Hot holiday gift: Cash to pay down credit cards
If you want to give someone a surprise holiday gift that they'll really appreciate, consider doling out some cash to help them pay off their credit card debt.
More than half of people (53%) say that would be their top choice as an unexpected holiday gift, a new survey shows. About 19% say they'd like clothes and 18% want the latest tech gadget, according to the survey of 1,466 people, ages 25 to 65, conducted for Charles Schwab.
"Paying off non-deductible consumer debt like credit cards is such a smart move," says Carrie Schwab-Pomerantz, president of the Charles Schwab Foundation, which oversees financial education programs for teens and adults. "Whether you're giving it as a gift to someone else or paying off your own debt, the money you save in interest payments can be leveraged for financial and emotional security. "
Improving their personal finances tops many people's list of New Year's resolutions.
When survey respondents were asked what they would choose as a New Year's resolution to improve their well-being, 75% said getting their finances in check was their first or second resolution, followed closely by 63% who picked losing weight/getting in shape as their No. 1 or No. 2 resolution.
About a third of people say getting a new job will be one of their top two resolutions; 30% want to volunteer more.
"It's very gratifying to see that people are so focused on improving their financial health and well-being, Schwab-Pomerantz says. "Taking small steps now can have a tremendous impact over time."
Other findings:
• If they could work with a professional in 2015 to improve one aspect of their lives, 38% of survey respondents would pick a financial planner, 36% a personal trainer, 13% a marriage or relationship counselor, and 13% a career coach.
• 66% say they have the knowledge and resources they need to take care of their finances; 34% don't feel prepared.
• 43% say they are on top of their finances; 27% don't know where to start and think they need more education and information; 15% feel overwhelmed and don't want to deal with their finances; 15% think dealing with their finances is boring and would rather do something else.