Poll: Will Vacation Spending Worsen Americans’ Debt

0

Amid supply chain fears and concerns about shipping delays, 58% say they plan to use a short-term loan to cover their vacation expenses this year.

Parents should remember that the joy of the holiday season is genuine, no matter how large the pile of gifts under the tree.

– Dr Luke Dean – CFP (r) Program Director, Utah Valley University

AUSTIN, TEXAS, USA, November 17, 2021 /EINPresswire.com/ – Spending, supply shortages and shipping delays are top fears among Americans as the 2021 holiday shopping season shifts into high gear.

But how worried are they? As Black Friday approaches, DebtHammer.org set out to learn. We surveyed over 750 Americans from October 27 to November 2. 5 to study how COVID-19, supply shortage fears and the overall economy are affecting spending plans compared to last year.

Although over 78% say they set aside savings for vacation expenses, 58% said they expected to take out a payday or other short-term loan to pay for their vacation.
celebrations, and 66% expect to use a “buy now, pay later” plan like Afterpay, Klarna, or Affirm to help spread their expenses.

More key findings
Hope is lacking: More than 80% of those surveyed fear supply chain shortages are preventing them from finding the items they want. Over 30% plan to buy fewer items, 23% will give homemade gifts, and 18% will offer items they already have on hand.

Will the post office deliver? Over 81% of Americans are concerned about higher shipping costs and longer shipping times during the holiday season. More than 85% of those surveyed are changing their usual shopping routine, including 23% who plan to carry gifts themselves and 21% who will give fewer gifts to friends and relatives out of town.

We buy earlier: The persistent pandemic and anticipated supply shortages are pushing consumers to buy earlier, a trend that had already started last year. In 2020, consumers spent $ 5.1 billion on Thanksgiving Day alone. Over 62% will have already made purchases by the time of Black Friday, and an additional 14% will start on that day.

Read the full report on: https://debthammer.org/holiday-spending-survey/

DebtHammer is an industry leader in the fight to get Americans out of debt.

Please email [email protected] for more information, or if you would like to schedule a phone or video call with DebtHammer CEO Jake Hill.

Feel free to embed any of the visuals included in the report on your website, or use or modify the raw files as needed. Full data sets are available on request.

Advice from the experts:

What advice would you give to anyone considering taking on debt due to vacation spending?

The holidays are a time when consumers’ emotions greatly shape their purchasing decisions and they think of the smiles on the faces of their family and friends when exchanging gifts. However, I would advise consumers to think about their credit card statements and checking account balance in January when considering shopping.
Dr. Larry Chiagouris – Professor of Marketing, Lubin School of Business, Pace University

Parents should remember that the joy of the holiday season is genuine, no matter how large the pile of gifts under the tree. Please don’t mortgage your family’s future financial stability and take on unsustainable high interest debt like credit card debt or payday loans to place some extra trinkets or pom poms. There are civic / community programs that can help make sure your needs are met during the holiday season.
Dr Luke Dean – CFP (r) Program Director, Utah Valley University

What steps can people take to help them stay on track with their budget this holiday season?

Keep entertaining with ease. Remember, it’s about spending time with people, not trying to impress or live up to them. Have a buying plan. Think about the gifts you want to give before you go in-store or online; this could reduce impulse buying or other potential overspending. Be careful and vigilant when shopping online. Again, have an idea of ​​what you want before you go to the online store. Resist those “bargain” pop-ups.
Dr James Philpot – Associate Professor of Finance and General Affairs, Missouri State University

Consider alternative gifts, like volunteering or handmade items, as a way to save money during the holiday season. Additionally, keep an eye on the price and consider using coupons and discount codes wherever possible.
Dr. Karen Xie – Associate Professor, Daniels College of Business, University of Denver

What’s the most important tip you have to help people start a savings plan for next year’s vacation season?

Setting up a direct deposit into a savings or money market account from a current account. You can start with any amount – $ 20, $ 25, $ 50 – whatever you’re comfortable with – and then adjust it (ideally upwards) accordingly.
Dr Neel Das – Professor, Walker College of Business, Appalachian State University

Pay yourself first! Place a percentage of your salary in a bank. When the next holiday season arrives, you might be able to build up a nice fund.
Dr. Ralph Lim – Associate Professor of Finance, Jack Welch College of Business,
University of the Sacred Heart

Rebecca stumpf
DebtHammer.org
+1 214-542-2502
write us here

Share.

Comments are closed.