Festive spending drills holes in consumers’ pockets

December 2, 2011 | Filed underPopular News | Posted by editor
Stretched to  limit … Consumers have been cautioned to tighten their belts
The festive season means different things to different people – for some people it means more time to spend with family and friends; while for others it is an excuse to over-indulge.
These activities have a common denominator – money; and the spending epidemic is especially rife during the festive season.
According to a recent survey by Deloitte, consumers are however keeping a close guard on their wallets.
“South Africans are approaching the 2011 holiday season with caution. Our research has shown that 62% of local shoppers believe that the South African economy is in recession.”
The Weekly spoke to a few consumers who had interesting views on how they will be spending their money this festive season.
Charles Mahlatsi says that he spends his money on travel.
“People must spend their money wisely; I personally spend my money travelling around South Africa and going to other countries. I enjoy shopping for things in new places for my daughter.”
Theuns Kruger believes saving this festive season is the way to go.
“To spend money is to save money; you must keep all the excess in your bank account. The best way to spend your money is to spend your money on your loved ones and avoid over- spending.”
With blowing money fast part of many consumers’ plans, and next year being another chapter, consumers thoughtlessly spend all their savings in the spirit of the festive season.

Jaco Mulder, a debt counsellor from D-Review in Bloemfontein has some guidelines for consumers this festive season
-Consumers must avoid spending what they cannot afford; debt always comes back to haunt you.

-The best way to save money is learning how to budget; good advice would be to appropriate 30 percent of your salary to your debt obligations and the other 70 percent on your living expenses.

-Over-spending and excessive debt could lead to you being blacklisted.

-Paying debt with debt always mean you are getting even deeper into debt – delaying the problem is not the same as solving it.

-This festive season consumers need to be responsible with their money; thus they must avoid over-indulgence.
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