WTOC, Savannah, Georgia, news, weather and sports | Credit card tips for holiday shoppers
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By Jennifer Serda - email | bio
SAVANNAH, GA (WTOC/WMC) - The holiday shopping season is here but the question is should you pay cash or credit? We found some credit card no-no's consumers should know before hitting the stores.
During the holidays, one in four shoppers will pay in cash according to the National Retail Federation, which may be a good idea when it comes to shopping at discount stores.
"The fact that you're suddenly shopping at cheaper stores implies you're going to have difficulty paying your bills," said consumer finance expert Robert Manning.
Manning says because of the recession, card backers are pouring over your charges, looking for a change or something strange that screams "trouble" for paying your bill.
"The consumers are starting to recognize that and we will probably see a shift to debit cards or to more cash," said Dave Mueller with Fred's Discount Stores.
Which is why cash will be king for the holidays, but not all agree card-backers are watching what you're charging this holiday season.
"The only thing they're watching is that you stay in the middle of the road," said Charles Dempsey with the Memphis Consumer Credit Education Association. "That you're not exceeding your limits, that you're not past due, that you're staying within the limitations of what the card says."
Experts say try to limit your credit card use to online purchases and big ticket items but if you do use your credit card this holiday shopping season, be sure to pay on time to avoid any extra penalties.
Nearly 43 percent of shoppers plan to use debit cards while credit card usage is expected to drop about ten percent this holiday season.
Other credit card no-no's according to Manning include:
For more shopping tips, visit http://www.ftc.gov/credit or http://www.consumerreports.org/.
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