Are you a compulsive buyer?

Do you have any of the following "symptons"?

* You struggle to pay your bills
* You repeatedly buy things you can't afford, don't need, or never use
* You run out of funds before your next paycheck
* You don't have any significant savings for use in an emergency

Consider the following steps you can take to get your spending under control.

ACKNOWLEDGE YOU HAVE A PROBLEM.  Tell a loved one and ask for help. Ask them to go to the store with you to remind you when you're buying things not on your shopping list. Agree not to get angry.

MAKE A LIST OF ITEMS YOU PLAN TO PURCHASE - and stick to it.

CARRY A SMALL NOTEBOOK WITH YOU AND WRITE DOWN EVERYTHING YOU BUY FOR A MONTH.  You'll get a better idea of what triggers unneeded purchases.

MAKE A LIST OF YOUR FINANCIAL GOALS AND KEEP A COPY IN YOUR WALLET.  Think about where you'll be financially in 10 years if you continue your current habits.

RECOGNIZE THE DIFFERENCE BETWEEN REAL NEEDS (food, insurance, housing, education) and temporary wants like a fifth pair of black shoes or a flat-screen television.

LIMIT YOURSELF TO ONLY ONE CREDIT CARD and keep it at home. Take it shopping with you only for specific purchases.

CONTROL YOUR ACCESS TO MONEY BY HAVING YOUR PAYCHECK DIRECT DEPOSITED. Consider setting up two checking accounts; one for your major monthly bills (mortgage/rent, auto payments, gas/electric) and the second for daily expenses such as gasoline, food, etc. Setup a payroll deduction for savings and set a goal for your desired balance. Financial counselors recommend that you keep a minimum of 3-months bills in savings.

Debtors Anonymous (debtorsanonymous.org) provides free help and support for compulsive spending, or you may also want to seek professional counseling.

Mark Bold
President

Source: National Endowment for Financial Education, www.nefe.org, and LM Federal Credit Union