Preparing your Finances for the Holiday Shopping Season

It’s hard to believe that the holidays are right around the corner, but now’s a great time to start stocking up on gifts. That way, once December arrives, you will be able to relax and enjoy family and friends stress-free. Another way to keep your cool as winter comes is to stay on top of your finances and credit. By reviewing your current credit situation and taking steps to spend smartly, your holiday celebrations will go off without a hitch!

Checking your credit report and FICO^® credit score
Before you begin your holiday spending, a smart way to prepare is by obtaining your credit report from all three nationwide credit reporting agencies. Doing so can help you ensure that the information reported about you is accurate as well as know how much you owe. If your debt-to-credit ratio is higher than you would like, you might want to consider a more modest spending level this season and give yourself the gift of healthier finances!

It’s important to know your credit score and the buying power it provides during the shopping season. By finding out and understanding your credit score, you may be able to negotiate better with lenders — a skill that could help you save on large purchases if you are eligible for lower interest rates. Now that’s something you’ll be grateful for long after the holidays are over. If you’re interested in obtaining your current FICO^® credit score and Equifax Credit Report,™ click here.

Making a budget and spending smartly
Don’t forget that all of the fun and events of the season can sneak up on your wallet. From long distance calls to entertaining company, maintaining a budget can help keep you merry AFTER the festivities are over.

Here are a few suggestions of good ways you can stretch your dollar:

Determine how much you would like to spend on each gift ahead of time.
Try to find deals both online and in stores.
Consider homemade gifts to add a personal touch.
Or, try cutting your costs in other ways to help you afford that "perfect" gift.

This Month’s Poll Question: Identity Theft

We want to help you discover the information that’s most important to YOU. Simply select your answer below to this month’s question on identity theft during the holiday season.*

Find out what other Equifax customers thought — as well as important information on this topic — in our upcoming newsletter.

August’s Poll Results:

24% of respondents thought that identity theft is most likely to occur while shopping online. As a matter of fact, recent studies show that identity theft is most likely to result from a lost or stolen wallet, checkbook or credit card. The next most likely sources are actually friends, acquaintances, relatives or in-home employees.^†

Interactive Tool: Equifax Credit Quiz

Find out if some of your financial behaviors are detrimental to your credit health. Take our quick quiz to determine whether your actions might cause credit difficulties in the future or if you’ve developed good credit habits.

Featured Product: Three-Bureau Credit Report with FICO^® Score

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Get the complete picture of your credit history from all three nationwide credit reporting agencies
delivered in a single, easy-to-read report that can help you negotiate with lenders. You get:

Online access to your 3-in-1 Credit Report
Comparison of your credit history with Equifax, TransUnion and Experian
Your FICO^® credit score — the score lenders use most (calculated based on the information in your Equifax credit file)

Equifax and BBB Identity Theft Alerts: Protect your Holiday Purchases

What would you do if the merchandise you purchased for the holidays turned out to be something totally different than what you ordered or failed to arrive on time? What if you were simply ripped off? To avoid such mishaps this holiday season, the Better Business Bureau offers these tips:

Know Your Rights — By law, retailers — including electronic retailers — are required to ship an order within the time stated on their Web site (or in their ads) or at the time the order is placed. If a company does not promise a time, it must ship the order within 30 days of receiving it. And if the company is unable to ship within the promised time, it is required to say so and allow the consumer to agree to the delay or to cancel the order and receive a prompt refund.

Track Your Purchases — Keep printouts of the Web pages where you placed your orders with details about the transaction, including your e-mails to the retailers and their responses to you, in case you are not satisfied. Keep track of all confirmation numbers and receipts.

Know the Policies — Have a clear understanding of what is involved in making the purchase. Be clear on the price, the company’s refund and return policy, its customer satisfaction policy and customer service contact and the terms of any guarantees.

Pay by Credit Card — Paying with cash, debit cards, ATM cards or electronic funds transfers offers less protection than using a credit card. If you use a credit card, you have the right to dispute the bill and your liability for fraudulent charges is limited to $50 under the Fair Credit Billing Act. Your card issuer may also provide additional warranty rights.

Get Satisfaction — If you have an unsatisfactory shopping experience, the best course of action is to contact the retailer. If it is an e-retailer, look for an address to write to or a phone number to call. If you have never heard of the seller, check the company out with the Better Business Bureau and the state attorney general’s office. If the retailer is not responsive to your communication, file a complaint with the Better Business Bureau or contact BBB before doing business with a company at www.bbb.org. For more information about identity theft protection, please visit www.bbb.org.

© 2008 by the Council of Better Business Bureaus, Inc. Arlington, VA
Used by permission. The name Better Business Bureau is a registered service mark of the Council of Better Business Bureaus, Inc.