When it comes to money, few things are more exciting — or more potentially fraught with peril — than an impulse purchase.
Some people might not be able to resist a pair of designer shoes. For others, their weakness might be the newest gotta-have-it electronic gadget or the latest best-selling novel.
As almost any financial expert will tell you, splurges like those are fine every once in a while. It’s a bit like a person on a diet having chocolate cake. As long as you only do it sporadically and don’t go completely crazy when you do, you’ll probably be just fine. It can even be a reward for dutifully sticking to your plan.
Buy on impulse too often or spend too much when you do, however, and you could be courting real trouble.
Here are a few things to know about impulse purchases so you can be better prepared the next time temptation strikes.
A good list can help. It’s fun to just go and browse a store, but if you treat your shopping trip like a mission, you’ll be less likely to fall victim to those impulse urges. Before you go, make a list. Then, when you arrive at the store, head straight for the things you need, pick them up and then get out.
This can be especially useful during the holidays. Don’t plan to go to the store and just see if anything strikes you. Give your friends and loved ones a bit of thought. It will make for a less impulse-prone shopping trip — and probably lead to much more thoughtful and appropriate gifts, too.
If you go crazy, adjust your budget. Say a deal on a tablet was just too good to refuse, and you gave in to temptation. First of all, don’t beat yourself up and don’t panic. Three in four Americans have made an impulse purchase, according to a recent CreditCards.com survey. And nearly half of those have regretted it, so you’re not alone if you’re feeling a bit of buyer’s remorse.
The worst thing you can do, however, is act like nothing happened. Instead, accept it and then revisit your budget to see what you might need to sacrifice in order to minimize the damage of the purchase. Maybe it means you’ll have to put your date night off until next month. Maybe those khakis for work will have to last a little longer before you buy new ones. Or if that impulse splurge was really huge, it could mean that flight to grandma’s house next summer might have to be a road trip instead.
Whatever the outcome, just don’t ignore it. That only makes things worse.
You may have more return options than you realize. If you feel you’ve made a huge mistake with your impulse buy, you can choose to return the item. Of course, it’s not always possible, but the good news is it might be possible more often than you think.
That’s especially true if you pay with plastic. Many credit card issuers now feature guaranteed return programs that go well beyond what a typical retailer’s policy might. For example, Discover’s website states: “Unhappy with a purchase? Now you can return your Discover Card purchase within 90 days of the original purchase date if the store will not accept your return — and we’ll refund the cost of the item up to $500.” It’s not just Discover, however. American Express, Citi and others provide guaranteed returns as well.
Some of the rules and requirements may differ among the various issuers — one may offer returns for 60 days, another 90; one may refund up to $350, another $500, for example. Whatever the differences, though, these programs can be useful to consumers. If you don’t know if your card offers return protection, check your issuer’s website or call the customer service number on the back of your card. It never hurts to ask.
Now, none of this means that it’s OK to go out and make an impulse buy all the time, or drop $1,000 every time you do. That’s an easy way to get into a lot of financial trouble.
What it does mean, however, is that if you slip up once in a while — like 75 percent of your fellow Americans say they have — all hope is not lost.
More from U.S. News
50 Ways to Improve Your Finances in 2015
9 Scary Things Consumers Do With Their Money
3 Things You Must Know Before Making That Impulse Buy originally appeared on usnews.com
