Stop-and-Think Shopping!
Posted by Gail | Filed under Smart Shopper
Coming up in Season Seven of TDDUP (watch for it in June), you’ll meet a pair of sisters who are having trouble dealing with their money. I gave the sisters wallets, which when opened said, “Do you have the money to pay for that?” or “You owe $$$$, you can’t afford that!”
The point of the experience was to keep bringing to mind the reality of their financial circumstances so that they couldn’t just Go Shopping mindlessly. Each time they opened up their wallets they were reminded of what they were doing relative to their current financial situation.
It’s easy to make one of these wallets. You find a wallet that folds and you buy one of those “talking” cards. Remove the “talking” device. Affix it to your wallet so that when you open it, you activate the recording. Now record a message to yourself that reminds you of why you can’t just spend money willy-nilly.
If that sounds too complicated, then consider making a credit card condom with a pertinent message. An envelope into which your card sits snugly, the credit card condom helps to protect you from going further into debt. The cover conveys something you want to remind yourself of:
- Do you have the money to pay this purchase off in full when the bill comes in?
- You already owe $2,500 on this card.
- Is this a Need or a Want?
The only way the credit card condom will work is if you come up with a message that makes you stop and think. You want a message that will remind you of your goals.
- You’re trying to save $3,400 for that fabulous vacation. Will buying this [whatever] get you closer to that goal?
- You’re setting up an emergency fund. You can spend this money now, or you can use it to meet your goals of having $500 in the bank! What’s it gonna be?
- You want to be debt free in 9 months? Is buying this going to help?
You can also make your credit card condom something you can use to track how you’re doing. Let’s say you decide you want to have $1,000 saved for an emergency by the end of the year. You would write your goal on your credit card cover. Then each time you chose not to spend money on the card, moving that money to your emergency fund instead, you can add it to your total on your credit card condom.
You can also make a debit dinger (Australian for condom) that you can slide your debit card into so that each time you pull it out to make a purchase you’re reminded of something that is more important than blowing bucks on bull!
It is important that however you choose to deliver your message to yourself, it’s something that works for you. If you need more of a reminder than words provide, created a credit card condom or a debit dinger with a picture of whatever it is you’re trying to achieve: a picture of a beautiful house if you’re saving a downpayment, a picture of a gorgeous beach if you’re setting aside money for a vacation, a picture of your son or daughter if you’re trying to build a school fund.
Know someone who is a shopaholic and can’t keep their sticky fingers out of their wallets? Consider creating a credit card condom or a debit dinger as a gift! Make up a mess of them and hand them out to friends and family. Make a game of deferring your spending by seeing how much you can Not Spend, recording your savings on your condom/dinger, and comparing your success at your next girls’ night out.
Hey, if you’ve set up a Gail Club, why not make the creation of a credit card condom an activity at your next meeting!
May 18, 2009 at 1:30 pm
I have an idea that is similar. Last July when I decided that I really needed to make my debt a priority, I changed the settings of my cellphone so that I personalized the banner to read “Debt Free 12″. Meaning I wanted to be debt free in 12 months. Every time I open my phone it reminds me that I might want to think twice when I’m at the mall or passing a drive-thru. I’ve changed it a few times during the year. It now reads “Freedom July”, and I think I might just make it. It might be August, but I made it a priority and this helped remind me of my real goals.
May 18, 2009 at 1:44 pm
How picturesque! I’ve never used a condom in my life, now my debit card gets one?? As usual, Gail, you have found a practical example by which to make us think. We all know unprotected sex can have long reaching consequences, ditto mindless shopping. I think I will put my granddaughter on my condom! She is five hours away, and I have only seen her when she was born three months ago. After a lengthy conversation with my son where he asked me “Do you wanna be Gramma or Nana?” I am anxious to find a few hundred dollars for gas and just GO Hug my baby!! If I never said it before, thank you for the books, I am making myself NOT read them until I read them to the girls. On a serious note, I am going to have to sit my youngest sister down and have a chat with her. Of all my siblings, she makes the least money, but has made shopping an art – always filling visits with displaying her latest purchases, but “look at how much money I saved”. Her children can well afford to provide for her grandchildren, but she just can’t seem to stop. I asked her once why she keeps buying clothes for the kids, and she said “Why NOT?” Garage sales for her are like a drug to an addict, although I have been known to stop at a few myself. I got 4 50 ft winter extension cords on Saturday for $3.00, compared to $40 or $50/each. Do I need 4 cords? Nope, but my mom usually does at the farm. I know I have to get better at thinking first, buying later, but I am working on it. My teenager is good at reining me in when I get that look in my eye. I had popcorn maker on my wish list probably for a year, when I came across one, brand new in the box, for $2 at a senior citizen’s garage sale! Having a clear idea of what we need/want, and saving up for that item is the new lifestyle for me. If I find it at a garage sale, usually new, all the better. Helps someone out, and saves me money!! Have a great Victoria Day everyone.
May 18, 2009 at 1:55 pm
A bank book cover is the perfect size for a debit or credit card. If you place the card in and cut the remaining plastic it protects your card, fits in your pocket and as Gail said you can personalize your card dinger with any message by placing a sticker on it or a message inside. It’s just a thought as they are free from your bank to to cover your bankbook, just stop in and ask for one.
May 18, 2009 at 2:20 pm
Cute idea! I like the idea of using pictures – somehow I think they can be even more powerful than words.
May 18, 2009 at 4:37 pm
Cute idea! I don’t really need it today though, as the chickens have just come home to roost. Gail always says, the sh*t will eventually hit the fan, and today the car broke down AND I got a bill for $4700 in condo special assessment fees. It will completely empty my emergency fund, but hey, at least the fund was there!
May 18, 2009 at 6:02 pm
I look at the price, then figure out how many hours of work required to pay for the item. 99% of the time, I put the item back.
May 18, 2009 at 6:40 pm
Good idea!
I have a slip of paper wrapped around my cards with an elegantly scripted word “ENOUGH”…. It makes me think about all the “enoughs” in my life: do I have enough in my RRSPs?, I already have enough stuff!, Is there enough money to pay for it?, etc… a simple word to ground me…
May 19, 2009 at 9:27 am
Could I get one for my wife that’s crazy glued on when there’s a sale? She’s normally very frugal and she is great but anything ‘half off’ or ‘a great deal’ results in $200 gone from our chequing account. She loves her “stuff” where I just love seeing numbers in an account and tend to live simply. I’m not ragging on her, she doesn’t buy expensive shoes or purses or treat herself often but at least once a week she buys something on sale that we don’t actually need but such a need may arise and I’m starting to lose it.
May 20, 2009 at 2:47 pm
Finally! A new season!
May 22, 2009 at 1:08 pm
This sort of thing is really effective – along the same line, I sometimes use little post-it notes on both my debit and credit cards. Usually it’s got a note like “only can debit $50 before the 20th”, or “can only charge $150 before the 12th”. I keep a pen handy, and write down all amounts spent on the post-its, so I have a running total for that current limit.
It’s a conscious way to spend less in the 1st place, but also to be very aware of that month’s limits, so I never charge more than I’ve budgeted to spend by direct debit or credit card!