Until 2020, when COVID-19 was implemented, the regulations for preserving credit over the holidays were relatively consistent from year to year. The economy is struggling, and many individuals are struggling financially. According to a recent study by NerdWallet, almost 40% of Americans said they intend to spend less on holiday-related purchases this year due to the epidemic. Conversely, others may be motivated to splurge if they can save money because of mortgage forbearance, loan deferments, or credit card concessions. However, according to Jeff Richardson, senior vice president of marketing and communications at VantageScore, a credit scoring organization, a shopper's credit will be severely affected if Christmas spending leaves them unable to afford even actual payments when those other obligations begin. You can do most of your shopping online these days, whether trying to spend less money or more generously.

How To Keep Your Credit Safe When Shopping For The Holidays

Examine Your Statements

It's essential to be especially cautious with money throughout the holidays since it's one of the most extraordinarily busiest times of the year but also one of the most financially precarious. We are shopping a lot, much more than is typical. As a result, errors and extra charges are more likely. Keep an eye on your bank statements to be sure you haven't been accidentally double-charged for any large purchases. This is a hectic time of year, and if we are careful, we may remember to verify such details. Keep an eye on your credit card statements as least once a week. Check that there is no cause for alarm and that everything is in order. Contact your credit card provider as soon as possible if you need help explaining a single transaction on your statement.

Keep A Close Eye On Your Accounts

It's easy to get carried away with holiday shopping and forget to keep an eye on the budget. Further, criminals prey on unsuspecting holiday shoppers by stealing their personal information, so you must monitor your spending closely. Making use of credit card account alerts sent automatically is an intelligent move. Many businesses will send you a transaction alert when you use your credit card. Contact your credit card company immediately if you see a strange transaction so you may acquire further details and dispute the charge.

Monitor Your Identity

In the United States, identity theft is on the rise. Each year, this crime affects millions of people in the United States and costs the economy billions. As someone who has already had her identity stolen once, you know how important it is to take measures to prevent it from happening again. You should utilize a Lex OnTrack tool to maintain tabs on your identity. Lex OnTrack provides $1,000,000 in identity theft protection, alerts you of any changes to your credit report, provides your FICO® score, analyzes your credit report and score, and provides essential credit restoration services.

Watch Out For Scams

Keep your guard up while you conduct your Christmas shopping online. If you're making a purchase online, be sure the retailer is one you know and trust, and always double-check the URL before entering any personal information. Furthermore, as we approach the end of the year, you may receive more spam calls and phishing emails. Scammers and other criminal actors frequently pose as officials from your bank or perhaps the government when they contact you to request personal information such as your Social Security number and account credentials. Do not give out personal information over the phone, especially if the caller claims to be from a firm with which you are already familiar. Instead, contact the company directly and ask to speak to the fraud department.

Take Safety Measures Before Traveling

The Christmas season sees a dramatic increase in tourist traffic. When you're out and about, logging into a free Wi-Fi network at a nearby business might be tempting. Nonetheless, hackers may focus on you specifically if you use one of these unprotected networks. If you're concerned about your online activities' safety or data privacy, it's recommended that you switch to using cellular data instead of public Wi-Fi.

Conclusion

Con artists love the Christmas shopping season because they know people will spend more money than usual. This year, I want to remind you to exercise caution. In your haste to complete your task, you may fail to see potentially harmful patterns of conduct.