Talk Money Week 2023 – Be a mindful spender
It’s Talk Money Week and each day this week we’re featuring ‘one thing’ you can do to boost your financial wellbeing. As we approach the festive season, it’s important to remember that ‘The perfect Christmas’ doesn’t have to mean overspending and debt. ‘Buy now, pay later’ services may seem like a great solution, but there are risks involved.
We need to talk about Christmas
Christmas is a time of year when money worries can be particularly high, as households spend, on average, an extra £740 in December than they would in other months.
This MoneyHelper blog provides practical tips for festive budgeting, cutting the cost of gift giving and avoiding debt.
The risks of ‘Buy now, pay later’
If you use services like Klarna, Clearpay and Laybuy when shopping online or in store, you may not be aware that if something goes wrong, you can face late fees and marks on your credit file.
Moneysavingexpert.com suggests that if you’re thinking about using a ‘Buy now, pay later’ (BNPL) service, you should have a think about how you’d answer these three questions:
- Would I have bought this item in the first place if BNPL wasn’t an option?
- Am I sure I can meet the repayments?
- Is this the best form of borrowing out there for me?
If the answer to any of these questions is ‘no’, then perhaps you shouldn’t be using it.
Important – Buy now, pay later is currently an unregulated sector, which means it lacks some vital consumer safeguards.
Apex Welfare Advice Service
Our Welfare Advice Officers are here to provide you with advice, guidance or to resolve any problems you may have with budgeting, debt or applying for benefits.
Tel: 028 7130 4800
Email: welfareadvice@apex.org.uk
