Does holding an ATM card encourage impulse spending?

[Etini]

Back in the days of checkbooks and long bank queues, the thought of going to the bank to withdraw money was not a pleasant one. Now we have ATM cards and ATMs. With this technology, you can access your money anytime, any day. And I think the disadvantage of it all lies there. With ATM cards lie the highest propensity to undertake unbudgeted spending.

Just imagine you step out at night and you see a watch that is really attractive. That watch would have probably passed in the era of checkbooks because buying the watch would have been the following day. But with an ATM card, all you need to do is just to swipe. I had to drop my Atm card at home so I don't get to do impulse spending. I believe everyone can attest to the fact that your financial discipline is being stretched to the maximum with the possession of an ATM card.

 

[eldavis]

Personally i feel its all a matter of self control. Let's take myself for an example, i do not have an ATM card currently due to the fact that my atm card has expired and my current job gives me little to no time to actually get a new one at the bank. Even without my ATM card i still make transaction easily. I can easily make transfer to whoever i want to without any stress as long i have my smartphone and my bank app. This method is even alot easier cause i can be at the comfort of my home and make the transfer. what we really need to work on is self control.

 

[Yusra3]

If you're an impulse spender, you probably don't need to be encouraged to spend more. You're already in the habit of spending money on things that don't really matter, and it's probably easier to do because you have a card that makes it possible.

But if you're someone who likes to plan ahead, who likes to think about how much money they have and how much future money they'll need, then holding an ATM card may actually help you make better decisions about your spending habits.

Think about it: when you hold an ATM card, there's no way for you to be sure that what's in your account is going to last until the next time something else needs filling up with cash. If you decide on impulse, though, then what happens? The money is gone as soon as it arrives!

But if you know exactly how much money is in your account at any given moment and what that means then it becomes easier for you to figure out whether or not something is worth buying right now rather than later.