Posted: Nov 27, 2009 7:57 PM by Nicole Vandeputte
Updated: Nov 27, 2009 7:57 PM
With so many people shopping this Black Friday it's easy to forget that we are still in a recession. Nearly 7% of Coloradans are unemployed, and many more have had wages cut.
This is the season when a lot of people will go over their budget. At the Chapel Hills Mall on Friday Gabriella Lopez said, "We spent too much money today." The mad rush has begun to find the best presents at the best prices. Scott Irish says, "I got a laptop for $197."
You have just one month to find the perfect present for everyone on your list. It can be hard not to overspend. So, we spoke to a financial planner. Karl Frank is with the Financial Planning Association of Colorado. "Five years from now you have $4,000 in credit card debt from $1,000 in impulse buying today," says Frank.
Those credit card bills will go pretty high, pretty quick. Credit card rates will soon be going up. Frank's advice; use cash for your holiday shopping. "That can be a great mental and physical tool to avoid spending too much," he says.
Another place to be careful is online. A survey shows about half of shoppers plan to buy online this year and, it can be easy to overspend from your couch.