It is important to understand how you and your family relate to money, be aware of its actions in your home and the importance you give it.
Recently, a joint study of University College London, Open University, and BBC Lab UK found that the way people see money affects their consumption or spending habits. For example, a person who considers money as a security tool, their risk of financial problems in the future tends to be reduced. If, however, money is seen as a symbol of status or power, problems may come sooner, especially if the money spent came from some loan options.
The study established that money is always seen by people in four ways. There are many who are always worried about their earnings and expenditures, others spend feeling good, while some are always in denial regarding their spending or consumption habits.
4 Ways to Look at Money
- According to the previous study, these are the four ways money can be articulated:
- The spenders’ status conceives money as a symbol of power, a tool to influence or impress others.
- The savers for safety see money as a source of security. These people feel more comfortable saving money even if it is not for a purpose or a loaned money with some specific loan options.
- The lovers of independence are hedonistic, live day to day and not worry about their financial situation.
- The generous indulgent enjoy spending funds on others as a way of showing affection and appreciation.
How do you Behave when Buying?
Now that we know the four ways in which we look at money, we will know the different behaviors when buying:
- The fans buyers buy very often. Many times, this class of people buy “accidentally” more than they had planned. For example, they can enter a store to buy a pair of shoes, but leave with several more objects.
- The Frugal shoppers do anything to save money. They are able to sacrifice hours comparing prices in stores or on web pages, to make sure they get the best price. Moreover, do not hesitate to go to the other side of the city to save a few euros, although they take longer.
- The buyers’ evasion believes in therapy shopping. They spend money as a method of relief and to escape problems of their work or personal life.
- The reluctant buyers are apprehensive to spend money and try to postpone every purchase until the last minute. For example, such a person would only consider buying new shoes when the pair he is currently using is absolutely worn and cannot be used anymore.
- The buyers of self – esteem go shopping to grow your self – esteem, for example, buying expensive clothes that make them feel better.
And you? What type of buyer are you? Remember that whatever you are, always be aware of your consumption habits and the way you see the money.