Savvy Solutions to Help Save for the Holidays

Few things get worked harder during the holiday season than credit cards. Because of all the spending that comes with the holiday season, the black strip on the back of a credit card is often worn down by the time New Year's Day finally arrives.

But just as worn down is the person holding that card. In addition to the busy social schedules and shopping lists that run people ragged by the end of the holiday season, financial stress can also take its toll by the end of the season. But the financial stress doesn't have to be so burdensome.

* Christmas clubs -- Banks typically offer a Christmas club savings plan. Each week, account holders deposit X amount of dollars into the account, and that money cannot be withdrawn until a specified date during the holiday season. Many banks even allow automatic e-transfers from a checking or savings account so account holders don't forget to make their deposits. At the end of the savings period, you'll have a sizeable amount of money to put toward gifts and other holiday hoopla.

* Loose change -- Though it might seem comical to rely on loose change to purchase holiday gifts, those nickels, dimes and quarters in your pocket each day can quickly add up. Empty your pockets or pocketbooks of spare change each day and store in any available receptacle -- empty juice container, water bottle or can -- large enough to accommodate the change. When it comes close to the holidays, roll your change and bring it to your bank, or take advantage of the CoinStar machines in many supermarkets to cash in your coins. Spare change saved for a year could very easily add up to hundreds of dollars.

* Take advantage of credit card incentives -- Credit card holders who extensively rely on their cards each holiday season can take advantage of the incentives many companies offer . These incentives can net free merchandise cardholders can then give as gifts, or other benefits cardholders can use for themselves once the season is over.

What these incentives essentially allow is cardholders to get more bang for their holiday buck. Such value can make paying the credit card bills come January a little easier to swallow.

* Consider CDs -- If you've made a conscious effort to save early for the holidays, consider a Certificate of Deposit (CD). CDs can be an effective means to saving in the months leading up to the holiday season or even a means to saving for the bills that will inevitable arrive once the season is over. Account holders can deposit money into a CD for a specific amount of time (3 months, 6 months, 9 months) depending upon what your bank offers. CDs usually yield a higher amount of interest than regular savings accounts, so you'll be rewarded with extra money when the CD matures.