As more and more Canadians are seeking debt consolidation to manage their finances, it’s an
indication that many people have a problem managing their money. Credit cards and other lines
of credit are among the highest consumer debts giving many Canadians sleepless nights. What
most people don’t know is that by getting rid of certain habits, they can easily keep their finances
Today, we’ve narrowed down some 8 poor spending habits that could be the reason for your
financial woes. Before you rush to consider any form of debt settlement, find out if you are
guilty of any of these.
Many people assume that they get to save more when they shop for groceries in bulk. However, this is often not the case. When you buy groceries in bulk, you tend to get too much and end up wasting most of it. A better strategy would be to shop every three days when you’ve already planned out your meals.
Do you have to drive your car as much as you do throughout the month? How about using public transportation once in a while? This may end up saving you some cash. Cars are not only costly to maintain but also expensive to operate. Consider cutting back on the cost of gas by taking a walk in short distances or taking public transport.
Find yourself shopping for shoes or buying stuff you don’t need when you go shopping for groceries? Perhaps you need to find a grocery store that is not so close to the mall. Run your errands away from the shopping malls and you’ll avoid the impulse buying.
You’ll often find retailers running flash sales or offers late in the evenings simply because they want to target consumers who are tired and sleepy. For most consumers, the attitude when you’re tired is that you work hard and therefore deserve to treat yourself hence you’ll end up purchasing what you don’t need and can’t afford.
Whether you’re just shopping for dinner or a party, you need to have a list when you leave the house to go sourcing for items. It makes you more prepared and less likely to focus on stuff you don’t need.
Research shows that most people find it very painful to use cash to shop for what they don’t need. But with credit cards, you can’t see how much you’ve spent automatically so you get to spend more. Furthermore, credit card companies offer bonus points and rewards that encourage customers to continue spending.
When you have too much stuff in your house, it’s hard to get organized. You may continue piling stuff that you don’t need or buy essentials which you already have but have no idea. Organize your cupboards and closets and you can easily keep track of what you don’t have to avoid spending more on unnecessary stuff.
If you have friends who have more money than you, you may end up spending far beyond your budget. In fact, the friends you keep will significantly affect your financial situation. If you have a serious problem managing your finances, consider going for credit counselling. You’ll get the help you need from an expert who has reviewed your lifestyle and financial situation.