Six Ways to Avoid Unnecessary Spending for Financial Literacy Month
04/21/2021
April is Financial Literacy Month, and many Americans find themselves looking for ways to save more money and cut back on spending. Today, we’d like to share a few tips that will help you put the cap on superfluous spending!
1. Don’t allow your payment information to autofill on your computer or smartphone. Internet browsers try to make things easy for you, and one of the ways they do that is by allowing you to save your payment information for quick and easy shopping. But this isn’t always conducive to saving money. Don’t make buying so easy for yourself; forcing yourself to leave your computer and fetch your payment card can keep you from buying things you don’t really need.
2. Carry a daily budget in cash if you think you’ll be tempted to spend too much. A debit or credit card is directly tied to your entire account balance or line of credit. If you think you’re visiting a shop or event where you’re likely to overspend, take your budget out in cash. When you’re out of money, you’re done for the day!
3. Beware the Impulse Buy—and the Free Shipping trap! Physical and online shops love to toss you an impulse buy or two when you reach check-out. Don’t just take these items because they’re there. Also, you’ll often see websites entreat, “Spend $20.00 more for free shipping!” It sounds like a good deal…until you realize that shipping is only $5.99 to begin with. Shop mindfully to avoid these traps.
4. Need a large ticket item? Research all options before buying. Sometimes we do need to spend a larger amount on something like a new sofa, refrigerator, or computer. Take your time and review your options. Consider what’s important to you—quality, design, cost—and take the time to find the item that’s the perfect fit.
5. Assess Your Bills. It’s a great idea to really assess your monthly bills at least once a year. Are you paying for services you don’t use? Are there hidden fees you could avoid? Auto-Pay and electronic invoice options are great for convenience and for cutting back on paper—after all, April 22nd is Earth Day, too! But these conveniences can make bill-paying a little mindless. Don’t forget to take a peek at those invoices every once in a while to make sure everything checks out.
6. Set up spending limits with CardValet. Plenty of apps let you set up individual spending budgets, and they’re quick to let you know if you’re approaching your monthly amount! At The Savings Bank, we offer CardValet for debit card management, and not only can you set up individual budgets, but you can also turn off your debit card if it’s lost or compromised. You can learn more here!
Don’t forget to practice mindful shopping the next time you’re tempted to click Add to Cart! We hope these tips help you cut down on unnecessary spending.