Christmas is about more than just the presents — it’s about spending time with the people you love, and it shouldn’t cost you the earth. But trying to keep costs down can be difficult and overwhelming, so we’ve put together our top tips for Christmas on a budget.
Shopping for gifts
Don’t be persuaded to pay in installments
If you can afford to pay for items outright by cash, cheque or debit card, don’t be persuaded to take out extended credit agreements which can have extra costs. If you’re thinking about using Buy Now Pay Later or a credit agreement, check if there are interest charges or penalty costs for missed payments. Remember to make a note of when the repayments will be taken and make sure you have the money in your account to cover it.
Shopping second hand
Consider shopping second hand — you can find great toys, books and games in charity shops or online from websites like eBay or Vinted. Just make sure you check the seller reviews to ensure they’re reliable and look out for signs of any potential scams, and remember to check the item is safe and appropriate for the person you’re buying for. You could also regift any presents you’ve received that aren’t quite your cup of tea to someone else who will love them.
Make your own
Get creative and make your own gifts. Whether you have a passion for knitting, an eye for painting, or a taste for baking — making something homemade isn’t only thoughtful but can also save you money. You also don’t need to make everything from scratch, upcycling can be a thoughtful way to make a present your loved one will love. You could embroider a preloved bag or paint a picture frame.
Remember that Christmas isn’t just about the gifts, it’s the thought that matters — not the amount of money you’ve spent.
Know your rights
Being aware of your rights as a consumer can help reduce any stress and financial worry over the festive season. Check the shop or seller’s policy on returning unwanted gifts and if they offer gift receipts. Knowing if you can get a refund might help you decide if you want to buy the item. If something goes wrong with a purchase you can get support from our Consumer Service
Shopping for food
Lots of supermarkets offer deals in the lead up to Christmas. It’s worth researching what offers or discounts are available for people who have a loyalty card and deciding whether it’s worth signing up for one to get the best deals. You can also get some bargains by waiting until Christmas Eve when many items will be heavily discounted, however this does run the risk that you won’t be able to get everything you’re looking for.
If you can’t afford food, you might also be able to get help from a local foodbank. Call our foodbank voucher line on 0800 061 4808 Monday to Friday 10am to 12.30pm, or view a list of foodbanks available in Watford here.
Keeping warm
The temperature continues to drop as we get closer and closer to Christmas, so it’s important to make sure you’re keeping your home warm while keeping costs down. We have advice on how to save money heating your home.
Don’t let Christmas distract you from other financial responsibilities
Remember that rent, the mortgage, utility bills, food bills and any existing debts still have to be paid — and the consequences can be severe if they’re not.
Don’t let short-term fun distract you from long term goals
A little less spent on Christmas means more money to put aside into savings, or to save for something special.
Start planning and saving for next Christmas
Once Christmas is over, it’s worth looking at what you did well and what you didn’t. Start planning how you can do things differently next year. This might also be a good time to start saving for next Christmas, find out how a budget planner can help.
Blog written Lauren Feast, Citizens Advice
