Invest Smart: How to shop smartly this festive season

With the festive season around the corner, our wallets often loosen up. It’s a time when alluring offers and discounts pour in, tempting us to indulge in shopping extravaganzas. But, as the excitement builds, it’s crucial not to let it derail our financial plans. In this episode of Invest Smart, Hemant Rustagi, CEO, Wiseinvest talks about how to ensure your don't go overboard while festive shopping.

Emphasising the importance of aligning our celebrations with our financial realities, Hemant Rustagi says that going overboard might push us into situations where loans become necessary, impacting our ability to meet other commitments like EMIs or investments.

Planning is the key, Rustagi advises. Having a shopping list and a predetermined budget might seem basic, but they act as powerful tools to curb impulse spending.

While the thrill of impromptu shopping might seem exciting, planned shopping can be just as fulfilling, he adds. Creating a shopping list provides a perspective on the expenses, allowing time to consider each item's worth.

Now, a trend that’s gaining momentum is interest-free EMIs. While they might appear harmless, they come with their set of risks. Rustagi warns about hidden costs, such as processing charges, GST, penalties for delayed payments, and the potential damage to our credit scores.

The allure of interest-free EMIs and credit card EMIs can lead to reckless spending, resulting in financial distress.

Incorporating festive expenses into our overall financial planning ensures that we enjoy the festivities without compromising our future financial stability.