Is Tech Changing Our Spending Habits?

Over the last decade, it’s become more convenient to spend money. Gone are the days of carrying cash and exact change, and we’d all be surprised to see someone attempting to pay for their weekly shop using a cheque book! Instead, we pay for almost everything using a credit or debit card, as well as a variety of technological devices designed to automate the process and remove the need to carry actual money.

 

How technology has changed our spending habits

Have you ever hovered your debit or credit card over a chip and pin machine to pay for a coffee? Doubtless you have. Quick and easy contactless methods like these eliminate the need to spend time entering pin numbers and enable us to spend up to £30 in a single transaction. Apple Pay even offers the same service without capping transaction limits, taking it one step further by facilitating our iPhones to make payments, rather than carrying cards.

 

Moreover, internet shopping allows us to buy whatever we want from the comfort of our own homes (or even via our smartphones on our commute to work), having it delivered to a place of our choosing… often on the same day!

 

So, what does this change in technology mean for our bank accounts?

Well, for disciplined spenders it’s great news, making it more convenient to pay for things within our budgets. However, for impulsive shoppers or those struggling to manage their money, this kind of technology can become catastrophic. Automation makes it all too easy to lose track of what we’re spending, and many people comment that technology makes it feel as though they’re not spending ‘real money’… a problem if you’re trying to tighten the belt!

 

So what can we do?

Well, we can start by straightening up our accounts. Figure out how much debt you’re in (if any), and make a plan to clear it in a way that’s sensible and affordable. A credit card or personal loan might come in useful if you need to get access to money while you wait for your pay cheque, and there are many types of loan on offer, varying from those made available from companies like CCP to those advertised by banks.

 

Then, we can try using these technological advancements to our advantage. Banking apps are readily available and can really help you to keep track of your spending so you know when you’re getting perilously close to your overdraft. There are plenty of other money management apps available to download, and you could always use the internet to search for online discounts and deals, helping you to save money on essential monthly items that you’d otherwise have to pay full price for.

 

All in all, it’s clear to see that technology is changing our spending habits. It’s bound to continue evolving in the future and it’s up to us to benefit from the best bits while being aware of the advancements that aren’t so good for us!