Payday Loans Blog

Who doesn't love the thrill of shopping? Buying new things can be fun, exciting, and fulfilling. It is a great feeling to know that you have worked hard for something that you really wanted or needed and then getting it and bringing it home.

Unfortunately, working hard first to then get what you want doesn't really happen much anymore. We live in a world of instant gratification, and credit cards with their intriguing buy now, pay later concept are very tempting for most, and too tempting for many.

Today, a growing number of people are finding themselves trapped in the bonds of excessive debt due to shopping addiction and the use of credit cards to aid them in this addiction.

Once in a while, many people like to indulge in a little shopping "splurge". However, a very important question we need to be asking ourselves is; "Am I really just 'splurging' or do I maybe have a shopping problem?"

Shopping addiction is a real problem that many people find themselves faced with today. According to Ruth Engs, EdD, a Professor of applied health science at Indiana University, from the article "Shopping Spree, or Addiction?" , "No body really knows what causes addictive behaviors like shopping, alcoholism, drug abuse and gambling. Some of the new evidence suggests that some people, maybe 10% - 15% may have a genetic predisposition to an addictive behavior, coupled with an environment in which the particular behavior is triggerd, but no one really knows why."

Here are a few questions, along with some further insight from Ruth Engs, to ponder on when considering whether or not you may want to seek help if you are worried that you may have a shopping addiction, also known as shopaholics.

1.) Do you find yourself consistently spending over your budget; spending more than what you are making?

• Many times, people find themselves getting into excessive debt from shopping. Whereas most people would realize that they can't afford something and wait, a shopaholic will not stop by boundaries of a budget.

2.) Are you a compulsive buyer?

• Often times, shopaholics will buy much more than intended; for example they will go out to buy "one pair of shoes and come out with 10".

3.) Do you try to hide your shopping?

• Many shopaholics will make purchases and then hide them from their significant other. Some even have secret accounts or credit cards to hide their addiction.

4.) Do you find yourself feeling guilty after you make purchases?

• According to the article, many people with this addiction will find themselves feeling gulity and often times return the purchase because of this guilt which often times results in another shopping spree.

In the next part of Shopping: Splurging or Addiction; we will discuss ways you can overcome this difficult addiction.

Are you feeling trapped by your credit cards and would like to relieve yourself from your dependency on using them? A great way for budgeting yourself and breaking credit card addiction is by getting yourself a pre-paid debit card. Pre-paid debt cards are great for budgeting while shopping. You load the exact money that you intend to spend onto the card, and you can only shop until the amount is gone. After that, you most reload money onto the card to use it again. If you or someone you know could benefit from budgeting and controlling spending, a great place to pick up one of these cards is at your local Check City.

This post touches on several issues that plague people all over the world.  The first is a no brainer:  Credit card debt.

Credit card debt is something that gets so many people upside down that they can’t tell which way is up.  It may seem like a good idea to buy this or that when you deserve it but you are spending money you don’t have.  This can add up and before you know it you are neck deep in fees and balances that will take you years to pay off.

The first piece of advice I have for this situation is to stop buying things you don’t have money for.  Cut back on things that are not necessary like too many minutes on your cell phone, cable TV or DSL if you don’t use the computer that much.  Take this money and add it to your payment on your lowest balance.  Once that has been paid off, take the extra money you added and your former payment and add them to your payment to your next lowest balance.  Your balances will start dropping more suddenly than if you just stretched your money over multiple bills.  Stay dedicated and you will find yourself out of debt faster than you realize.

Once your debts are paid off, take that money and save or invest and your income will grow.

The next situation I’d like to talk about is spending without saving.  You may spend only money you have and not use your credit cards for it, but what peace of mind are you giving yourself for retirement?  If you’re counting on your children to take care of you, then good luck with that.  Take financial responsibility now and save your money.  Pay the money it requires to get help with an investment portfolio and start allowing your money to grow.

The third situation I am going to touch on is identity theft.  Most of you don’t even know what your current credit score is.  It is your responsibility to find out what your credit report looks like.  Identity theft is a huge problem all over the world and it doesn’t take your SSN to steal your life.  Sometimes all it can take is your name and address.

Thieves will not only buy things in your name but they will get medical care in your name as well.  Can you imagine going to the hospital and being told you have a horrible disease when in fact, you do not?  Identity thieves will also commit crimes in your name.  This could spell disaster for you for a long time.  The first thing that most thieves will do is use your name to buy things, if that works and no red flag is raised, they will move on to bigger crimes.

Check your credit report, pay for it if you have to, and analyze it to pieces!  There could be things on there that aren’t related to you at all.  There could be a bill you paid off years ago that wasn’t taken off and is still affecting your credit rating.

There are simple ways to protect yourself that will leave you and your family grateful for a long time.