How Spending Cash Rocks

Posted January 14, 2007 in Life, 6 Comments »


Scenario: "Dude, we'll just charge it on our business platinum Visa cards. We be rollin. Yay!"

You might be tempted to break out your credit cards or use other non-cash means to buy your shizzle this fabulous weekend.

But when you do, you're likely overspending without realizing it.

A study concluded how people's brain regions reacted to spending cash versus putting off payments until the future:

The results of this paper support an alternative perspective that views consumers as trading off the immediate pleasure of making a purchase against an immediate pain: The pain of forking out the money for the item. The results can explain the growing tendency of consumers to overspend when purchasing items with credit cards instead of cash, because consumers do not immediately pay for items charged to credit cards and the "pain" of the potential loss is minimized.

So before you break out your credit cards, think cash money.

You'll save one mutha bundle.

Before you go on some buying binge to support your fabulous lifestyle, tell your bad-self:

"Where's my cash money?"

If you enjoyed How Spending Cash Rocks, get Trizle's popular new articles freshly sent to your inbox.


More Business Tips You Might Enjoy

  1. Why Doing Philanthropy Rocks
  2. Why A Billion Dollars Won't Excite You
  3. Why Motivational Posters Suck
  4. Why 90% Of Entrepreneurs Fail & Why You Won't
  5. Why "better" Products Don't Sell

6 Comments on How Spending Cash Rocks

andhapp

Posted @ 04:05 PM on January 14, 2007

Good point... now days lot of time people are spending more their limits and end up in debts...keep a tab on your feelings I guess is the key...do not look at others and go ohh I need to wear armani when you can't afford it..."Simple Living and High Thinking"..

andHapp


Hendy Irawan

Posted @ 07:39 PM on January 14, 2007

I can't believe what I will be with a credit card. Even 100% on cash, I'm an addicted expenseholic. :-(


links for 2007-01-14 » Personal Finance - Save Money at Binary Dollar

Posted @ 11:40 AM on January 15, 2007

[...] How Spending Cash Rocks You might be tempted to break out your credit cards or use other non-cash means to buy your shizzle this fabulous weekend. But when you do, you’re likely overspending without realizing it. (tags: money finance cash) [...]


Andrew

Posted @ 05:43 AM on January 16, 2007

andHapp,

So true! Armani and the rest of 'em looks tempting, but I guess there's a reason why Warren Buffett still drives a Buick and lives in the same house he bought when he was in his 20s: the less he spends, the more he can invest. That dude is one heckuva inspiration.


Andrew

Posted @ 05:46 AM on January 16, 2007

Hendy,

Haha! I steer clear of credit card debt like you, so I know I would go crazy myself. I'm sure you're just being modest as always though, Hendy!


Andrew

Posted @ 05:46 AM on January 16, 2007

BinaryDollar rocks. Thanks for the mention!


Comment on How Spending Cash Rocks





Submit comment

About Trizle

Trizle helps your business rock the world.

Subscribe to Trizle


Subscribe

Get Trizle's Lil' Guide

Get Trizle's little guide to build your business. We filled the lil' guide with our best tips to build your thriving business. The lil' guide comes with a 100% satisfaction-guarantee.

 

Copyright © 2003-2008 Trizle. Contact us. Photos provided by Photocase


back  |  next