Many of us are under the false belief that credit cards are a form of extra money! We need to understand that it is still going to be shelled out from your next month’s pay cheque. If you think you can get away with paying only minimum amount due, don’t forget that your interest for the pending debt will mount and multiply till you are caught off guard with an inflated bill, which you might struggle to repay.
With the new year daze slowly abating from our senses, February brings a fresh onslaught of feelings by way of romance! Yes, we are talking about Valentine’s day and cupid magic of course! As with all things emotional its easy to throw caution to the winds and just indulge!
Well, this Valentine’s Day think hard about your choices be it the location of your date or the gifts you want to buy! Most of us are fully aware that Valentine’s day, Father’s day, Mother’s day, Woman’s day etc. are just a marketing gimmick adopted by card companies and gift shops to make a grand sale on these days! Do we need an exclusive day to celebrate love? Of course we don’t! Instead most of us go overboard and indulge in luxuries we otherwise wouldn’t, getting carried away with the moment thanks to clever marketing strategies, which sweep us off our feet! Nothing will stop us! It does not matter that we are in the middle of the month and down to the last batch of thousands of our pay packet, we will still whip out the magic “emergency” option, we call the credit card to buy with free abandon – be it food at an expensive diner or a slew of gifts that is guaranteed to make your partner float on cloud nine!
Now that we have managed to get your attention a wee bit, let’s discuss more on how to make this day a non-disaster in personal finance terms!
- Try a simple heart warming, delicious home cooked meal over candle light on your terrace under the moon and stars! This is far more romantic than any other ambience offered by an expensive diner. It sure would be worth the effort! The way to a man’s heart is through his stomach, they say! Well, man or woman, it works both ways, these days.
- A handmade card can express more than just your creativity!
- If you must buy a expensive gift – make it worthwhile like an investment in a carefully chosen equity fund or some gold jewellery perhaps!
- Choose your gift with care – do not make it a habit to buy several things in a frame of mind, where you are unable to decide.
- Don’t use your credit card. Even if you do stick to a very stringent budget.
On using credit cards
Many of us are under the false belief that it is a form of extra money! We need to understand that it is still going to be shelled out from your next month’s pay cheque. If you think you can get away with paying only minimum amount due, don’t forget that your interest for the pending debt will mount and multiply till you are caught off guard with an inflated bill, which you might struggle to repay. Credit card is meant for emergencies and should be strictly utilized only in such instances in the case of individuals who are lax with maintaining a monthly budget. For those very careful spenders credit cards could serve be a way to keep track of your monthly grocery bills as a habit. In any case caution needs to be exercised when using your credit card to make payments. If used judiciously it can aid your credit score but can land you in a quandary if you slip up with your payments!
So this Valentine’s day surprise your loved one with your money sense! It will be appreciated more than you can imagine! Go ahead, try it!