Each Spanish household expects to spend an average of 634 euros this Christmas, in line with last year and 14% more than before the pandemic broke out, in a context in which inflation is skyrocketing (6.6% in November). and in which the ghost of the recession threatens Europe. According to Deloitte, gifts will account for the largest part of the budget, with 270 euros, followed by food and drink (165 euros), entertainment and parties (140 euros).
“It is convenient to organize a budget before starting Christmas shopping. Only then will we know how much we should save for the January cost and not start 2023 in poor financial health”, point out the experts from the financial comparator HelpMyCash.
Inflation is to blame for Spaniards resorting to their savings to maintain consumption patterns. In this sense, from HelpMyCash they launch an alert message: "Beware of financing purchases and over-indebtedness".
Cash as a means of payment, which lost much relevance during the worst of the pandemic, has recovered positions after two years and is once again the favorite means of payment for Spanish consumers (48% will use it for some of their purchases). . However, credit cards continue to be a widely used payment method (by up to 36% of consumers) and financial comparator experts insist that they must be used properly and take into account different aspects time to fill the basket.
Many credit cards offer the opportunity to finance purchases at 0%. For example, they can be used to make a necessary purchase that is difficult to pay for all at once. If you need a new computer to work and it costs 600 euros, it could be paid in several months without interest. From the comparator they consider that it is a good option to avoid losing excessive liquidity, although they warn of the risk of not making good use of it and ending up buying things that are not needed due to the fact that there is no interest.
Today, there are credit cards such as WiZink Click, which allows you to pay for purchases of between 85 and 1,000 euros in three months without commissions or interest (0% APR). You can also defer payments in more months and return the money depending on your ability to pay, although in that case you will have to pay interest. In HelpMyCash they emphasize that the most advisable thing is that the financing with interest never exceeds six months.
However, credit cards are not only used to finance purchases, but can also benefit when refueling, for example. The price of gasoline and diesel has dropped after weeks of rising, but it is still at an exorbitant level.
Russia's invasion of Ukraine has catapulted the cost of fuel and we have even seen the barrier of two euros per liter broken.
With credit cards such as the ING card, known as the Gold card and which is linked to the bank's Payroll Account, it returns 3% at almost 1,000 Galp and Shell gas stations for each refueling and without a maximum limit. In addition, it gives access to the Shopping Naranja service with exclusive discounts in multiple establishments participating in the program.
"Before contracting a credit card, certain aspects must be evaluated that will make the difference between having a good product or a plastic that harms you and, above all, between having a cheap card or a very expensive one", they add from the financial comparator, highlighting that users must pay close attention to the conditions so that they are not surprised with possible penalties.
