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Holidays

Bargain hunter hit the stores early

Credit Counselors Fear Some May Find Solace In Shopping.

By SUSAN REIDY
Staff Writer
FRIDAY, NOVEMBER 23, 2001

DECATUR -- Waking up early on Thanksgiving morning saved sisters Teresa Flesch and Kathryn Flesch-Bledsaw at least $140 on Christmas gifts.

The bargain shoppers joined a crowd that stretched from the door of Kmart to Pershing Road before the store opened at 7 a.m. Thanksgiving Day. Although Friday is considered the official start of the holiday shopping season, a few stores got a head start on Thursday offering special deals.

"There were a lot more people this year. I think everyone is trying to get a bargain and trying not to spend a lot of money," said Flesch of Decatur, who plans to head back out early this morning for more sales.

But credit counselors, who help consumers with their financial "holiday hangovers" every January, are concerned that the opposite will be true this year. They worry people might turn to shopping as solace from the Sept. 11 terrorist attacks and layoffs, or because they think it's their patriotic duty.

"People have one duty. That's the duty to their family, the duty to put food on the table and a roof over their heads," said Howard Dvorkin, president of Consolidated Credit Counseling Services Inc.

One estimate shows the average shopper will spend $863 on holiday gifts this year, a 5 percent increase from last year.

Today, as shoppers head to stores at the crack of dawn on what is the largest shopping day of the year, counseling agencies are stressing more than ever tips to keep spending in line and still make the holidays merry.

An extra caution for today is to avoid buying an item just because it's on sale, Dvorkin said.

"Think about do you really need this, is it going to make my life that much better?" he said. "People are in the holiday spirit. They don't think about the effects of what they're doing and how they're spending."

That's why a budget with the name of everyone who's getting a gift should be made before going to the first store. Several consumer counseling agencies have worksheets online to help with that task. "There's no rule of thumb. Every situation is different, only the person knows the correct amount of money they can afford," Dvorkin said. "The trick is to stick with it."

People who have lost or will be losing a job should definitely cut back on their spending, said Rexlyn Nicole, displaced worker program coordinator for University of Illinois Extension.

Cut down on such things as dining out, video rentals and other entertainment in favor of family activities that are free, such as concerts or community events. It's important everyone in the family understand this holiday season is different, Nicole said.

Once at the store, Dvorkin recommends avoiding credit cards, because people will spend 30 percent more when paying with plastic.

Counselors suggest shopping early to allow ample time to compare prices and avoid last-minute impulse buys. Don't shop a lot or just for the sake of shopping, Nicole said, because the more times you go out, the more you're going to spend. "It's a case of shopping around, don't buy the first thing you see," said Flesch-Bledsaw of Decatur, who found an electric drum for $29 versus the full price of $70.

"Find a room to store it in, and buy early. Watch for what's on sale and clearance."

For Tips On the Internet Go To: Consolidated Credit Counseling Services, ConsolidatedCredit.org