Hi Taylor - I need help! My parents raised me to be terrified of credit cards and debt, to the point where I lived my first 28 years without a credit card. I just got my first one because my credit score needs some help, and I’m panicked about when to use it. Will it be safe for me to put some of my holiday shopping on the card, or should I hold off? - Garrett
Hey Garrett - I’m glad you’re asking for guidance. A lot of people dive into credit card spending without any planning at all and end up tanking their credit score for years to come. It doesn’t really matter if you start using your card for holiday expenses or wait until the new year—in either case, you need to plan ahead and be smart about your spending.
Budget for credit use. It’s often easier to stay mindful of spending when you’re using cash, because you can see exactly what’s leaving your wallet. With a credit card, that boundary isn’t always as clear, and it’s easy to spend more than planned. This is especially true during the holidays, when extra expenses seem to come from every direction. To stay on track, decide on a spending limit and stick with it. Shop early to take advantage of deals, and aim to pay off the balance in full before interest has a chance to build up.
Don’t punish your future self. We all slip into short-term choices that don’t serve us in the long run—whether it’s having that extra slice of pie or swiping the card one more time. A credit card is a valuable tool if you can show restraint. It sounds like you’ve been taught to avoid debt, so you’re starting in a good place. You just have to remember that credit cards allow you to spend money you don’t actually have, and that’s a very precarious position to be in. Every store in America will be begging you to buy now and pay later during the holiday rush—don’t give in to temptation.
Know your strengths and weaknesses. Some people have one card that’s always costing them interest and giving them trouble. Other people juggle five cards and never miss a payment. How you use credit cards comes down to your particular Money Personality—whether you’re a Saver, a Spender, a Risk Taker, or a Security Seeker. Around the holidays, our unique relationships with money really flare up, so you need to be extra aware of your good and bad habits.
Whether you start using the card now depends on your self-control, Garrett. If you know you tend to stick to a set budget, holiday shopping could be a way to start using your card responsibly. On the other hand, if you feel like the holiday rush might make it harder to stay on track, waiting until things are less hectic could be a better fit. Thanks for the question!
