HOW NOT TO SPEND TOO MUCH ON GIFTS CREDIT COUNSELOR OFFERS HELPFUL HINTS.

Byline: Lisa Mascaro Staff Writer

SANTA CLARITA - Before heading out to the mall for the holiday shopping countdown, credit counselor Judy Hoover offers these wallet-friendly reminders.

Make a list. Make a budget. Don't make an impulse buy.

``It's so easy to go out and be overwhelmed with all of the beautiful things,'' said Hoover, a counselor at the Valencia office of the nonprofit Credit Counseling Service of Los Angeles. ``Be cautious, be careful, don't overspend.''

The urge to splurge can be overwhelming during the holiday season, but the pocketbook hit can blindside shoppers come January.

Last year, the average household spent $1,067 on holiday presents - or, for those who had been saving since January, $89 a month, the organization said.

``Theoretically, that would be the best way to do it,'' said CCCS spokeswoman Jennifer Root.

Credit counselors say that at the end of the next month, their offices start seeing the results of overspending, which can land even the seemingly well-to-do in trouble.

The service could not estimate what portion of spenders fall into holiday debt.

CCCS offers these rules of thumb for those heading out to shop.

Spending should not top 1 percent of gross income for those with credit-card debt or not saving for retirement, and 2 percent for those with disposable income - and that means total, from presents to wrapping paper, cards to stamps.

Shoppers should consider carrying just one credit card - and paying cash.

Look for bargains - gifts don't need to be expensive to be nice.

``There just has to be some assessment,'' Hoover said.

From college-age people to the well-to-do, Hoover sees money troubles in all walks of life at the service's Valencia office on Smyth Drive.

And for those who think their credit problems would be gone if only they had a little more money to do all they want to do, Hoover says think again.

``I think a lot of people don't understand, especially in Santa Clarita . . .,'' the counselor said. ``The financial problems have very little to do with income - it's managing the income.''

Hoover adds that she's had to tell some clients this holiday season that they just aren't in a position to buy any presents.

She knows it's a difficult fact to face - and she says she can't help but feel ``like Scrooge'' for being the one to say it.

``There is an unspoken pressure on people to spend and buy things for like 20 people in the family, and they're afraid everybody will get angry if they don't, or if they say, we can't do it this year, here are some cookies that are homemade,'' she said.

``I don't know the answer with how to deal with that, except to deal with it upfront.''

For those shoppers who do spend more than they should, the service offers tips for paying the bills come the New Year.

Hoover suggests paying more than the minimum due on credit card bills - offering the reminder that $5,000 credit card debt, at 18 to 21 percent interest, would take about 15 to 20 years to pay off.

``They should go back in their budget and see what they can reduce in their monthly expenses and see what they can do to attack the debt. They just need to get rid of it as fast as they put it on there.''