Is Your Money Personality Keeping You in Debt?
Our average household debt hit new records last year – $96,000, according to a recent study. Roughly 30 per cent of this total is consumer debt. If we™re maxing ourselves out, and in many cases doing it mindlessly, it could only help to tap into a few of Dr. Gurney’s suggested strategies.
1. Create a Personality Balance Sheet.
Dr. Gurney suggests first assessing your personality as you would a balance sheet. Run through your traits and list them either as assets or liabilities. When you have your strengths and weaknesses staring back at you, you can see what is working for you and what isn’t. This is also a great exercise for couples who can see strengths and weaknesses of one another and play to those.
2. Eliminate any decisions requiring willpower.
If you were trying to lose weight, it wouldn’t be wise to keep chocolate-chunk cookies in the house – too tempting. Same logic applies to trying to get out of debt. If it requires any amount of discipline, or tempts you in the slightest, then get rid of it. Take the credit card out of your wallet, avoid the mall all together, have friends for potlucks rather than eating out.
3. Carry a notebook and use it daily.
This sounds like a pesky task but it actually requires very little work. Plus, it’s effective and will make you feel good. The idea is to write down three things a day that you are proud of: took public transit instead of a cab, bypassed Starbucks and opted for the office coffee, used points to buy a housewarming gift, etc. Then, write down three things you could do better or differently tomorrow to improve your situation. Putting it to paper starts the shift of power, from feeling like a victim to feeling like you’re in control. The key is to do this everyday until making smart and conscious choices is a habit. Changing bad habits takes constant attention and time.
For more in-depth tips to understand your money personality click here to read Angela’s full article in this week’s Globe and Mail.
