Wise Shopping Habits
In today’s modern society, shopping has become an important part of many peoples' lives. Malls now replace town
squares as central drawing points in the community. Shopping is considered recreation by some, an emotional outlet by others.
A bumper sticker that says “When the Going Gets Tough, the Tough Go Shopping” reflects the mood of our culture: we
have practically elevated shopping to an art form.
Regardless of whether you love to shop or do it only out of necessity, here are some pointers for getting the most out of your
dollar:
A monthly budget is the best way to ensure that you only spend what you plan to when you go out. Knowing what you can afford
and what you are willing to pay for something will help to curb any excess spending.
Shopping is much less costly if it is viewed as a search for a specific item, not a leisurely stroll through a mall for recreation.
Comparison shopping is vital. Just because a store has a "SALE" doesn't mean their price is any cheaper than another store which
might have everyday lower prices.
Try to consider quality and value, not just price. Paying 50% more for something that will last twice as long can make good
sense, especially for appliances and furniture.
Don't get sucked into a "bait & switch" in which you are lured in by a low advertised price and then talked into a higher
priced model because the advertised model is "sold out" or of "inferior quality."
"Keeping up with the Jones's" has driven a lot of people into bankruptcy - because they didn't know the Jones's were in debt
to their eyeballs. If you feel the need to compete with family, friends or neighbours, try to limit it to golf scores or bridge,
neither of which will endanger your financial stability.
When shopping with credit, it is always good to ask "Why?" Consider the total cost of buying with credit as opposed to waiting
and paying cash, and decide if it is worth the extra money to have it now.
Warranties and service costs can play a big part in a decision about large items such as vehicles and appliances. Try to calculate
the total cost of ownership, not just the purchase price.
Check with the Better Business Bureau (in London: 673-3222) when dealing with an unfamiliar business, especially in the area
of home renovations or repairs.
Shopping when hungry, rushed, depressed, angry or irritated will always result in bad decisions and excess spending. The best
time to shop is when you are in a good mood, on a full stomach and without young children in tow. When making a major purchase,
having a trusted friend or partner can often aid in thinking through the purchase decision from all angles.
Don't let a salesperson rush you into making a decision on the spot. Many will use a "limited time offer" as a pressure tactic.
If they are reputable, they will give you time to think over the offer and honour it when you come back.
Studies have shown that people who shop with credit cards spend roughly 30% more than those who shop with cash, and those who
shop with debit cards spend roughly 20% more. When you go shopping, you might feel comfortable with one credit card in your wallet
for emergency expenses, but most cards are best left in a safe place when you head to the mall.
Seasonal variations in our climate mean that there are good and bad times to buy certain items, especially clothing, sporting
goods and lawn and garden equipment. Prices are always lowest at the end of the season, as retailers try to clear out for the
incoming goods. The last week of December is also a great time to stock up on Christmas cards, wrapping paper and even gifts
for the next year.
Uninvited salespeople can be trouble if you let them into your home. Vacuum cleaners are often sold door-to-door at vastly inflated
prices with high-interest financing packages. As a rule, it is best to make a purchase only when you have decided to do so, not
because someone else has asked (or pressured) you into it. In Ontario, contracts with itinerant salespeople can be cancelled
within 10 days by giving notice in writing to their place of business (using registered mail).
There are a number of alternative shopping venues, including garage sales, pawn shops, flea markets, auctions, liquidation centres,
thrift shops and the classified section of the newspaper. Items can often be found in nearly-new condition for a small fraction
of the cost of a new item.
If something seems too good to be true - IT IS! Leave the cons to their games, and if you suspect fraud, contact the Better
Business Bureau and the police.
Examining how you spend on food (especially meats, produce and specialty foods) can help you to identify any waste and reduce
your grocery bill accordingly.
Excellent money savers in the grocery store include weekly specials and coupons, bulk foods, day-old bakery items, less expensive
cuts of meat, bargain rack items, and the carbohydrate trio: rice, pasta and potatoes.
Unit-pricing (cost per unit of weight or volume) is the best way to determine which product is cheapest (with meats, use cost
per serving).
Last, but not least, try not to think of shopping as recreation. There are lots of other things to do which will cost you little
or no money - read a book, visit a friend, volunteer for a local charity, exercise, watch TV or a movie, write a letter, assemble
a puzzle, walk your dog, knit a sweater, visit the library, etc...
|
