Last week we looked at the phenomenon of ‘Crazy Consumption’ where clueless consumers are overcome with the desire to shop uncontrollably even when they can’t afford it. This out-of-control spending habit devastates the financial vitality of its victims by dumping them in massive debt and rendering them unable to realize their money goals.

We opened up the floor to our readers to get real-life stories from people who are suffering from this dreaded spending disease and are desperate for solutions to get their lives back on track. Our first case is of Marcia* who suffers from a clinical case of Crazy Consumption.

Marcia’s Story:

I’m a forty-something year old professional with a great job and fabulous friends. On paper I may look upwardly mobile and progressive, but the truth is that my financial situation is in shambles. Although I earn a good salary, I have no savings because I have absolutely no control over how I spend my money. For me, shopping is a way to escape reality, as when I shop, I don’t have to think about the personal issues that torment me. My greatest times of weakness are when I am alone with nothing to occupy my time. Then I surf the internet and go crazy buying things online.

I work with an international agency which requires me to travel frequently. On these overseas trips I indulge in binge spending, sometimes without reason. Last time I was away, I went into an expensive department store to buy one gift and walked out with over US$400 worth of perfume for myself. I don’t even like to wear perfume because it affects my allergies. I just don’t know what came over me. Most people might overspend at Christmas, but for me, Christmas is year-round!

The Bigger Picture

In a deeper discussion with Marcia, she revealed that she was actually seeing a therapist to get help with personal issues from her past. Many of her problems stemmed from the sense of rejection she felt when her mother left her with relatives and migrated when Marcia was only six years old. Most of her life experiences have been affected by her emotional anxiety, and her financial predicament is only a symptom of her deeper concerns.

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Shopping provides Marcia with a dangerous form of comfort. In the same way that addicts depend on drinking, gambling or drugs to lessen the pain they’re feeling inside, so she relies on shopping to find relief. Although there are no physical side effects from her habit, her Crazy Consumption has left her financially challenged. Marcia is severely indebted, and her problem is worsened by her inability to come to grips with her debt. She ignores her bills and bank statements, saying that she is mentally unprepared to face up to this issue. Meanwhile, her debt is spiraling out of control.

The Cure

Marcia confessed that she was feeling emotionally vulnerable, and that she really didn’t have the strength to tackle her financial issues head on right now. She said that she preferred to focus her energies on trying to sort out her past hurts with the therapist’s help, and then later she might feel more capable of facing her debt situation. However, we were able to agree that there were some strategies she could use to control her spending sprees, and to more gainfully occupy her time.

Firstly, Marcia revealed that she was trying to start her own business in area that she was passionate about. We looked at ways how she could use her free time to concentrate on developing her ideas, instead of being tempted to shop on the internet. She committed to:

1.   Create and follow a simple action plan for her new business,
2.   Focus on making money for herself instead of just spending it on herself.

Secondly, we looked at ways to separate her from the excess money that she spent so freely. We did a basic budget that outlined her necessary expenses, and then gave her a small allowance to spend on herself. She committed to:

1.   Start investing in an account that she had little access to,
2.   Sign up for a salary deduction that would remove the agreed amount before she even saw it.

Marcia’s case does not have a quick fix, as it will take a period of consistent financial coaching and personal therapy for her to be fully cured. However, the good news is that Marcia recognized her problems and sought the appropriate professional guidance.

If you have suffered from Crazy Consumption in the past, and are worried about its financial impact on your life, please email your story to info@financiallyfreenetwork.com. You could receive a personalized treatment plan which will help to cure you of this dreaded financial disease.

• Name changed upon request