How do I stop spending money on credit card?

To stop spending money on your credit card, you should make a budget and build an emergency fund to prevent overspending and reduce the need to rely on credit cards to make ends meet. You could also use cash or a debit card instead and remove your credit card information from online shopping sites that you frequent.

The average household has more than $10,000 in credit card debt, according to WalletHub’s analysis. To stop yourself from spending more money on your credit card, follow the steps below.

How to Stop Spending Money on Your Credit Card

Identify Your Spending Triggers

There may be things or situations that make it easy for you to spend money when you don’t need to. For example, you may notice that you like to buy things on your credit card to make yourself feel better when you are upset or sad or when you are hanging out with certain friends. The sooner you can identify these triggers that make you spend money, the sooner you can work out a plan to avoid these triggers or limit their negative effects.

Make a Budget

A budget allows you to plan out your spending so you can make sure you have enough money for your essential expenses. It can also prevent overspending on unnecessary items that may force you to use a credit card to pay.

Build an Emergency Fund

An emergency fund is money you set aside to pay for unexpected expenses, such a major medical bill or repairing your roof after a storm. When you have an emergency fund, you are less likely to need to rely on your credit card to cover these unexpected expenses. You should have three to six months’ worth of your living expenses in an emergency fund, according to financial experts.

Track Your Spending

Tracking your expenses can help you see how much you actually spend on your credit card and whether you are spending more than you planned. You can track your expenses by reviewing your credit card statements or inputting all your transactions into a spreadsheet. You can also use the WalletHub app, which allows you to sync your financial accounts to have your expenses tracked automatically.

Pay in Cash

Credit cards are quicker to use and less cumbersome to carry around than cash. However, if you are not consistently tracking your transactions or looking at your credit card statements, it may be difficult to tell how much you are spending. Opting to use cash instead can allow you to instantly know how much you’re spending. Plus, it will be impossible to overspend with cash since you can only spend what you have.

Don’t Store Your Credit Card on Shopping Sites

When you save your credit card information on online shopping sites, it makes it very convenient for you to make a purchase with a few clicks. However, this also makes it easy for you to overspend without realizing it. By not storing your credit card on these shopping sites, you force yourself to go through the hassle of finding your card and entering all your card’s information before you can buy anything. These additional steps give you more time to think about whether you actually need to make the purchase.

Lock Your Credit Card

Some credit card companies offer a card lock feature that allows you to lock your credit card and prevent it from being used by anyone including yourself. People will typically use the card lock feature when their card is lost or stolen, but you may also lock your credit card to prevent spending. It’s important to note that locking your credit card will not affect recurring or scheduled payments.

Enlist Someone to Hold You Accountable

Before making a purchase, ask a friend or family member whose judgement that you trust whether the purchase is a good idea or if it is unnecessary. They may also be able to provide some insight into spending triggers or trends that you may not have noticed yourself.

Use a Budgeting App

With a budgeting app, like the WalletHub app, you can sync your financial accounts so you can automatically track your credit card purchases to make sure you are not spending more than you planned. You can even set up alerts to notify you if you are approaching your spending limit on your credit card.

For more tips, check out WalletHub’s guide on how to stop spending money.