to ensure the same thing doesn’t happen again. A lot of places such as supermarkets allow you to purchase stamps or gift cards through the year and give you a bonus nearer Christmas. For example, if you saved £100 you may get 10% back when you come to spend them. By putting a little money aside each month you’ll have a great starting place to pay-out next December.

If you would like to borrow a JL Money Short term loan at the lowest rates in the sub sector you can learn more by calling to speak to one of our friendly advisors or Apply online today. Our short terms are currently at the lowest rates in the sub sector and you could have cash in the bank within 2 hours of approval.

If you are expecting money in the near future, a short term loan could help tide you over whilst you sort out your finances.