The best way to avoid excessive debt this holiday season may be to shop with a plan, according to many experts. Many shoppers find themselves financially unprepared for the extra expenses and turn to home equity loans or credit cards. As a result, many people can end up overspending during the holidays trying to get the perfect present for friends and family. Credit cards may offer a free 30-day loan, but shoppers that overextend themselves may find themselves in more financial hurt than if they used a checking account instead.

The best solution to curbing your holiday spending may be to establish a budget. Make a list of everyone you wish to buy presents for and figure out exactly what you want to get them. Then compute the total price and compare it to your cash on hand and make sure you can afford it. Finally, go to the stores with your list and purchase only those things on the list. Many people end up buying much more than they plan when going to stores, so it is important to stick to the list. The end result is a very manageable holiday shopping season.