Life on Credit

The art of borrowing money

Budget March Break Ideas for a Romantic Beach Getaway or Winter Vacation

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There are myriads of unique and exciting travel destinations for an unforgettable March break vacation away from home. Even if you are a budget traveler, inexpensive holiday and travel spots abound. Just pick a destination and pack your suitcase!

Caribbean All-Inclusive Vacations

If you are looking for a budget-friendly destination and a beach holiday at the same time, how about a sunny vacation on a Caribbean island? There are plenty of great resorts for a March break vacation to enjoy delicious food, warm weather, and superb service. Caribbean resorts are luxurious and inexpensive and offer a variety of activities for your leisure time, including golf, scuba diving, land sports, and watersports. Adventure tours are also offered. From off-road excursions and mountain biking to canopy tours and catamaran sails, you are sure to have a memorable vacation. Entertainment venues also abound, offering unlimited spirits, theme nights, limbo dancers and fire eaters, acrobats, and a lot more. The islands in the Caribbean are also the perfect choice for a romantic getaway and candlelight dinners now that weather is nice, with daily highs of 30°C. Whether you choose to travel to Grenada, Antigua, Barbados, the Cayman Islands, Cuba, or Jamaica, you will love it. All-inclusive resorts offer concierge and butler service, free wifi and land sports, and plenty of entertainment for free – beach parties, costume and theme parties, bonfire parties, live shows, and a lot more.

Mexico

Mexico is also a good deal for your spring vacation as weather warms up in March, with average daily averages of about 25°C. You will find great deals away from the traditional tourist zones. All-inclusive resorts offer plenty of entertainment for your entire family, from theatre shows and water parks to teen’s and kids’ clubs, mini-Olympics, and handicrafts. Tourists also enjoy dance instruction, mariachi music, golden beaches, and superb food. In some resorts, kids stay for free. The best part is that you can choose from a great variety of package deals, from deep dive packages and luxury vacation packages to flight and hotel and hotel only packages, and more. There is plenty of choice when it comes to holiday destinations – Riviera Maya, Riviera Nayarit, Mazatlan, Los Cabos, Cozumel, Cancun, and many others. You will enjoy gorgeous, palm tree-lined, sunny beaches, underwater activities, nightlife, fishing activities, and a lot more.

Florida

Florida is nice and sunny at that time of the year. And there are all-inclusive resorts, too, offering world-class accommodation, superb food, spa, and family-friendly games and activities. Many resorts offer activities such as paddle boarding, kayaking, and fishing. Some resorts even feature shopping villages. Recreation activities abound, from parasailing, jet skiing, and boating and scuba diving to live entertainment and cruises.

Indonesia

Indonesia is also a great choice for Canadians, especially for budget travelers. There are plenty of ways to stretch your dollar here. If you don’t mind staying in a guest house in Jakarta, for example, you can find accommodation for as little as $8 per night. A double room on Lake Toba or the island of Sumatra costs as little as $3 per night. Food is also inexpensive. A good single plate meal costs between $0.50 and $1.70 if you don’t mind eating streel-style food. You will pay around $2,50 – $5,50 a meal at a restaurant. Entry tickets for museums and other attractions are also inexpensive. A visit to the Indonesia National Museum will cost you just $0.23. When it comes to all-inclusive resorts, there is plenty of choice, whether travelling solo or with kids. Resorts offer cultural and artistic activities, sports, beach and ocean views, windsurfing, sailing and golf schools, and a lot more. Sports such as cardio, tennis, squash, snorkeling, kayaking, and water polo are often included in the price. Some resorts offer golf at extra cost. Gourmet dining is always a plus.

The Philippines

Also a great destination for budget travelers, this is a good choice for your spring vacation, especially if you plan to fly from the West Coast. Plus weather is nice in March (the high season ends in April) as opposed to June – September when typhoons and storms hit. Accommodation is more expensive but you will find plenty of good deals for your holiday. There are all-inclusive resorts that offer spas, private beaches, beauty salons, shopping arcades, swimming lessons and fitness training, billiards tournaments, snorkeling safaris, and a lot more. When it comes to budgeting, the cost of living depends on location and season. At the same time it is 50 percent cheaper to live in Manila than in cities such as Tokyo, London, and Sydney. To give you a basic idea, a combo meal (burger, Big Mac, etc.) will cost you around $3 at a fast food joint. Domestic beer (0.5l) costs around $0.90 in the store. If you prefer Coca-Cola, you will pay around $1.30 for a 2l-bottle. Prices are affordable. Taxi trips are also inexpensive, i.e. around $11 per 5 miles.

Ski Vacation

Whistler

Whistler is a popular spot and ski resort to spend your March break vacation away from home. Ski packages are available, including snow school, equipment rentals, lift tickets, accommodation, and more. Some hotels also offer event lodging deals as well as golf vacation packages and last minute deals. Whistler also features Olympic tracks, snow peaks, diverse wildlife, and glaciers.

Slovenia

If you are up for a vacation away from Canada, why not visit Slovenia? The country takes pride in having nice skiing resorts which are quite affordable. In fact, there are many low-cost hotels and other accommodation options to go skiing or snowboarding. Check ski resorts such as Kranjska Gora, Vogel, and Mariborsko Pohorje, for example. There are pistes for beginners, intermediate, and expert skiers.  Mariborsko Pohorje is one of the largest skiing centers in the country, situated close to downtown Maribor. Visitors enjoy the mountainous landscape and first-class ski slopes and pistes. There are wellness and spa centers, restaurants and cafes, and excursions and guided tours on offer. You can join a wine tour or culinary tour, for example. Hiking and cycling tours are also available to visit the Botanical Garden and Pohorje forests. Another option is to visit the Organic Urban Center which is situated in Maribor and illustrates the importance of healthy food choices.

Mont Tremblant

If traveling to Slovenia looks like too much, how about a ski vacation at Mont Tremblant? There are plenty of good deals and packages for your March break, including Scandinavian spa packages and snow and ski packages. If coming over with children, what they get is lunch boxes, snowboard and ski lessons, and equipment such as helmets, boots, poles, skis, etc.

When it comes to accommodation, prices depend on time of the year but there are package deals to look into. In any case, you can find a decent hotel for about $70 (breakfast included). It is also a good idea to book in advance. Some resorts offer lift tickets as well (included in the package). Many hotels also have game rooms fitted with consoles, foosball, air hockey, table hockey, and a lot more.

HBC Credit Card

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HBC credit card is offered by Hudson’s Bay Financial Group in Canada. It is tied to the loyalty rewards program offered by the company.

Overview

The HBC credit card is marketed as the best way to earn Hudson’s Bay rewards points at approved stores around Canada. It functions as a rewards program as well as a store card. Though people can apply separately to the rewards programs, HBC cardholders can double the points they earn at stores. Each $1 spent using this credit option can earn as much as 4 points. Regular rewards program subscribers only get 2 points per dollar spent.

Cardholders can stack up points without time limits. People who can earn up to 2,000 points receive a $10 gift voucher. Rewards points can be redeemed as Hudson’s Bay gift vouchers to use online on thebay.com and Home Outfitters.

For this credit card, HBC does not charge an annual fee. But the annual interest rate is 29.9% by default. Customers should refer to the Disclosure Statement provided following approval for detailed legal information. Cardholders who pay off their balances by the due date can enjoy an interest-free grace period for 21 days for all new purchases. Customers should note that the grace period does not apply to balance transfers or cash advances.

Cardholders can earn even more points by using this rewards credit at “exclusive events.” These events will be announced online and users can get notification of them by signing up at thebay.com. Cardholders can get the best returns by using the HBC card at Hudson’s Bay Company stores. Using it can get customers free shipping and up to 90-day returns on purchases on the thebay.com

The HBC credit program should not be confused with the Hudson’s Bay MasterCard. The MasterCard can be used anywhere regular MasterCards are accepted, both online and offline. The HBC credit card can only be used at thebay.com, Home Outfitters, and Hudson’s Bay. With the MasterCard, users can earn 2 rewards points per each dollar spent on non-Hudson’s Bay Company stores. Cardholders can earn up to a 25% bonus each year for all such points. With the credit program, each point earned can be doubled at the stores.

Though the two are separate, customers must present a Hudson’s Bay MasterCard when making purchases at Hudson’s Bay Company outlets to get store points for the HBC credit card. When the MasterCard is used at other stores, the reward points will be automatically added to the account associated with the credit card.

Earlier, The Bay allowed cardholders to convert points to Air Miles and Esso Extra points. However, this is no longer possible. The Air Miles and Esso partnerships ended on September 30, 2015. In its place, the company added a third-party service called points.com to allow cardholders to add extra points.

Certain associated transaction fees and service charges, such as for foreign currency conversions, may occur when using the attached HBC account. Customers who subscribe to the special payment plan must pay $99 unless the fee is lowered or waived upon request. Payments and cheques that bounce cost $30 each. Rush cards cost $20. The over limit for this card is $29 if the account balance per billing periods exceeds the preapproved amount. Customers will be charged a fee equal to the existing balance if the accounts are inactive for six consecutive billing periods (usually months).

Customers do not have to be enrolled in The Bay Rewards program to apply for or receive a HBC credit card. Those who are approved will be automatically enrolled in the program. Customers can earn more points with the rewards program by spending more. Customers who spend more than $1,200 using one of these accounts can get VIP benefits, which mainly mean more points per each dollar spent. VIP and Plus customers also have better chances of doubling the points they earn.

The Hudson’s Bay rewards program was quite popular in the Canada in the past. However, participation has dwindled because most Canadians don’t value the program as they used to. The new HBC rewards program that Canadians apply for is a completely revamped version not offered in previous decades. The new program rewards customers more for spending at The Bay and for combining the credit card with the MasterCard.

Pros and Cons

Pros

  • No annual fees associated with the HBC credit card.
  • The more a customer spends, the more points he or she can earn per dollar spent. Customers who spend more can upgrade accounts to VIP or Plus to increase chances of doubling points.
  • Excellent option to save money at thebay.com and Home Outfitters.
  • Rewards program can be extended to third-party stores when used with a Hudson’s Bay MasterCard.
  • Free $10 gift voucher awarded to customers who earn 2,000 points.

Cons

  • HBC credit cards only earn rewards at thebay.com, Home Outfitters and other Hudson’s Bay companies. Customers need a Hudson’s Bay MasterCard to earn points from third-party stores.
  • High annual interest rate close to 30%.
  • Rewards can only be redeemed on an annual basis.
  • The number of outlets available to earn points is limited.
  • Air Miles and Esso Extra points are no longer offered as redeeming option.

Comparison to Canadian Rewards Credit Cards

The most popular Canadian cash back rewards programs, such as Tangerine and American Express Simply Cash, offer wider shopping options in comparison to HBC. This card is designed mainly as a loyalty program. The shopping options of customers are largely limited to Hudson’s Bay Company stores and affiliates.

In addition, rewards programs like Tangerine offer cash back rewards on a monthly basis. With the HBC card, customers can only redeem points once a year. Customers can mostly benefit only by combining the HBC MasterCard with the credit card. On the plus side, there are no annual fees that are charged to associated accounts. But there’s a 29.99% interest rate.

This card is best suited for customers who already frequently shop at places like Home Outfitters and thebay.com.

Top 5 Canadian Travel Credit Cards

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Credit cards with travel perks are truly the best. You can benefit from these if you enjoy traveling, are a frequent flyer, love getting a bargain on something, bonus hunter, or all of the above. Subscribing to one of the best credit cards in Canada will save you a lot of money on airplane tickets, travel insurance, luggage claims, and many other similar things.

Consumers often evaluate credit cards rewards programs based on value offered per point. A good way to measure is to check how may air miles or associated perks each dollar you spend on the card gets you. While value points are important, it’s also important to consider other factors. For example, the annual fee should not cancel out the rewards you earn per point.

The cost per reward should also match the rewards on offer. Once all the fees have been considered, the credit card should offer a number of perks such as insurance coverage, low foreign transaction fees, travel opportunities, and so on. Travel credit cards that combine the best cost per reward with an increased number of perks are the best to subscribe to.

Here is a list of five of travel credit cards in Canada that offer the best value as described above:

1.     American Express® Gold Rewards Card    amex-goldrewards

Amex Gold is really the gold standard for travel credit cards in Canada. Points earned can be used for any travel-related purchase either online or offline. In some cases, you can convert points to frequent flyer programs. The welcome bonus is 25,000. For purchases made for $1,500 or above during the first three months, members get rewards points that can convert to close to $550. The annual fee for the first year is automatically waived, which will save you $150.

The biggest advantage with this card is that you can double your points easily by spending money at gas stations, grocery stores, and pharmacies. Plus, travel-related expenses incurred for road, air, rail, or water transport also counts. In some cases, lodging and tour operator charges paid with the card can earn you points.

An Amex point is equivalent to one cent. That makes the base rewards rate 1% and the bonus rate 2%. These rates can be increased by transferring points to Aeroplan. You will earn points for booking a flight, renting a hotel room, or hiring a rental car. Then, these earned points can be redeemed at full value to pay off any travel expense that shows up on the statement plus taxes and service charges. No extra charges incur when you transfer points for Aeroplan or British Airways AVIOS program.

2.     TD® Aeroplan® Visa Infinite Card

This is an excellent card to start collecting Air Miles with. You don’t have to pay any annual fees for the first year of use and you will receive a welcome bonus of 30,000 miles. You will earn 15,000 miles with the first purchase you make using the card. If you keep the card active for 90 days following approval, you receive 10,000 miles more. You can receive 5,000 miles per authorized card user you add. For the first year, the primary cardholder can get an annual rebate of $120. This is a lot of incentive just for signing up.

Stack up 25,000 points on the TD card and that will be enough to fly from Canada to any city in the United States or Mexico. Each air mile you receive using this card will amount to roughly 1.28 cents per mile for economy tickets. For business class, it would amount to about 2.2 cents per mile. This is definitely a bargain. Earning mile points is not that difficult. The card offers an extra 1.5 points per dollar spent buying gas, groceries, or pharmaceutical items. At this amount, your earn rate will be at about 3.3%.

There are many other cherries on top of this cake, including coverage for travel insurance, trip cancellations, baggage rental, car rental, and flight interruptions, among others.

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3.     MBNA Rewards World Elite MasterCard®mbna-elite_en

There are many incentives offered for signing up, including a sign in bonus of up to $100 and a waiver for first year annual fee. This card does not have a minimum spending requirement. Everything earns a 2% reward rate. This card allows users to redeem cash credit points for anything, which includes your travel-related expenses.

MBNA offers 2 points per dollar spend on all purchases, which is a solid advantage this card has over the others. There are no cap limits on how many points you can earn either. If you are a frequent flyer, you can redeem points for anything travel related. Keep in mind that points can be redeemed against any purchase regardless of whether it’s travel related. So, if you only fly periodically or once every two or three years, this is the best travel credit card to have.

4.     Rogers™ Platinum MasterCard®rogershome-credit-card

Most travel credit cards have a downside: hefty foreign transaction fees. Rogers is actually one of the few travel credit cards to subsidize transaction fees incurred overseas. You can earn a whopping 4% cash back on any foreign purchase. The rewards rate for all other purchases is 1.75%. Points can be redeemed regardless of the type of expense.

There’s no annual fee during the first year, and you will receive a $25 welcoming bonus. Cash rewards can be redeemed once annually, which will include travel expenses. It’s possible to not pay any annual fee at all by pre-authorizing payments. Also keep in mind that Rogers offers one of the best travel insurance policies in Canada with this card.

5.     Desjardins Visa Odyssey Golddesj-odyssee

The travel credit cards mentioned above on this list require hefty monthly income levels. Desjardins travel credit card is one of the most egalitarian offered in Canada. You can get approval without earning a six-figure salary.

This card comes with a solid travel medical insurance policy that will cover you and your family for 60 days straight when out of your province. This is a significantly longer coverage period than the industry average. Also, the policy covers up to $5 million in claims in comparison to others that offer only one or two million. In addition to insurance, there’s car rental, lost baggage, baggage rental, trip delay, flight cancellation, purchase protection, and accident coverage as well.

So, if you are on the hunt for a really good travel credit card, choose one from the above list for the best perks and consumer options.

Tangerine Cashback Credit Card

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Money-Back Credit Card
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Tangerine cashback credit cards are offered by Scotiabank-owned Tangerine bank. They are available exclusively in Canada. It’s one of the most popular cash back credit cards available in Canada.

Overview

The main draw of the Tangerine cashback credit cards is that there is no annual fee attached to it. Each purchase a user makes using the Tangerine cards earns cash back. The earned rewards can be deposited directly back to the credit card account so that it applies towards the balance.

A user has to select 2% money-back categories to get 2% cash back on these purchases, plus 1% on all other purchases. Tangerine credit cards are usually attached to a Tangerine savings account, so the rewards can easily be deposited. Cashback rewards deposited to the savings accounts are treated just like other savings deposits and will earn interest. Users can choose the redemption option on the savings accounts and choose two 2% cash back categories. The other option is to have the money directly deposited into a credit account, where the rewards will be applied against the other balance.

The advantage of Tangerine is that rewards do not need to be requested in advance. Rewards are also unlimited and are not subject to a throng of restrictions. Lack of annual fee means users can get cashback without rewards being deducted by service charges. Money-back rewards are also awarded on a monthly basis, rather than an annual basis.

It’s important to note that white there is no annual fee, there are several charges for other transactions. Each foreign currency exchange will have a 1.50% charge added to the converted transaction amount. Cash advances are $2.50 in Canada and $5 outside Canada. Balance transfer charge is 1% of the transfer amount or a minimum of $5. Dishonoured payments cost $25. The overcharge limit is $20, and only one overcharge payment is allowed each month. If you want to print a past statement, it will cost you $5. No charges apply to print current monthly statements.

Tangerine cashback cards are for personal use only, and businesses are not issued these cards. A single card can have up to 5 authorized users attached to the account. These authorized users will be able to make purchases and can take cash advances on the individual credit cards issued to them. However, authorized users cannot change the credit limit on the account or request balance transfers to other accounts. The primary cardholder will be responsible for paying the total balance on the account. It’s important to note that the primary cardholder is responsible for any and all transactions authorized users make.

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Users can change the 2% money-back categories after activating the card anytime. Changes will take effect once the first monthly statement arrives. Users have the freedom to request changes throughout. However, existing categories must have been in place for 90 days before the changes can be implemented.

Pros and Cons

Pros

  • No annual fee being charged. Most money-back credit cards have annual fees of close to a $100.
  • Cash back is unlimited.
  • Users receive 4% cash back as a welcome bonus for the first 90 days.
  • After the first three months, users can receive 2% cash back on any two categories of their choosing, and an additional 1% cash back on all other purchases.
  • No earning caps or restrictions imposed on non-category purchases.
  • Cardholders can choose two categories from 10 options, which covers expenses such as gas, clothes, electronics, pharmacy, and certain recurring bill payments.
  • Freedom to change categories any time as wished.
  • Cash back rewards can be deposited to a savings account if desired.
  • Rewards are granted automatically. No requesting process necessary.
  • Add up to 5 authorized users to a single account.
  • Schedule automatic payments online.

Cons

  • No travel perks.
  • While the Tangerine cashback card can be used outside Canada, transactions may be limited or restricted considering international banking regulations and safety of overseas transactions.
  • A 1% balance transfer charge applies.
  • Balance transfers between authorized users is not allowed.
  • Overcharging is limited to only $20, and only one overcharge is allowed per month.

Comparison to Other Canadian Cashback Credit Cards

Currently, Tangerine cashback credit cards are highly favoured by consumers over other Canadian credit cards available on the market such as American Express Simply Cash Card and Rogers Platinum MasterCard.

One of the biggest advantages that Tangerine has is that cash back is unlimited and is deposited automatically without the need for formal requests. Users often have to make requests and sort through complicated bonus rewards programs to get the money-back on other similar cards.

Most cashback rewards programs offer bonuses at the end of each year. Tangerine cards offer cashback rewards on a monthly basis. Redeeming rewards is effortless and convenient. The rewards can be arranged to be deposited to a savings account or towards the balance of the account. This is an option absent from many other similar programs.

While the Tangerine card charges 1.5% foreign transaction fee, this is quite low compared to what many other money-back credit cards charge. Most offer rates closer to 2.5%.

There are other cards offering flat 2% to 4% rewards and bonus points for all purchases. However, these also require cardholders to show a minimum monthly income of $6,000 or more. The Tangerine card’s monthly income requirement is much lower. So, this is a good option for entry-level workers and those firmly in the mid-income category.

As there is no annual fee, the Tangerine credit card stands as a desirable alternative to cash back cards that demand premium yearly service charges.

Other similar programs, like American Express’s Simply Cash, offers 1.25% money back on all purchases. Tangerine offers only 1% money back on all purchases.  But remember, this is in addition to the 2% you get on selected categories. It’s easy to apply the higher rate for transactions you tend to conduct more frequently, like paying for gas, and also earn rewards for non-frequent transactions, like buying clothes, as well.

Air Miles Reward Miles Guide

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Air Miles is the leading loyalty marketing program in Canada. This article will explain how the program works, its history, how customers can benefit, and possible disadvantages of the program.

Overview

Air Miles is one of the most popular rewards programs in Canada. Very basically speaking, consumers can sign up for the program with participating credit cards and merchants. When the cardholder makes a purchase at a qualifying store, the rewards program adds points to the cardholder’s account. Later, these points can be redeemed as air miles with a participating airline. Clients can receive lucrative discounts and cheaper prices on plane tickets with the rewards program. Cash back options are also available.

The current Air Miles Reward Program operating in Canada is similar to other programs operating in Spain, Netherlands, Middle East, and formerly in the United Kingdom. It is currently overseen and managed by LoyaltyOne, Inc., a private entity owned by Alliance Data Systems Corporation, which is a loyalty marketing specialist in retail, travel, hospitality, and other similar sectors.

LOC53History

The Air Miles Reward Program first launched in Canada in 1992. The program was based on a concept developed by three young Canadian entrepreneurs named Craig Underwood, Sam Duboc, and Rob Gierkink. They came up with the basic idea for Air Miles in a Toronto hotel room.

The founders of the concept designed Air Miles as essentially a marketing venture that would reward opportunities for consumers to travel in return for brand loyalty. Loyalty programs were not a new concept at the time. However, it was unique because it brought together a coalition of sponsors, instead of being tied to just one company. Air Miles is also one of the earliest ventures that sought to gather data with regards to consumer buying habits in order to make advertising more effective.

Upon launch, the program had only 13 sponsors, including Canada Safeway and Bank of Montreal. The program attracted nearly two million customers in the first six months of operation alone. Soon, the original group of sponsors expanded to include giants in retail, pharmacy, grocery and fuel industries. They also partnered with credit cards offered by American Express and Bank of Montreal.

Air Miles enjoyed tremendous growth during the first six years of operation. In 1998, the business was acquired by Texas-based financial services provider Alliance Data. Subsequently, several other companies, such as COLLOQUY and Epsilon, were aligned with Air Miles.

Air Miles is recognized as one of the leading businesses in Canada, and a venture that helped shape loyalty marketing across North America. Today, millions of Canadians have signed up for the rewards program, and it remains as popular as ever.

How It Works

Customers are offered miles on a point-based system depending on how much they spend at a participating store. How many miles a customer can earn will depend on the participating merchant or credit card. For example, a customer can earn a single air mile for $50 spent at ADI, or for $15 spent at Primus. In general, 1 air mile is rewarded per $20 spent at a sponsor.

There are three ways a customer can earn it: shopping with a sponsor either in store or online, using a participating credit card, obtaining an Air Miles bonus card as a gift, or directly purchasing from the official website. Customers can also benefit from various offers and promotions provided by sponsors, especially during special times like Christmas holidays.

Air miles are not offered indefinitely. The miles do expire after some time, usually a year. Therefore, once customers have stacked up a considerable amount of points, these points should be redeemed. The easiest way to redeem points is to go to the official Air Miles website and type in the Collector Number. Customers can also redeem miles by calling the toll-free 1-888-AIR-MILES (1-888-247-6453) number. However, this option is less preferred as it is time consuming and inconvenient.

Customers can also transfer miles from one account to another. For example, a customer can gift air miles to a friend or a family member by transferring points from his or her own account.

LOC52Pros

Customers can earn points for a number of airlines with the Air Miles loyalty program. Traditionally, customers had to sign up for the program with a single airline. With the Air Miles Reward Program however, customers can redeem points they earn with a number of different carriers.

The Reward Program offers access to hundreds of sponsors. Customers can earn miles by using a certain credit card, buying a blender, filling up the gas tank, or subscribing to a service. The options are nearly unlimited. Because the Reward Program spans a number of industries, customers have a higher chance of stacking up points simply by making everyday purchases.

On average, customers can earn an air mile per 20 cents spent with a participating sponsor. The rate of return is higher with bonus points. For example, a customer who purchases a $10 product with 20 Air Mile bonus points can receive close to a 20 percent discount on the product.

Cons

The rate of return can vary because different sponsors offer varying air mile points for products. For example, a customer can earn the same number of points for $20 or $60 spent at different sponsors. In this situation, the customer who spent less gets a bargain, while the customer that spent more is not enjoying a positive rate of return.

Customers could spend more than they should on products in order to earn points. For example, a customer could end up spending $50 at a participating store for a $10 product just to earn Air Miles points.

Is Air Miles Better than Other Similar Rewards Programs?

Air Miles is the largest loyalty rewards program currently operating in Canada. No other program comes close to the number of sponsors and offers they have for its customers.

Most loyalty programs in Canada are still confined to a single company. For example, customers can sign up for a loyalty program with United Airlines and shop at a limited number of retail outlets. With Air Miles, customers are offered a wider range of options, which makes this particular program truly outstanding among its peers.

Official Website and Companies Involved in the Program

The official website of the Air Miles Rewards Program is www.airmiles.ca. The official site has the complete rewards catalogue for the program. Customers can also access a gift guide, payment services, a flight calculator, and the latest offers and promotions.

Here is a list of prominent companies involved with the Air Miles Rewards Program as sponsors:

  • American Express
  • Bank of Montreal
  • Safeway Canada
  • Uber
  • Ace
  • McDonald’s
  • Overstock.com
  • Adidas
  • Alamo
  • United
  • Budget
  • Hilton Inn
  • Amazon.ca
  • Ann Taylor
  • Apple Store Canada
  • Macy’s
  • Mark’s

Capital One Costco Platinum MasterCard Review

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Capital One® Costco Platinum is a credit card available to Costco members which offers money back and plenty of added incentives. Rewards credit cards that feature cash back save money and also offer travel and other rewards.

Quick Overview of the Card

Capital One® Costco allows holders to earn generous cash back on regular, restaurant, and gas purchases but the percentages vary. You will earn 1 percent on daily purchases, 2 percent on gas, and 3 percent on your restaurant purchases.

  • Interest rate (cash advances, transfers, purchases): 19.75 percent
  • Annual fee: none

Note that transferring balances is currently not an option. On the good side, the card comes with added perks such as platinum benefits, including extended warranty and price protection, as well as insurance and travel benefits such as travel assistance, baggage delay, and travel accident insurance.

It is a good idea to check for fees and rates that apply, including default rates, foreign currency conversion, minimum payment, etc. The current default rate is 25.9 percent if you miss your due date and are late on your payments. It also pays to check the foreign currency conversion rate if you frequently travel or shop in a foreign currency. With Costco MasterCard® Canada, the current foreign currency conversion rate on this card is 2.5 percent of the converted amount. There are other fees to watch for, including dishonored payment, balance transfer, over the limit, etc.

Who Is This Card for: Target Demographics

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This Costco MasterCard® is an excellent choice for customers who make frequent purchases and want to earn cash back. The more purchases you charge on the card, the more you earn based on the percentages above. Keep in mind that this card is the perfect choice only if you are a Costco member, allowing you to take full advantage of all benefits. And if you are not, you are free to apply for membership and then apply for the card. To do this, you will be asked to select a region to join Costco. You are also free to choose from gold star, business, and executive membership. Business membership, for example, is offered to ranchers, farmers, government agencies, non-for-profits, managers, and business owners.

How/Where to Apply?

There are different ways to apply with Capital One® Costco, and one is to verify that you are a Costco member and fill out an online application. All you need is to fill your names and membership number. If you need help, you can call Costco Card Capital One®, and they will be happy to assist you. The Costco MasterCard application is easy to fill, whether online or in-store, you are asked to provide your financial and personal information.

Pros of the Card

There are plenty of benefits for members, one being that cashback credit cards save money, and there is no threshold or limit on the amount you can earn. The Capital One® Costco Platinum MasterCard® offers money back in the form of rebate coupons that can be used in-store. Purchase assurance is an added benefit and so is car rental collision in case a rental vehicle is stolen or damaged. Zero liability is also an added benefit to protect members in case of unauthorized use. You can rest assured that your account will be monitored on a regular basis for fraudulent activity.

Cons of the Card

On the downside, customers only get 0.5 percent cash back on the first $3,000 spent on purchases. This is an incentive to spend more but it is a bad idea to go over the limit in an attempt to earn more. On the good side, members earn money back everywhere (at the pump, while dining, etc.) and not just at Costco locations.

How Does the Card Compare to Other Issuers and Major Canadian Competitors?

The Costco Canada credit card offers a good alternative to other cashback options but it pays to shop around and compare different rewards credit cards. Cashback cards are offered by major issuers such as the Scotiabank, MBNA, and other banks, unions, credit card companies, etc. Scotia Momentum Visa Infinite, for example, is offered by Scotiabank and features 1 percent cash back on regular purchases. However, in comparison to Capital One® Costco, customers earn 4 percent back on gas purchases. The SimplyCash Card is also a cashback option offered by American Express that features money back in the form of statement credit. Customers earn 2 percent back.

Any Better Alternatives to This Card?

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This depends on a number of factors such as whether you use one or multiple cards, whether you pay the minimum only, the annual fee and interest rate, etc. If cash back is your thing, then there are plenty of options. TD Canada Trust, for example, features a cashback card that allows you to earn 0.75 percent back. This looks like a less generous offer than Costco’s but customers benefit from perks such as free authorized users, automotive features, travel benefits, and a lot more. Optional coverage is also available.

Were There Any Customer Complaints/Scandals after the Launch?

While the launch was quite successful, the number of people who chose to become Costco members was larger than expected. Customers complain about problems such as confusing statements, slow resolution, frequent fraudulent activity, and relatively low credit limits. Other major issues are no automatic monthly payments, slow payment processing, and long hold times. Costco representatives announced that they were working hard to resolve these by allocating more resources.

How Does This Card Compare to the Old Costco Partner AMEX?

The major reason to choose an AMEX card was their long-time partnership with Costco. Costco assured existing and new customers that they would have the opportunity to earn generous rewards despite the split-up with AMEX.

In the end, how does the former AMEX card compare to the new Platinum MasterCard? It seems that the launch is a win for cardholders in that the old card has an annual $4,000 limit in purchases. The best part, of course, is that the transition has no effect on your credit score.

MBNA Platinum Plus Credit Card Review

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MBNA features a comprehensive selection of Canadian credit cards, including rewards, cashback, and balance transfer, along with convenient and safe online banking, identity protection, and other services.

Quick Overview

MBNA Platinum Plus® is a favorite with customers who wish to save on interest and consolidate unsecured debt. The card goes with a zero promotional interest rate over a 1-year period, saving you plenty.

• 24.99 percent for balance transfers
• 19.99 percent for purchases
• Default rate: standard rate + 5 percent
• No annual fee

This balance transfer credit card offers plenty of benefits such as fraud protection, superb round-the-clock customer service, long grace period of 21 days, and more. Keep in mind that there are fees that apply, including foreign transaction fees, RAC, account and cash advance fees. Customers are charged 24.99 percent on cash advances. A copy of sales draft or your account statement will cost you $2.50. You will be charged $20 per returned payment and $25 each time you go over the limit.

Who Is This Card for? Card Demographics?

Balance transfer credit cards such as MBNA Platinum target borrowers with multiple or high interest cards who are only able to pay the minimum due to hefty rates. Cardholders often end up with a lot of debt due to the high interest charges, and a balance transfer card is one way out of this. Basically, this card is a wise choice to deal away with debt quickly provided that you pay more than the minimum or even better – pay the balance in full.

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How and Where to Apply

There are two ways to apply with MBNA Canada, by phone and online. If you choose to apply online, you will be asked to provide basic information such as your monthly payment or income, housing status, years at your current address, mobile and phone home number, and so on. As part of their credit card application, customers are also asked about their employment status, i.e. self-employed, retired, permanently disabled, homemaker, student, employed, or unemployed. If you apply online, you will need to provide personal information such as date of birth, address, and whether you are a Canadian resident. You are also free to apply by phone. Just make sure you mention the priority code (CQOR01).

Customers who plan on transferring high interest credit card balances are also asked to provide information such as account number and payee name.

Pros of the Card

As a balance transfer credit card, there are a number of benefits for customers, one being the low interest rate on transfers. The lower the interest rate offered, the more you benefit and save in charges. Cards such as MBNA MasterCard® Canada offer zero rate which is a great offer to consider. The longer the promotional period, the better because you have more time to repay high interest debts. This is especially helpful if you have a heavy debt load and need more time for repayment.

Cons of the Card

There are several factors to take into account before applying, and fees and charges are a major consideration. Financial establishments that offer balance transfer credit cards often charge balance transfer, monthly, and annual fees. Transfer fees account for 3 – 5 percent upfront and are calculated on the balance to be transferred. If you transfer $5,000 with a 5 percent fee, then you will pay $250 in charges. MBNA Platinum goes with 1 percent in fees. However, the more you transfer in existing balances, the more you pay in fees. At the same time, if you pay a lot in interest, then this option is worth exploring.

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When it comes to interest rates, zero teaser rates attract new customers and so do long promotional periods of 12 – 18 months. It is a good idea to check the regular rate, which can be as high as 28 – 30 percent. The MBNA platinum card has a long promotional period of 12 months which is certainly a plus for customers. With a regular rate of 19.99 percent, however, this is definitely not a low interest card.

How Does the Card Compare to Other Major Canadian Credit Card Competitors?

The best thing to do if you have a hefty debt load is to shop around and compare. Small and major banks and other establishments in Canada offer cashback, low interest, and rewards credit cards with balance transfer options. Balance transfer cards with zero interest over a promo period are offered by issuers such as Best Western, American Express, Scotiabank, and others.

Scotiabank, for example, offers a balance transfer card with a promo rate of 0.99 percent on cash advances and balance transfers. Compared to MBNA, however, the card goes with a shorter promotional period of 6 months.

Capital One also offers balance transfer options that are worth exploring. The best part is that customers are free to transfer balances on loans, store cards, cashback credit cards, and other cards. Balance transfers are processed relatively quickly (within a period of 3 – 4 weeks). You still have to pay the minimum during this period. The only requirement is to transfer balances on existing Canadian accounts and not foreign accounts. The good thing about Capital One is that customers can choose from different types of accounts to move balances. All they have to do is offer details such as creditor names, account numbers, and amounts. Other establishments in Canada also offer balance transfer solutions with no annual fee, air miles, cash back, and other perks.

One option is the SimplyCash Preferred Card offered by American Express which goes with no annual fee on supplementary cards, 1.5 percent cash back during the promotional period, and other benefits. Similar to the MBNA Platinum Card, SimplyCash goes with zero percent but the promotional period is shorter (6 months). Note that there is a 1 percent balance transfer fee if you are a new member. On the good side, the card goes with a generous insurance coverage, including flight delay insurance, lost or stolen baggage coverage, travel accident insurance, etc.

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Any Better Alternatives to This Card?

This depends on many factors, including amounts owed, interest rates on existing balances, and perks and incentives such as money back, travel rewards, complimentary services and upgrades, bonus points, welcome bonuses, and so on.

Usually better alternatives also mean more requirements to meet, including high income level (household or personal), very good or stellar credit, low debt to income ratio, etc. The Sony Card MasterCard, for example, goes with a higher rate compared to MBNA Platinum Plus® (1.99 percent) but offers plenty of added benefits. Customers are offered the chance to earn rewards points on select purchases. Points can be redeemed for merchandise, including gaming and video products, audio, and so on. Holders also benefit from the fact that there is no annual fee. The first eligible transaction earns a generous welcome bonus of 10,000 bonus points.

Air Miles Platinum by MBNA is another option that allows you to earn rewards miles and redeem them for a large selection of rewards, from travel to electronics and other merchandise, movie tickets, and more. The best part is that the card goes with zero interest on balance transfers, cash advances, and purchases, which makes it a favorite with many customers. MBNA Platinum, in contrast, goes with a standard purchase rate and no rewards.

As you can see, there are different alternatives to look into, depending on your lifestyle and spending style, whether you are a frequent traveler, whether you pay the full balance or the minimum only, and a lot more. Whatever card you choose to use, ask for fees and penalty charges such as foreign currency conversion charges, dishonored payment, funds advance fees, etc. Eligibility criteria also apply.

Home Trust Credit Cards

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Home Trust is a major mortgage and loan provider that offers a selection of financial solutions, including retail credit, deposits, VISA credit cards, and other products. Customers are also offered retail credit and receivable purchase plans. The home improvement program offers fully open loans, instant approval, and flexible financing solutions for kitchens, room additions, patio construction, decks and patios, flooring, air conditioning, and other items.

Home Trust Credit Cards

Home Trust offers credit cards for bad credit by VISA to its customers, regardless of their credit profile. Secured versions are available to borrowers with tarnished scores who are unable to access other sources of funding.

Home Trust Equityline® Visa Card

This card is available to borrowers who have equity in their homes and offers the opportunity to earn cash back on eligible purchases. It is a good solution for home improvement projects and business financing. This card by Visa allows customers to earn 1 percent back on everyday purchases and comes with no annual fee and benefits such as guaranteed hotel reservations, legal assistance and health services, and emergency card replacement. Virtually everyone qualifies. Given the low interest rate, this is a good solution for high-interest balances and debt consolidation. Customers who repay the outstanding balance in full are free to cancel the card.

  • APR: as low as 9.99 percent
  • No annual fee
  • Up to $100,000 in credit

Home Trust Secured Visa Card

This is another product for customers with less than perfect and bad credit that goes with a maximum credit limit of $10,000 and minimum limit of $500. Holders are free to use the card to book vacations and to make purchases over the phone and online. The main benefit is that payments are reported to the major bureaus meaning that timely payments allow borrowers to establish credit.

1st Option

  • APR: 14.9 percent
  • Monthly fee: $5
  • Annual fee: $59

2nd Option

  • Purchase APR: 19.99 percent
  • Cash Advance rate: 19.99 percent
  • No annual fee
  • Interest-free period: at least 21 days

apply

About the Company

Home Trust is a Canadian trust company that is federally regulated and serves a large customer base, from borrowers with past credit problems to customers with no credit history or provable income and self-employed entrepreneurs. The company was founded in 1977 and was originally named the Home Savings and Loan Corporation. It is publicly traded under the ticker HCG on the Toronto Stock Exchange. Headquartered in Toronto, the company has branches across Canada and is a member of VISA Canada and the Canada Deposit Insurance Corporation. Home Trust takes pride in offering flexible solutions and non-traditional financial products to help clients consolidate high-interest balances, save on interest, or purchase a home.

Top 5 Student Credit Cards for Young Canadians

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Young Canadians usually have a more limited exposure to credit, which makes it more difficult to get approved for unsecured loans and specialty credit cards. The good news is that issuers offer student cards that are specially designed for young people enrolled in college.

Options Available to Young People

Young Canadians have several options to look into, including department store, secured, prepaid, and student credit cards. Secured cards require that customers first make a deposit and then use the money to pay bills and make payments. This is one option if you want to build credit. A department store card is another option that gives you access to exclusive promos and deals but the rate is often higher compared to standard cards. A prepaid card is a third option that works much like a standard debit card and payments are not reported. A student credit card is also an alternative, and there are perks such as cash back incentives, no annual fee, and discounts on school-related items and purchases.

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What Are the Benefits of Student Credit Cards

Student credit cards offer a number of benefits, among which additional protection in the form of zero fraud liability, miles, cashback points and other incentives, and lower credit limits. Many issuers also offer convenient tools to save users valuable time, help them stay current on their payments, and avoid penalty interest and negative impact on their credit score. Such tools are, for example, automatic bill payment, spend analyzer, and others.

How to Apply

It is easy to apply for a student card if you meet the requirements. Many issuers offer online applications and ask customers to provide employment, personal, and financial details such as your social insurance number, mother’s maiden name, whether you are a landed immigrant or Canadian citizen, and whether you are a domestic or foreign student. You may be asked to provide information such as your expected graduation date, program start date, whether you apply on your own or together with a co-signer, etc.

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Fees to Watch for

Like other credit cards, student cards come with fees such as penalty interest, annual fee, cash advance fees, foreign currency conversion fees, and others. If you find good deals with no annual fee, this is a great way to save on charges. There are other fees to check for with your issuer, including late payment and over-the-limit fees, replacement, lost, or emergency issue card charges, and additional cardholder fees. The latter is usually $0 on no annual fee, low fee, and low rate credit cards. Fees and charges vary from one bank to another and can be different for business and individual cards. Some issuers charge fees for urgent card delivery as well as balance transfer fees, overdraft fees, surcharges, and so on. Make sure you check with your provider to ensure there are no hidden charges and penalties.

Top 5 Student Credit Cards

Many credit unions, banks, and online services offer student cards, including CIBC, Laurentian Bank, Desjardins, and others. If you are a regular customer and have a savings or checking account or an outstanding balance, it pays to check with your bank first.

#1. No-Fee Scotiabank Value® Visa Card SB

Scotiabank features a handy student card with card protection and introductory rate of only 3.99 percent. The introductory rate is for both cash advances and balance transfers, and makes it a good choice if you need to consolidate high-interest credit card balances. The card also offers car rental discounts, itemized transactions, and free supplementary cards. All in one this is a great student credit card choice.
• Annual fee: none
• Interest rate: 16.99 percent
• Credit limit: $500 (min)apply

#2. Tangerine Money-Back Credit CardMoney-Back Credit Card

The Tangerine Money-Back Credit Card is a great choice for students, as it doesn’t have annual fee, and is actually one of the top cashback credit cards in Canada. The card offers 2% money back in many categories, and 1% on everything else. However for a limited time you can get 4% cashback in the 2% categories for the first 3 months. The card has no limit on the amount of cashback rewards you can earn.
• Annual fee: none
• Interest rate: 19.95 percent
apply

#3. Desjardins VISA® FOR STUDENTS ONLY Credit Carddesjardins-students

Also a great choice to start building credit, VISA for Students Only comes with handy features such as free-of-charge access to credit reports, travel insurance covering the first 3 days of each trip, mobile device insurance, and more. Cardholders benefit from additional perks such as flexible financing, no annual fee on additional cards, payment reminders, and the option to manage their account from their tablet, mobile device, or computer. There are additional features such as generous Hertz discounts, mobile payments, and no transaction fees.
• Interest rate: 12.9 percent
• Annual fee: $30

• Interest rate: 19.9 percent
• No annual fee

#4. Laurentian Bank Student VISA® Black Cardvisa_laurentian

Laurentian Bank also features a student VISA card with perks such as exclusive discounts, free additional cards, and more. In addition to virtual mail statements, customers also benefit from convenient payments at bank branches, online, by phone, and by mail. This product is a great choice to build credit if you are studying aboard and are a full-time student. You can use it to make payments in emergency situations or pay daily and small expenses. If you usually maintain a balance, you may want to look into other options.
• Interest rate on purchases: 19.99 percent
• Monthly fee: none

#5. CIBC Aventura® Visa* Student Cardcibc-student

CIBC Aventura is another student card that offers the option to collect rewards points and features benefits such as accident coverage, travel medical insurance, mobile and online banking, authorized spending limits, and a lot more. Customers are free to use the online banking system to request additional cards, increase their limit, and make payments. The first purchase earns 5,000 rewards points. Cardholders also earn 2x bonus points on travel purchases at the CIBC Rewards Centre and 1 bonus point on regular purchases.
• Interest rate on purchases: 19. 99 percent
• Annual fee: $39
• Up to 3 free additional cards

#6. MBNA Rewards MasterCard® credit card for Studentsmbna-student

This student credit card is yet another option if you are new to credit and offers immediate cash access, online account access, and unlimited rewards. Each dollar spent brings 1 rewards point. You can redeem points for charitable donations, money back, gift cards, travel purchases, and brand-name merchandise. To apply online, college students are asked to provide information such as date of birth, SIN (optional), monthly payment and housing status, employment status (unemployed, self-employed, retired, homemaker, employed, etc), and other financial and personal information.
• Interest rate: 19.99 percent
• Grace period: 21 days
• No annual fee

Conclusion

As you can see, big banks and other major issuers offer plenty of choice to help you build a solid credit history and stay current on utility and other payments. A student credit card is a handy tool if you make payments by the end of the grace period. Just make sure you check for transaction fees such as cash equivalents, over-the-counter cash, and ATM fees, account fees, and other charges. Ask about the default rate in case you are late on your payments because penalty charges can be considerably higher. If you have a credit card with high interest charges, there are student cards with a balance transfer option to benefit from a lower interest rate. Ask about the promotional rate as well and the amount you can request if you choose to make a balance transfer.

How Not to Overspend and Set a Realistic Christmas Budget

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It is so easy to overspend during this time of the year now that everyone is excited about Christmas and spending quality time with family and loved ones. This said, you may want to create a realistic budget to meet your daily expenses, pay bills, buy presents, and have fun with your family and friends.

How to Make a Holiday Budget

The first thing to do is to set financial limits and make a list of your spending goals and categories. List your regular monthly expenses such as groceries, rent or mortgage, utilities, outstanding balances, and so on. Then list your income, including wages, salaries, and additional income you may have. This will help you to find out whether you have surplus income to spend on presents or you have to rely on cash in your savings account. If you don’t have enough cash for a rainy day and no surplus income left, there are low-cost borrowing solutions to look into. Back to spending categories, you can make a list of Christmas expenses such as post-Christmas sales, holiday clothing, travel, Christmas tree and décor, entertainment, and holiday meals.

Holiday Gifts

You may include expenses such as kitchen and baking gifts, service gifts and tips, and holiday photos. Other items you can list include Christmas cards, shipping and postage, gift wraps, stocking stuffers, and of course, gifts. Shop around and calculate how much you need in total. If you want to have a more detailed list and plan, think of everyone you will meet and give a gift – grandparents, siblings, cousins, spouse, kids, uncles and aunts, etc. Other people on your list may include coworkers, bosses, partners, church staff, neighbors, and service providers. List all names on a list and divide them into categories, for example, “no gift”, “gift made”, and “gift to make”. This will give you a good idea about the number of people you can afford to give a present. Focus on the “gift to make” category and assign the amounts you plan to spend. Then assign amounts for the “gift made” category (the amounts you have already spent). Calculate how much you have in total. If the total amount is less than your budget for holiday gifts, then you can move names from the “no gift” category to “gift to make”. This is a great way to ensure that you are able to give presents to more people. If you want to, you can also make a gift list and list each gift in addition to gift amount. Alternatively, you can use the envelope system for holiday-related spending.

Think of the types of gifts that are suitable for colleagues, neighbors, and friends. May be Christmas treats, cookies, or anything else? This depends on your budget. Once you do this, have a list of all expenses, and a good idea of how much you need, you may want to start tracking your ongoing expenditures. After you paid for gifts or anything else, make sure you record all expenses to keep track of your spending. This will give you a good idea of the cost of the holiday season.IMG_0100

Other Considerations

To make things run smooth, it pays to prioritize expenses, especially during the holiday season when you have additional expenses. Priority expenses include things like your rent or mortgage, outstanding balances, and utilities. It is important to pay these first, along with council tax, payroll and income tax, spousal and child support, etc. Other expenses to meet include student and personal loans, medical bills, and credit card debt. It all depends on your financial situation, whether you have debt and how much you owe, and other considerations. Finally, there is one golden rule to follow, whether during the holiday season or any other time – live within your means and don’t overspend.

On a Tight Budget

If you are on a tight budget, there are great ideas for free gifts – you have one valuable resource to use, and this is your creativity. If you have enough time, you can think of gifts such as personalized CDs, repurposed old frames, homemade cookies, etc. You can create a scrapbook, album, or photo collage or you can knit or crotchet a sweater, table cloth or anything else. There are plenty of gift ideas such as homemade bread, good reads and books on your shelf, an encouragement jar, and so on. Whatever comes to your mind, really, is best because you know your loved ones well. And if you are short of time and have a tight budget, look for Christmas sales and discounts, promos, and online sales. Online retailers save on rent, salaries, and other expenses and offer exclusive discounts and hot deals.