APPS TEMPTING CONSUMERS TO SPEND MORE ‘OUT OF HOURS’

Many of us now manage much of our spending and saving through apps installed on mobile phones and other devices.

But while they make money matters more convenient, could some be encouraging you to overspend?

A new survey has found that nearly a third (31%) of people believe apps are making their finances worse, by encouraging them to spend more or meaning they lose track of their outgoings.

The rise in apps and online

shopping means purchases can now be made “out of hours” – when shops on the high street are shut.

One in seven (15%) of people admit to spending using apps while at work, while many more use apps to shop from their bed, according to the Financial Services Compensation Scheme (FSCS)’s research.

Habits differ when it comes to spending via apps: Women spend slightly more than men using apps in a typical month, the research found, at £131 versus £115.

Women are more likely to spend on food and general shopping, while men tend to spend more than women on apps for socialising, music and entertainment, travelling and gambling.

Take back control: It may be quick and easy to click the “buy” button, but, tempting as it is, you can give yourself back some thinking time.

Making a bit of breathing space before a purchase may help. Perhaps consider going off to make a cup of tea before coming to a final decision.

There are also lots of apps out there which can help people make and stick to a budget and identify potential areas of overspending.

But the FSCS’s research found that less than one in five (18%) respondents who have electronic devices have an app that helps them to save or manage their money better.

Those surveyed said they would be more likely to save if it were easier to set money aside, if savings tools could show them how much they could or should save, or if they were given regular reminders to do so.