Three Tricks to Control Your Shopping and Spending

"Paying is painful. This is not just a figure of speech. A brain-scanning study by Brian Knutson and colleagues found that seeing high prices activates the insula, a brain region usually associated with pain processing. Further, insula activation discourages spending. This was one of several studies showing that parting with money causes psychological discomfort. Even more important, the more explicit the act of paying, the larger the discomfort and the less likely you are to complete the purchase."

"You are not alone. Many people struggle with spending patterns and suffer the consequences of impulsive purchases. As many as one in twenty people in developed countries might suffer from Compulsive Buying Disorder, a behavioral drive to excessive consumption, which disrupts budgets and lives. CBD is a clinical condition with large negative consequences, and people suffering from it should seek professional help."

Credit cards and contactless payments reduce the psychological 'pain of paying' by making transactions quicker and more abstract, which increases impulse spending and debt. High prices activate the insula, a brain region linked to pain, and more explicit payment actions increase discomfort and discourage purchases. Compulsive Buying Disorder affects a minority and causes major harm; those with the condition should seek professional help. Simple behavioral strategies—using cash, logging purchases, pausing decisions, asking why a purchase is unwise, or imposing a two-day waiting period—raise the perceived cost of buying and reduce impulsive purchases.

Read at Psychology Today