Make £150 in time For christmas
Ho, ho, oh no. Christmas is coming. sorry for raising the spectre of the c-word this early. i growl at jingle bells in october as much as the next scrooge. yet this isn’t about early celebration, it’s about preparation. there are things to do now to reduce financial stresses for the big day.
every January, people tell me they’re skint (it’s debt counsellors’ biggest month). yet christmas arrives on 25 December every year, it’s not an unexpected expenditure.
and for those who’ll instead be celebrating eid, chanukah or owt else this winter, don’t worry, in the main the same tips apply.
agree now with friends to ban unnecessary presents. many feel pressured to buy gifts for friends, family and colleagues. tit-for-tat giving means we end up with tat.
‘the joy of giving’ can be selfish as it obligates someone to buy back for you. the best gift can be releasing someone from this obligation. make a no-present pact, or at least cap the cost with a secret santa – if you want to give more, donate to charity. make £150 in time for Xmas by switching bank accounts. one big help is extra cash. you can get that by switching bank accounts to one willing to pay you for your custom. as it can take up to 60 days to process, do it now to have it in time for pre-christmas spending. For all of the pros and cons, see mse.me/ bankaccounts, but here are some very brief top picks.
the biggest bonus is at hsbc, which pays its new switchers £150, plus a further £50 after a year. yet you need to pay in £1,750 per month (earn over £26,100 and you can just have your salary paid in there – take the money out straight away if you like).
alternatively, First Direct gives switchers £100. and m&s Bank gives a £125 gift card and adds £5 per month for a year. and both require a smaller monthly pay-in of just £1,000 per month. all accounts require you to be a new customer, pass a credit check, use the seven-day switching service and switch two or more direct debits.
not saved for it? Do it now and split the cost by four. a typical family spends around £800 at christmas. For most that’s totally unsustainable from one month’s income.
so if you haven’t started saving, there’s still time. put £200 aside from each month’s income, and spread the cost. if you’re saying ‘i can’t afford that’, fair enough, i’m afraid you’ll need to go cold turkey.
Small sacrifices now can add up to big savings. For example, if you give up a £2 coffee every work day, you’ll save £110. i’m not saying you should give up everything, but make an active choice: would you prefer the cash at christmas or the daily treat? the demohohotivator.com tool works it all out for you.
Train-ing home for Christmas? get ready to book. train tickets are usually released 12 weeks before travel, and it’s the best time to ensure you get hold of cheap advance tickets.
Don’t try to plan the perfect Christmas. instead, first work out your budget and let your financial situation rule. then ask yourself, ‘What’s the best christmas i can have on the money i’ve got?’ it is much better to have a slightly less expensive christmas than a financially frantic new year.
Free £100 voucher in time for Christmas. new american express Rewards gold charge card customers get 20,000 bonus points for spending £2,000 on it in the first three months. these can then be swapped for £100 amazon/ m&s etc gift card (shops can change), or airline points.
Just put all your normal spending on it, and if that’s over £700 per month (not huge for a family), you’ll qualify. you also get two free airport lounge passes.
there’s a £140 annual fee after the first year, so diarise to cancel. also, as it’s a charge card it must be repaid in full every month. any missed repayments will cost £12 and mean a credit file black mark.