Three Reasons to Spend with Cash
Cash of Card?
Over the years, we have turned away from physical cash. Instead, today we lean more and more towards credit cards, debit cards, and mobile payment options. These new methods might make it quicker and easier for us to make purchases. However, there still remain many benefits to paying with cash rather than card.
Cash is More Secure
One reason to use cash over a card is because there are no security breaches with cash like there are when using a card. In 2019, there were over 390,000 reports of credit card identity theft. From 2019 to 2020 alone, identity theft by credit card rose by 44.6%. By using cash, you don’t have to worry about someone stealing your personal information like you do with a credit card.
Less Likely to Overspend
Another reason you may want to pay in cash is because you are able to physically see your money. With a credit card, you are simply able to swipe the card rather than count out the money. Seeing the physical cash leave your wallet makes you more aware of your spending habits, and can be an eye opener. With cash, you are able to make the purchase and be done paying it off. You don’t have to pay it off later like you do with a credit card.
Many studies have shown that with cash, you are less likely to overspend. One explanation of this is because of the time and effort it takes to go to the ATM to get the cash. This adds another step that you have to take whereas with a card you are able to simply swipe for instant gratification. Studies have shown that people are less likely to make the purchase when only using cash because of the time and effort it takes to get the money.
Stay out of Debt
By paying with cash, you are able to keep your debt in check. With a card, it’s easy to sink into debt. If you overspend, and are not able to keep up with payments, you will rack up more interest. In contrast, with cash, you are only spending what you have.
In the end, there are money saving benefits to paying with cash rather than card. Paying with cash is sure to make you more aware of your spending habits and you are able to avoid credit card fraud.
If you are needing cash to hold you over or need a little extra cash for emergency expenses, you can look into a line of credit with Advance Financial. To get approved click on “Get Cash Now” at the top of the page. Depending on your state, you will be offered an online line of credit or an online installment loan to get the cash you need. Fill out our quick and easy application form, and our team will be here to answer all your questions and offer a world-class customer experience throughout the process.