The holiday season is just around the corner, and while it's a time filled with joy, celebrations, and giving, it can also bring stress if you're not prepared financially. But don't worry—ALLIANCE Credit Union is here to help you make smart financial choices to ensure your holiday spending doesn't derail your budget. With a few simple strategies and tools like savings accounts and budgeting tips, you can enjoy the holidays without feeling the pinch in the new year.

1. Create a Holiday Budget

Creating a holiday budget is one of the best ways to prevent overspending. Start by making a list of all the expenses you expect during the season—gifts, decorations, travel, meals, and entertainment. Once you have a list, assign a spending limit to each category. Your budget should be realistic but mindful of your financial goals.

2. Avoid the Holiday Debt Trap

The season's excitement can sometimes lead to unplanned expenses or swiping your credit card too often. However, it's crucial to avoid starting the new year with holiday debt. If you plan to use credit cards for purchases, use low-interest options or take advantage of member-exclusive offers.

ALLIANCE offers credit cards with competitive rates that can help keep your finances under control. Additionally, paying off balances in full each month ensures you don't get hit with interest charges that can add up quickly.

3. Use ALLIANCE Savings Accounts to Plan Ahead

Rather than scrambling to cover all your holiday expenses in November and December, consider planning ahead with one of ALLIANCE's savings accounts. Each offers unique benefits designed to help you save for specific needs:

  • Certificates: If you're looking for a long-term saving option, consider opening an ALLIANCE Certificate account. With fixed interest rates and various term options, it's a great way to grow your savings for the holidays next year or for larger purchases in the future.
  • iSave: The iSave account is perfect for members looking to save consistently. Every time a purchase is made with your Visa Debit Card, the amount is rounded to the nearest dollar, and the extra change is moved to your ALLIANCE savings account. 
  • Liquid Asset Account: If you prefer more flexible access to your funds while still earning competitive interest, ALLIANCE's Liquid Asset Account is an excellent choice. You can dip into this account six times a month, making it a great option for anyone wanting to earn a higher rate on their money while maintaining access to it.

4. Take Advantage of Budgeting Apps

Technology can be your best friend when sticking to your budget. Many free or low-cost budgeting apps are available that help you track your expenses and set savings goals. Apps like these can send alerts when you're nearing your spending limit or offer insights on where to cut back.

5. Shop Smart and Look for Deals

Before you hit the stores, make a list of who you're buying for and what you'd like to spend. Do some research to find the best deals, take advantage of holiday sales, and start shopping early to avoid the last-minute rush, which often leads to impulse buying.

6. Plan for the Future While Enjoying the Present

As you focus on staying on budget this holiday season, remember to consider your long-term financial health. It's always a good idea to keep contributing to your savings and investments, even during high-spending months. ALLIANCE's wide range of savings accounts ensures you can find the perfect fit for short-term holiday spending and long-term financial planning.