DICKSON CITY - When it comes to holiday shopping, Jason Pearson prefers cash.
"I don't want to use credit cards," the 32-year-old Scranton resident said recently while browsing baseball caps at the Viewmont Mall. "I gave that up."
Careful handling of money during the holidays is something that Terri Stocki, the certified education director at Consumer Credit Counseling Services of Northeastern Pennsylvania says is becoming more common. Calls to the center for help with holiday debt have been on the decline in recent years, she said.
In previous years, Ms. Stocki said calls came streaming in during this time of the year from people who spent a bit more than they should have with credit cards. She attributes the decline in calls to changes in the credit card industry in the past several years.
"I think people today are more financially aware of where their money is going," Ms. Stocki said. "With changes in education and changes in the credit industry, it made people more aware of the cost of credit."
One of the changes under the Credit Card Act of 2009 states that the front page of credit card bills must state the true cost of making minimum monthly payments. Ms. Stocki said that by making the $20 or $40 monthly payment, card holders will pay far more over time in interest rather than paying it off in larger increments.
When it comes to paying off credit card debt, she recommends paying it off as quickly as possible.
But even though the calls for holiday debt have dropped off in recent years, it still does happen. For those who call, she emphasizes discipline and self control when it comes to spending.
"They get into the holiday spirit of shopping, they don't think ahead of how much they're spending on the way," Ms. Stocki said.
That's a technique that Avoca resident Brett Vallet employs to deal with going over budget during the holidays. Browsing through Macy's in the Viewmont Mall last weekend, he said that he spends a few more nights of the month eating at home and cuts down on buying some movies to free up some extra cash.
"Ask yourself, 'Do you really, really need this?' " Mr. Vallet, 48, said.
Contact the writer: jkohut@timesshamrock.com, @jkohutTT on TwitterAfter the holidays
The Consumer Credit Counseling Service of Northeaster Pennsylvania lists several ways to deal with debt left over from the holidays:
n Assess your debt. Total all your receipts and review your bills to scan for potential identity theft.
n Pay your bills as soon as they arrive. Avoid getting hit with late fees. If it is unavoidable and you have good credit and payment history, call your creditors and try to negotiate your next payment.
n Pay more. By paying the minimum monthly payment, you will actually pay far more over time in interest.
n Use gift cards. By using gift cards that aren't store specific, you don't have to reach into your "stash of cash."
n Develop and stick to a budget. This helps to keep track of exactly how much you are spending on a week to week basis.
n Sell unwanted holiday gifts. If you don't need it, won't use it and can't figure out why someone gave it to you as a gift, sell it and turn it into quick money.
n Start saving now. By socking away a little money at a time over the course of a year for the holidays, the need to bring out the credit card in December is reduced.
n Seek help. Don't be afraid to call a debt management service.