Spending triggers that can leave you poor!
While most of us are guilty of spending more than we have from time to time, one way we can stop ourselves from piling up debt is recognising the prompts that lead us to opening our wallets. Here are some common triggers that can cause you to spend too much and hurt your financial well-being as provided by Cameron Huddleston from GO Banking Rates.
One of the biggest spending triggers is stress, said Cullen Hardy, a clinical psychologist and owner of business consulting firm The Hardy Group. “Human beings hate feeling stressed and love quick relief,” he said. “Spending can give that feeling of quick relief.”
An Emotional Event
The end of a relationship or other emotional event can trigger people to spend money, said Bruce D. Sanders, a consumer psychologist and author of “Sell Well.” A little retail therapy isn’t necessarily a bad thing because it can make you feel better, he said.
But you need to be careful about how often you’re dealing with your emotions this way so it doesn’t result in overspending and racking up debt.
Your social media use might not just be gobbling up your spare time or distracting you from work. It could be leading you to overspend.
A study published in the Journal of Consumer Research found that people tend to display less self-control after browsing a social network. And the more often people used Facebook, the greater their credit card debt was. Be aware of urges to spend after using social media and consider purchases carefully.
At the extreme end of emotional and psychological triggers that lead to overspending is compulsive buying disorder. A small percentage of the population can’t bring themselves to stop making needless purchases and end up in deep financial trouble as a result, Sanders said.
Compulsive buying can be so serious that people can’t feed their families because they’re so far in debt, he said. This sort of problem requires mental health help.
If you feel as if you may be being affecting by one or more of these triggers and want more information on how to cut the cycle, connect with me at https://stackhealth.accelerware.com/bookings.cfm?fid=1857&tp=3549.
Pat O'Connor - Stack Health Financial Advisor