Why Installment Shopping is the Smarter Option This Holiday Season

Christmas is not only the most festive time of the year, but also the most expensive as most parties and reunions happen this time. Is it even a Christmas party without some gift giving? We offer gifts, whether material or monetary, as a means of sharing the holiday spirit and the blessings we have received in the year.

With the surge of expenses, the biggest question to ask to yourself is “Am I financially ready for the holidays?” From buying presents to preparing a grand Noche Buena spread, holiday spending can quickly overwhelm your budget. In this guide, we’ll walk you through the benefits of installment shopping through a product loan, and how it is a gamechanger this holiday season. 

Installment shopping, also called “Buy Now, Pay Later”, is a type of payment that allows customers to purchase items and pay for them over a given period, spreading out the cost in monthly installments. Because of this, installment shopping has become a popular and more convenient way for Filipinos to purchase items they need without having to pay the full amount.

Here are other things you can benefit from installment shopping:

1.    Afford Big-Ticket Items at Manageable Payments

One of the main advantages of going installment shopping or the “Buy Now, Pay Later” strategy is you can afford expensive items such as a high-end smartphone or home appliance and spread out the payments over several months. This eases the strain on your budget, giving you a much-needed peace of mind during the holidays. 

2.    Gives Financial Freedom

Having the option to not pay the full amount of let’s say, a two-door refrigerator you want to gift to your mom means having more money for other important things. Installment shopping gives you the financial freedom to divide your money for other necessities instead of spending all your salary or savings on just one big purchase. 

3.    Helps Avoid High Interest Rates

Many Filipinos use their credit cards when shopping for Christmas gifts, but high interest rates can quickly inflate credit bills which can lead to financial stress down the line. Installment plans—especially with services like Home Credit—offer zero or low-interest rates on big-ticket items, which make them more affordable and convenient to pay.

4.    Gives Access to High Quality Products

With installment shopping, you can purchase high-quality home appliances, electronics, or furniture, without compromising your budget. Some Filipinos tend to be thrifty during the holidays to manage their expenses, but they often end up settling for less. Buying imitation or counterfeit items can cause further strain on your budget and can even harm you and your loved ones. 

It’s too easy to spend mindlessly during the Christmas season with parties and celebrations here and there. To avoid falling into the trap of holiday shopping spree, here are some smart tips for making the most of installment shopping while staying on top of your finances:

1.    Plan Your Purchases

Before hopping to the malls, make a list first of the things you need for Christmas and their estimated costs. This includes gifts, decorations, and food for Noche Buena. Listing of your holiday purchases will help you identify the most important ones and avoid impulse buying. 

2.    Stick to Your Budget

If your budget for the holidays is limited, it is crucial to pay attention to your planned purchases. While installment shopping is great as you can spread the payments in months, be careful overspending as this can cause problems in the future. Even with 13th month pay and holiday bonus, it is still crucial to keep track of your financial responsibilities, so you know where to carefully spend your budget. 

3.    Watch out for Holiday Promos

Is it really Christmas without sales, discounts, and special promotions popping everywhere in malls and online stores? By choosing to avail products with holiday discounts, you can enjoy even more savings and use your money left for other emergencies and other important things.  

4.    Choose a Trusted Financing Partner

Check the company's reputation first before choosing a financing partner. Home Credit is a trusted provider that offers flexible installments of up to 36 months, making it easier for Filipinos to buy Christmas gifts like smartphones and appliances. Shoppingmall.ph offers the widest range of products with up to 30% discounts and 0% interest.

Installment shopping is a convenient and stress-free Christmas buying strategy. With 0% interest deals for product loans from reliable financing partners like Home Credit, you can bring home everything you need for the holidays without the need of paying it in full amount.