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Holiday Club Savings: Enjoy the Season without the Stress

11.14.19
By: American Heritage

The holidays are one of the most enjoyable times of the year. But if you’re like many of us, they may also be one of the most expensive. Whether you’re heading out of town or heading to the mall, the cost of gifts, travel, and entertaining can leave you in the red come January. The secret is to start saving for the holidays as soon as possible.

We get it. Financial responsibilities like rent, car payments, and student loans can make it harder to set aside money throughout the year. But here’s the good news: You don’t have to drop hundreds of dollars into your savings at once. The key to successful saving is to put money aside regularly.

At American Heritage, our special Holiday Club and Vacation Club savings accounts give you a simple way to save consistently throughout the year. With minimum deposits as low as $5 per week, these dividend-earning accounts make it easy to sock away money for the holidays or a vacation without putting a big dent in your paycheck.

 

Holiday Club Accounts

Whether you’re checking names off a holiday shopping list or checking airfare to go someplace warm, chances are that December will be pricier than most months. An American Heritage Holiday Club account is a practical way to avoid taking on too much credit card debt or wiping out your cash to pay for these costs.

Here’s how to make the most of this account:

  • You open a Holiday Club account well in advance of the next holiday season.
  • You deposit a small amount each week, as little as $5. Setting up automatic transfers from your checking account works best.
  • Throughout the year, your savings will grow and earn dividends.
  • Your funds will be transferred to your primary Share Account right before the holidays.

This option offers some great advantages. First, it helps you build up hundreds of dollars or more with minimal effort. If you set up automatic transfers to your Holiday Club account, chances are you’ll barely notice the money is missing from your checking account. When the holidays arrive, the sudden cash deposit will feel like a windfall. On top of that, it can help those who are tempted to overspend by keeping this money “out of reach.”

 

Vacation Club Accounts

Maybe you prefer to keep the holiday season simple and want to focus on your summer vacation. We can help with that too.  

Our Vacation Club account works in the same way as our Holiday Club account but is timed to help with saving for summer vacation costs. So, if you’re planning a trip to the shore, across the country, or around the world, you can save year-round to help create an unforgettable vacation and worry less about overspending.

Our Vacation Club account offers additional flexibility with the option to make four withdrawals annually, but it’s best to keep your vacation savings growing until summer arrives.

Tip: If you have a vacation in mind, do a little math to estimate the total cost of the trip, including transportation, lodging, food, admission fees for attractions, and so on. This can help you create a savings goal and determine how much you’ll need to set aside each week in order to reach it.

 

4 Savvy Tips to Boost Your Holiday Budget

Here are some other holiday saving tips that can help you enjoy your time more and worry less about your finances.

 

1. Be Smart When You Charge It

If you use a credit card, as many of us do, choose an option with a low APR in case you need to carry a balance for a little while. Also, make your spending more rewarding with a cash-back card like our American Heritage Cash Reward Mastercard®.

 

2. Start a Holiday/Vacation Jar

Let the whole family pitch in to help build your holiday or vacation fund. Handfuls of loose change and small bills can really add up over time!

 

3. Set a Budget & Stick to It

Whether you’re saving for a special purpose or simply want to keep your day-to-day spending in check, a smart budget is key. The My Money Manager tool in American Heritage’s Online and Mobile Banking makes it easy to set, follow, and adjust your budget to meet your needs, and it makes it easy to track your spending and find ways to cut back.

 

4. Get a Side Gig

Look for a side gig — like tutoring, babysitting, driving for a ride-hailing service, or taking advantage of a seasonal job during the holidays. It’s a great way to put some extra cash in your pocket, especially if you need it now.

 

An Affordable Loan for Happier Holidays

If the holidays take a toll on your finances, you’re probably not alone: Americans spent an average of $1,007 during the 2018 holiday season. But paying for your holiday shopping and travel doesn’t have to come with a high interest rate.

At American Heritage, our limited-time Holiday Loan can make paying for the holidays a whole lot simpler. It’s a convenient $1,200 loan that you pay back over 12 easy monthly installments. This popular unsecured loan has a low 12.00% APR, making it a better alternative to other forms of financing. Connect with our friendly team to get started.