How to celebrate the holidays without breaking the bank

CHICAGO - It’s hard for the holidays to be the most wonderful time of the year when your finances are tight.

In a Fox 32 money saver special report, Dawn Hasbrouck looks at some ways to help you still afford them and dodge some debt.

With Christmas just weeks away, it is too late to save up some money to pay for your holiday gifts. Which means it can be prime time to rack up some holiday debt. 

"The best thing you can do is make a plan," said NerdWallet personal finance expert Kimberly Palmer. "First, making a plan for the debt you currently have. You want to make sure you have a plan to pay it off."

While not all of us may be able to double or triple our minimum bill payments during the holidays, our experts say you can do this to help manage your debt.

"For some people you might be better off using a balance transfer card, and the reason is this will give you up to 21 months with no interest accruing," said consumer finance expert Andrea Woroch. "So, it will buy you some time, help you get through this holiday season like you have to make as big monthly payments towards that debt. And then when January comes, you can really start focusing on those debt repayment goals."

Woroch said look for a card that offers the longest term with no interest.

She also said look for free rewards offered by retail stores, credit cards and consumer cash back apps. It can also pay to re-balance your budget.

"Maybe you’re even wasting money without realizing it on forgotten subscriptions. Maybe you’re paying for premium movie channels you really don’t need. Even doing things like calling your service provider to negotiate your rate or maybe they have a promotion to save an extra $10 or $20 on your bill. Even bundling services," Woroch said.

If you take the time to do that work, Woroch said those money moves could save you 10% to 20% percent on some of your bills.

While going all out for the holidays may seem like a good idea at the time, our experts said those shopping splurges can really add up if you're not careful. Which is why Woroch said you should give yourself time to think through an impulse buy.

"At least sleep on it. Twenty-four hours is enough time to think through whether it’s something you need and most chances you’ll forget about it, and you will have saved yourself some money," Woroch said.

Next, it’s time for the talk. The holiday gift giving talk.

"Taking a step back and talking with family and friends about scaling back this year. Maybe everybody doesn’t need the same expensive present you usually buy them every year. Usually people are really open to that because everyone is facing these same pressures and feeling really tight budgets this year," Palmer said.

The key is to have this conversation with your friends and family before they start their holiday shopping.

"You might be surprised that your friends and family are really open to that conversation and nobody wants the holidays to cause financial stress for people," Palmer said.

"Taking a step back and talking with family and friends about scaling back this year. Maybe everybody doesn’t need the same expensive present you usually buy them every year," she said.

The key is to have this conversation with your friends and family before they start their holiday shopping.

"You might be surprised that your friends and family are really open to that conversation and nobody wants the holidays to cause financial stress for people," Palmer said.

This year, consumers are expected to spend more than $1,700 on gifts, travel and other holiday expenses.

That about an 8% increase from last year, according to Deloitte's holiday retail survey.