We all have quirks in our personalities, particularly when it comes to spending. Whether you’re in good financial standing or not, sometimes these qualities can keep you from achieving your financial goals. Fortunately, whatever your personality, there are ways to ensure you are not holding yourself back. Here are six personality types that can keep you from financial success and how to spot them:
1. The Spender
The spender may have the “you can’t take it with you when you go” attitude. They may spend well beyond their means and swipe credit cards to their max. Unfortunately, this can be a quick way to incur massive amounts of debt and hurt your chances for financial success. If you’re not saving, you’re not helping your future. (You can see how your habits are affecting your finances by viewing two of your credit scores for free on Credit.com.)
To avoid overspending, it’s important to not only create a budget to track your habits but to try and find the triggers that cause you to spend in the first place. Whether it’s your emotional state or the shopper’s high you get from a purchase, addressing these triggers can help you curb your spending.
2. The Risk Taker
Perhaps you like to take risks with your money. High risk can lead to higher rewards, right? At times, yes, but they can also leave you with less. For example, just because you are approved for a mortgage doesn’t mean you can afford that amount. If you take a risk on this purchase, you may stretch your budget beyond its limits. Finding the right balance can help you limit risk and keep you on track for long-term financial success.
3. The Procrastinator
You’ve heard the phrase, “Don’t put off for tomorrow what you can do today.” So if you’re ignoring or putting off your fiscal responsibilities, you could be spelling doom for your financial wellness. Making late payments, waiting to save for retirement, letting bills pile up, or putting off goals are all common examples of financial procrastination. Putting your finances aside will only make things worse.
Consider taking a bit of time each day or week to work on your finances. Also, you may want to sign up for automatic payments, which can make it easier to keep up with due dates.
4. The Ignoramus
There are those who are flat-out uneducated when it comes to their finances and show no interest in learning. They too may have the “you only live once” mentality when it comes to money — and end up spending all of it. This can be someone who doesn’t view money and credit as a tool for their future.
With all the resources out there to boost your financial literacy, it’s important to learn how to respect your money and use it to your benefit. Consider regularly reading personal finance articles and blogs. There is always more to learn about managing money, and it doesn’t have to be boring.
5. The Pessimist
Unlike the Risk Taker, the Pessimist may be afraid of taking risks because they fear things will not work out. This may be someone who puts off saving for retirement because they don’t think retiring is possible. A pessimist may also be afraid to invest in the market or buy a home. While having these reservations may make them feel more secure, they could be missing out on a chance for success by depriving themselves of growth.
Again, this is where finding the right balance in your portfolio comes into play. A well-balanced portfolio can limit risk while providing an opportunity for returns.
6. The Giver
Many find comfort and happiness in buying lavish items and things for themselves, while others prefer to purchase such things for their loved ones. Whether for a family member, partner or friend, they find joy in giving. This doesn’t sound like a bad trait to have, right? Well, it can be if it comes at the expense of your happiness. As much as you want to shower those loved ones with gifts, there ought to be limits.
If you find yourself being a giver, you may want to include a category in your budget for gift giving. Consider setting limits on how much you spend on gifts, and ensure it doesn’t keep you from reaching your goals.
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This article originally appeared on Credit.com.