If you are in the middle of planning for the festive period, it is likely that you will be spending a lot of money at the moment. While people want to enjoy themselves during this time of year, there is a need for people to be sensible with their money and to plan ahead in the most appropriate and effective manner. If you find yourself spending too much money at this time of year, you may actually need to put a plan into place that will help you take control of your finances again in the near future. It is one thing enjoying a brilliant Christmas but you don’t want to hamper your chances of having a great 2016. There is only one hamper you should have in mind at this time of year and that is a full and festive Christmas hamper!

Step One – Lay The Foundations To Clear Debt

You can take the steps by week or you can move on as soon as you finish one of the steps. The first step is to plan properly and be fully aware of the situation you are experiencing. You need to know how much debt you have, how much money you owe and when the money has to be paid off.

Step Two – Get Real With Debt

It can be all too easy to tap into credit cards to buy Christmas presents for people but this will be a bad decision in the long run if you are not able to pay off before the interest starts to add up. You should maybe look into transferring your balances but if this isn’t an option, you need to make clearing off credit card debt one of your top priorities.

Step Three – Cut Back On Outgoings

At this step, you should look to review your expenditure and see what you can cut back on. It is likely that there will be a number of things you can remove from your monthly expenditure, and this is the ideal time to do so. It may be difficult and it may leave you feeling unhappy or uncomfortable but if you take the time and effort to reduce your outgoings, you will start to have a positive impact on your finances.

Step Four – Focus On Mortgage Or Rent

Is there any way in which you can lower what you pay each month? If you have a mortgage, can you switch to a more attractive mortgage? If you rent, can you find cheaper accommodation?

Taking control of your finances is difficult but there are many ways in which you can think about clearing your Christmas debt. A guarantor loan is one way to consolidate debt and take control of your finances