If your holiday plans hit a snag this year, we're really sorry to hear that. Now it's time to pursue a refund or credit for your interrupted travel.

This Week In Your Wallet: Important Updates…

Happy Holidays! As we approach the new year, many of us are eagerly anticipating its arrival. The past year has been challenging, and as we wrap it up, there are crucial last-minute updates you should be aware of.

Learning from Experience

Previously, I discussed the impending end of the student loan pause scheduled for January 31, 2022. I was quite confident that it wouldn't change. However, circumstances shifted unexpectedly. If you've enjoyed the break from federal student loan payments, you're now off the hook until May 1, 2022.

While this may seem like a relief, we've learned that time can feel both slow and fast. It's wise to prepare for payments to resume sooner rather than later, especially if it's going to be a financial stretch. I covered this advice previously, and it still applies.

Home or Away for the Holidays

If you traveled this holiday season, I hope you returned safely or are enjoying a much-deserved getaway. I sincerely hope you're not among those stuck due to canceled flights.

Flight cancellations have been rampant — with 2,500 flights canceled yesterday and over 6,000 more during the holiday weekend, plus countless delays. These issues stem from the Omicron variant affecting flight crews and personnel. Given my track record, I won't predict the future, but expect more travel disruptions in the months ahead.

If you find yourself without a flight, what's your best move? Requesting a refund isn't straightforward, say reporters from major news outlets. While you're entitled to a refund for a canceled flight (as well as for significant delays), processing might take time. Often, it's more effective to work with the airline to rebook a flight that actually departs.

Consider allowing the airline to rebook you for immediate options, then use their app to find a flight that suits your needs. Calling customer service can also help make the switch. Plus, it's a good moment to utilize your frequent flyer miles, which tend to be easier to refund than cash. Booking with miles is akin to securing a flexible ticket, as noted by Brian Kelly (also known as The Points Guy).

Making Returns Easier

In contrast to recent travel woes, holiday sales have largely gone smoothly. Despite early-season apprehensions, The New York Times reports that most packages shipped via the Postal Service, FedEx, and UPS arrived on time or faced minimal delays. Additionally, in-store sales rose 8.1% year-over-year, while e-commerce sales increased by 11%, comprising 20% of total sales for the holiday season — up 5 percentage points from two years ago.

Now that the festivities have ended, it's time for returns. If you're heading to a major retailer, our sources indicate that you don't have to rush — many will accept returns into January. However, if you want to exchange items, acting sooner might be beneficial for better selection. Find essential details here.

A quick reminder: returning items purchased through Buy Now Pay Later (BNPL) can complicate matters. Here's what we discovered.

Charitable Contributions

This year, single tax filers can still claim a deduction of up to $300 for charitable donations (double that for married couples filing jointly), even if they don't itemize. Keep this in mind if you're planning any year-end charitable contributions. There are additional considerations, as detailed in a recent column by a financial expert — including guidelines for donating appreciated cryptocurrency. Remember, if you're giving away more than $5,000 of your crypto, a professional appraisal will be required, though this isn't necessary for appreciated stocks.

Wishing you a joyful and healthy New Year!