Researchers have found that physically handing over your money and watching it disappear is painful. That's why making transactions with cash rather than a debit or credit card can help you save big: If it hurts to part with your money, you're less likely to do it.
Using a credit or debit card, on the other hand, feels less real than cash because you're not watching your physical bills disappear. That's why it's so easy to mindlessly swipe a card and forget you even bought something.
If you're sticking to a tight budget, or just looking to cut back, try ditching your plastic and going on a "cash diet." Simply withdraw a predetermined amount of money for the week or month and commit to spending only that amount. It could both encourage and help you to stay on track.
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