The first rule of finding bargains in anything has to be this don't be very particular about what you will go as. There are cheap Christmas costumes available for all kinds of appearances. But you do need to be flexible if you don't find the exact thing you're looking for. There are always great-looking costumes that the stores sell as their loss leaders. If you get to the store all willing to forget about what you go as, you'll come away with a great purchase for next to nothing.
Consignment shops will often offer cheap Christmas costumes that have been worn no more than once or twice, if that. You'll often find that they have several racks for men, women and children. You can get a costume that you would swear cost $50 if you were not told what the sticker was for, really. Consignment stores and thrift stores can be great hunting grounds for the entire family.
If you aren't averse to the idea of used costumes, online classifieds like Craigslist, Pennysaver USA and eBay can be sources of great bargains. You'll often find spectacular costumes and you won't even have to be flexible about what you go as.
Shopping at the peak costume buying season is a formula for needless expense. Instead, be sure to go the day after Christmas for the following year's Christmas, and you'll get unbelievably great bargains. But if you want something for this year's holidays, consider shopping at the very last minute. Buying it on the day, perhaps an hour before you need to wear a costume and scare the day living daylights out of your neighbors, will get the price knocked down to perhaps 80% off.
And if all fails, get on the costume swap website. You only have to pay five dollars a costume.
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