6 Signs You Are an Emotional Spender

When it comes to financial personalities, most people fall into either the spender or the saver category. People who overspend often do so for emotional reasons. Nothing can help a woman get over a broken heart like a new Coach pocketbook or Prada suede wedge sandals. Just as overweight people may go on restrictive diets, emotional spenders may try to reign in their money habits by going on a budget. However, a spending fast can lead to rebellion in the form of excessive purchases. Instead of setting up a budget that is doomed for failure, it's best to make gradual changes. The first step is for the spender to identify the signs that he or she is an emotional spender.

Reacting to commercials

Marketers are clever manipulators who know how to get people to purchase their products. Emotional spenders often fall prey to the marketing schemes. Oftentimes, commercials are designed to trigger emotions in a person so they will make purchases to feel happier, smarter, healthier, thinner, successful or more popular. People with spending problems should avoid watching television commercials or reading magazines. People who can't stick to a grocery list or buy a lot of impulse items as they are checking out are most likely reacting subconsciously to commercials or advertising.

Having a closet full of useless things

A major sign that a person is an emotional spender is when they have a closet full of items they don't wear or need. While it's nice to be able to donate so many things to charity every year, it's better for a person to learn restraint and curb unnecessary spending.

Coping with financial disappointments

Emotional spenders often react to bad financial news by spending more money whether it's their own personal financial situation or the global economy that is on the brink of disaster. Instead of checking their retirement accounts on a daily or weekly basis, a spender should seek professional help or choose a target date portfolio based on their assumed retirement date.

Buying love with money

People who don't have the relationships they want with other people often tend to spend more money on holiday shopping. A spender may realize he or she has a problem after the holidays when they are shocked by an outrageously high credit card bill. They may feel a huge let down after the holiday or birthdays. Instead of buying too many presents for loved ones, try to be a better friend or relative throughout the year by listening and spending time with others.

Confusing material things with people

Although it's perfectly understandable, some people mourn the loss of loved ones by spending more money than they should. If a particular restaurant, activity or place reminds a person of someone who has died, they may spend money to recreate the memories of a loved one. It's important to separate the memory of the loved one from material things or possessions that can't bring the person back.

Relieving stress with a credit card

Some people eat to relieve stress while other people purchase fragrances, clothes, jewelry and accessories. A more constructive way to reduce stress is to exercise, eat a healthy diet and spend time with people who are supportive. Avoid getting on the Internet or going to a mall until decompressing from a stressful situation or event.

Emotional spending is about buying frivolous things that aren't part of a budget. Some people buy things to celebrate, while others buy things to mourn a loss. Either way, an emotional spender can limit temptation and curb behavior by recognizing spending triggers.