23 Sep 2020
Online shopping has been a contributing factor towards the increase in emotional spending. With shopping sites saving your credit card details, it’s so easy to click and buy, and delivery is often free.
“Emotional spending is the act of buying things based on how you’re feeling, rather than with logic or necessity.” – thebalance.com
Of course there is nothing wrong with online shopping if you see something you like, but if you find yourself shopping as a distraction when you are upset or give in to compulsory urges to buy something new, then there may be a bigger underlying problem. Do you buy for that feel good high? Like a sugar high, you will eventually crash and feel worse.
Be wary if you are spending beyond your means and your shopping is preventing you from saving for your financial goals. If you are going into debt, it should be for something you chose, not from something you did impulsively.
Signs of emotional shopping
• Credit card debt building
• Unworn clothes – some still with their tags on
• Unopened packages
• Hiding purchases from a spouse or partner
• Referring to shopping as retail therapy
• You have several credit cards
This doesn’t just apply to large purchases. Regular small online purchases are often worse than larger ones as they can be habit forming.
Emotional shopping can also cause major conflict in relationships over finances and debt.
How do you change the emotional shopping mindset?
• Ask yourself what your motives are for shopping. When you understand the triggers, then you can be vigilant and fight the urge to shop.
• There are many apps that can help you keep track of your finances.
• Plan your spending beforehand – at the beginning of the month plan your purchases.
• Allocate a budget for your shopping addiction – this way you feed the monster but in a controlled way.
• It’s all about setting up a comprehensive budget to keep yourself in check.
• If you battle with this, a friend or family member can support you when you get the urge to shop
• If this does not help, it is advisable to seek the advice of a councillor to help with your deeper emotional issues. (some points taken from thebalance.com)
Please note, the above is for education purposes only and does not constitute advice. You should always contact your deVere Acuma adviser for a personal consultation.
* No liability can be accepted for any actions taken or refrained from being taken, as a result of reading the above.