There is hardly a season where consumption takes place to such an extent as in the Christmas season. For a good reason, because who doesn’t want to see their kids shine on Christmas Eve when the long-awaited gift comes out when they are unpacked. When the girlfriend or wife squeezes a tear or a tear because the new piece of jewelry is simply fantastically beautiful. And we men are happy about one or the other typical gift for men.
For these reasons alone, a point is often excluded in the Christmas season, which should actually be taken into account in every edition. That crucial point that “can afford”. Why not exclude this point, after all, retail and the financial sector have the right loan offer for carefree Christmas consumption – consumer credit. But be careful, because it is not uncommon for excessive consumption to lead to a debt trap. In addition, not every offer for a consumer loan is recommended.
Unbridled consumption at the expense of responsibility
Even if interest rates for a loan are currently in the basement, this does not necessarily mean that the rules of controlled consumption are not being followed. The Christmas season shouldn’t serve as an excuse. It is true that both banks and retailers make the greatest effort, especially at Christmas time, to give consumers the feeling that “everything is not a problem”.
But this is done for self-interest, because after all, selling products during Christmas is the ultimate source of income. What may sound a bit enlightening and instructive, however, is justified as a hint. Especially at Christmas time! Keyword zero percent financing in the form of so-called consumer loans.
Banks and retailers lure with 0 percent consumer credit
What appears to be super bargains at first glance, for example financing the new game console at a low monthly installment of only 19 USD with zero percent interest, often turns out to be an entry into a spiral of debt. Because what are 19 USD a month? Then you can integrate the new TV for 29 USD a month!
The trade is happy because he earns a lot of money from the loans he brokered. The bank, too, because it has not only won a new customer, but also new customer potential for further financial offers. The new customer is also offered a credit card, which of course has a corresponding limit. Hooray – even more credit! Which, on closer inspection, the consumer cannot actually afford.
It is not uncommon for a few weeks, perhaps even months, to be followed by the painful realization that Christmas shopping has been exaggerated. The installments can no longer be paid on time, you try to reschedule the debt, reduce the monthly loan installments, etc. Up to the bitter realization: It is no longer possible!
6.8 million in debt: one of the main reasons? Zero percent financing!
This is not a utopia, according to the recently published debt report by the credit agency Creditreform. After that, 6.8 million people in Germany are over-indebted. It is not uncommon for the overindebtedness to lie in the excessive and thus uncontrolled use of the so-called zero percent financing and consumer loans. If a situation such as the loss of a job then arises, the entire financial structure and the monthly installments are quickly collapsed.
The result is either the consistent debt settlement by a specialist or even the use of personal bankruptcy. A situation that you don’t want anyone. So right now in the upcoming Christmas season: Please indulge in consumption only in a frame that is given to everyone individually. Even if a consumer loan is to be taken out, please only under the strictest examination of the loan offers.