This should go without saying but if you’re already deep in the hole, spending sprees should be the last thing on your mind. A recent poll by AP-AOL Money found that 34% of Americans have earmarked their refunds to pay bills.
Odds are you aren't fully prepared for unexpected expenses (your car breaks down, you need an emergency root canal). To avoid getting saddled with serious debt, beef up your emergency fund. Ask your bank about a high-yield savings account so your money makes even more money just sitting there.