How to keep your credit card debt in check during the holidays, according to experts

The holiday season is often an expensive one for many Americans. There are presents to buy, events to attend and relatives to host and if you're not careful, the costs can add up quickly.

The problem only worsens when credit cards come into the mix, bringing interest and hard-to-tackle debt along with them.

"Credit card debt typically spirals out of control during the holidays," says Ernie Wingard, a financial representative and marketing director for Capital Choice Financial Group and Wingard Financial. "Consumers feel the need to spend more than they can afford."

Fortunately, being aware of the threat — and coming up with a plan to avoid it — can help. We asked experts how, exactly, you can keep your credit card debt in check this holiday season. Below, we'll break down the moves they suggest borrowers make.

Stuck with high-rate credit card debt now? Review your top debt relief options here.

How to keep your credit card debt in check during the holidays, according to experts

Want to get to January without burdening yourself with too much credit card debt? Here's how experts suggest you do just that:

Have a spending plan and budget

The best thing you can do is to go into the holidays with a budget in mind — a limit for what you want (and can afford) to spend. 

"Then, live by that number," says Eric Elkins, CEO of Double E Financial and host of "The One Percent Show" financial podcast. "By assigning a budget for yourself, psychologically, it becomes more like a game that you want to play and win."

If you set your budget early enough, you also give yourself time to gradually save up that holiday cash instead of putting it on credit cards. You can do this using a high-yield savings account or even a longer-term tool like a certificate of deposit (CD) — as long as you give yourself enough lead time. While it may be too late to do this for the 2025 holiday season, it can be especially helpful for next year, should you get to work now.

"The best strategy is to plan ahead of the holidays and set a budget and stick to that budget," Wingard says. "If you aren't disciplined enough to pay off your credit cards on a monthly basis, you should be putting cash in a special account to pay for holiday expenditures."

Learn about the ways you can reduce the credit card debt you already owe here.

Use cards strategically

If you do need to use credit cards — or just want to for points- or rewards-earning purposes, starting early is also crucial, as it allows you to spread those purchases out over time (making them easier to pay off, too). 

Be choosy about what cards you use, though. Just because you've had a card for years doesn't mean it's still the best one. Pros say you can — and should — shop around for other options.

To start, look for any cards offering promos for new customers. As Kim Chambers, credit card product manager at Georgia's Own Credit Union, advises, "Take advantage of introductory card offers to save on interest."

You can also utilize any gift cards you may have, or take this time to redeem reward points, miles, or cash back your existing cards offer — especially on travel, she says. 

"Don't be lazy and pay 20%-plus in interest fees if you don't have to," Elkins says. "There are plenty of websites you can Google that will tell you which credit cards are offering promotional deals."

Set rules

Before you use credit cards for holiday spending, make sure you have some guardrails in place. For example, you can set up spending limits on your cards or make sure notifications are turned on, Chambers says. This will allow for better monitoring of your balances and payment dates, but you'll need to stay on top of them.

Experts also recommend steering clear of cash advances (they're an easy way to rack up fees), and to only charge something if you know you can pay it off in full that month — before interest can accrue.  

"You'll face high-interest payments and long-term debt if the balance is not paid in full when the statement is due," Chambers says. "It can also be problematic if the debt becomes unmanageable to pay down or if other essential expenses arise that need to be a priority."

Last but not least, have a plan for paying down your balances — before you swipe that plastic. This could be something like using the avalanche or snowball payoff methods, or you could line up a 0% balance transfer card or lower-rate consolidation loan to help you pay off the balance with less interest.

"If you do have to pay the balance off over time, then build a plan of what you can afford to apply each month and the timeline of when you will be done paying off the debt," Elkins says. "If you go with no plan, you're more likely to lose this game."

The bottom line

The holidays don't necessarily have to bring financial stress, as long as you come with a plan. If you do end up getting into debt this holiday season, though, and find yourself struggling to pay off your balances, contact a credit counselor, debt relief company, or financial advisor for help. You can also contact your card issuer if you're dealing with a financial hardship. They may have payment plans, be willing to negotiate on your rate or balance, or have other alternative strategies that can help.