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Want to spend less? Spend cash!

1:15 PM  Pisstol Aer   Labels: , , ,

Behavioral finance studies find that adding so-called “felt losses” helps deter poor behavior.

For example, consumers who buy non-essential luxury items or treats with cash are likely to spend a lot less than they would if they used credit or debit cards. We actually feel psychological pain when we pay with cash. Just think how you would feel if you had to pay cash to fill the tank on a large SUV or pickup! Swiping that card, whether debit or credit, is far less painful than parting with cash.

Research confirms that consumers who use credit cards spend more than those who use cash. Further, credit card users are much more likely to spend more than they intended. That’s why every department store offers incentives to sign up for their credit card.
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Want to spend less? Spend cash!
Want to spend less? Spend cash!
Reviewed by Pisstol Aer
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Rating : 4.5