Spaving, or spending more to save more, is a common pitfall that many consumers fall into. This can include falling for limited-time deals, buy one get one free offers, or adding on extra items to reach a discount threshold. However, this habit can lead to excessive buying and high-interest credit card debt if not careful. Experts warn that spaving can be a way of rationalizing buying decisions and justifying the desire to buy more, even when it may not be financially prudent.
Despite financial strains such as inflation and high interest rates, Americans continue to fall for the trap of spaving. Psychologist and financial planner Brad Klontz notes that companies have become adept at extracting more money from consumers, leading to increased stress related to financial health. In order to combat spaving, it is important to think through purchases carefully and consider the long-term trade-offs that may impact economic stability.
Consumer savings expert Andrea Woroch provides six steps to avoiding the financial trap of spaving. These include quieting the noise by deleting shopping apps and unsubscribing from store newsletters, as well as paying with cash for big-ticket items to avoid impulse spending. Additionally, calculating the true value of “buy more, save more” deals can prevent unnecessary purchases, and avoiding temptation by shopping online with curbside pick up can help curb spending.
Creating shopping hurdles, such as deleting stored payment details online, can force consumers to think through their buying decisions before proceeding. Setting time rules before making a purchase, such as sleeping on it for 24 hours, can also help prevent impulse buys. By following these steps, individuals can break the cycle of spaving and make more deliberate and financially responsible buying decisions. Ultimately, avoiding spaving can lead to reduced stress related to financial health and a more secure economic standing.
