10 Tips to Avoid Debt on Black Friday and Cyber Monday - 2024
Black Friday and Cyber Monday are major shopping events that offer great deals. Many people save up and make plans to shop on these days for holiday gifts and all-year supplies. But there is also a large risk of overspending when you see so many opportunities to save. If you want to enjoy Black Friday and Cyber Monday this year without risking going into debt, we’re here to help. These ten tips can guide you toward great deals without damaging your finances.
Here is what you Need to Know
- 1. Set a Budget and Stick to It
First and foremost, set a budget. Determine how much you can afford to spend in advance. Take some time to do the math and determine the total amount you can safely spend on Black Friday and Cyber Monday deals before Thanksgiving Thursday comes around. Sticking to this budget can help you both prioritize your purchases for only the best deals and prevent overspending.
Tip: If gift shopping is on your list, divide your budget into how much you can spend on each person.
- 2. Make a Shopping List of Only Necessary Items
Make yourself a shopping list of priority items. Focus on items you need for the holidays or your household, not just whatever items have the biggest discounts. Sticking to your shopping list and set priorities can help you resist impulse buys.
- 3. Use Cash or Debit Instead of Credit
Try not to rely on your credit cards. Pay in cash or debt so that you have an absolute amount that you are able to spend. High-interest charges on credit cards can lead not just to debt, but debt that is difficult to pay off. Paying only with money you currently have can help you prevent debt accumulating in the first place.
- 4. Compare Prices Before Shopping
Check prices before sale days. Brands often claim they are dropping prices, but the “deals” aren’t always what they seem. Research prices beforehand and compare them to the Black Friday / Cyber Monday prices so you know if you’re getting a real deal. You can also make use of helpful price comparison apps and websites.
- 5. Avoid Buy Now, Pay Later (BNPL) Offers
Absolutely avoid Buy Now, Pay Later (BNPL) schemes. These services often come with big fees or interest payments and are a direct route to holiday debt. If you’re looking for ways to shop on a tight budget, consider payment plans (with low interest rates) instead.
- 6. Don't Fall for "FOMO" or Limited-Time Offers
FOMO or Fear of Missing Out is often the cause of Black Friday/Cyber Monday debt. Retailers concoct limited-time offers that make it feel like you’ll never get another chance for the deal. In reality, sales will come again. There are several seasonal sales a year, and you might even find the product discounted at a random time later on.
- 7. Set Purchase Alerts for Specific Items
If there are specific items you want to by, some apps and retailers will notify you when these products reach a certain “worth it” level of discount. Setting up alerts can help you avoid excessive browing (peace of mind, knowing you ‘ll catch that deal) and impulsive buys that come from deal-hunting for too long.
- 8. Leave Your Credit Card at Home
Don’t give yourself the option of buying on your credit card. Leave your credit card in your desk drawer before you head to the store, or don’t let yourself use it when shopping online. Bringing only cash or using just your debit card can curb the temptation to overspend. This simple tip can make a big difference to help you stay within your budget.
- 9. Plan for the Holidays Ahead of Time
Last-minute holiday spending can be pricy. Planning ahead can reduce the need for last-minute purchases. Build your budget for holiday gifts and expenses ahead of big sale events so you don’t wind up buying non-sale items at the last minute. Set a gift budget for each person on your list and another budget for holiday supplies like lights and tableware.
- 10. Remind Yourself of Financial Goals
Lastly, repeat your financial goals to yourself when you shop. You will feel much better about leaving a few tempting deals behind when you remember that getting the items on your list at a good price – without going into debt – is the ultimate win. Staying debt-free through the holidays will help you start the new year financially strong and enjoy your holidays stress-free. If you also got a few good deals, then you’ve fully accomplished your mission for Black Friday/Cyber Monday shopping.
Enjoy A Debt-Free Holiday Celebration
When your finances make it through Black Friday/Cyber Monday intact, you can relax and enjoy the rest of the holiday season. Congratulate yourself on the few important deals you found and priority items crossed off your list, then kick back and enjoy all the delicious food, good company, and holiday cheer with a bright new year ahead of you.
Enjoy shopping responsibly for the upcoming retail holidays so you can enjoy the rest of the holidays in good financial health. Contact DebtBlue if you have other financial or debt concerns to start the new year on the right foot.