4 Ways Stealth Shopping Hurts Your Finances
Written by
Justice Petersen
Edited by
Rebekah Evans
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Stealth shopping refers to when somebody hides their purchases from their partner or significant other. These purchases are usually indulgent, not budget-friendly and, as explained in this Wall Street Journal article, typically spent on frivolous items like designer clothing, shoes or accessories.
While this shopping trend is nothing new, a 2023 study by Edelman Financial Engines shows that there has been a recent rise in this behavior, with 39% of married adults admitting that their partners don’t know about everything they’re buying.
According to ABC News Columbia, 64% of people who live with their significant other have hidden purchases from their partner in the last year. The biggest reasons for hiding their purchases were to avoid any judgment or criticism for their spending and because they felt guilty for impulse buying.
Not only does stealth shopping result in potential strain in your relationships, but it can also significantly hurt your finances. Stealth shopping typically stems from insecurities about one’s spending habits and, while this behavior doesn’t correlate with poor financial standing, these continuous purchases might lead to it.
Here are several ways in which stealth shopping can strain your finances (and your relationship) and how to combat this behavior.
It Encourages Impulse Buying
Stealth shopping usually involves hiding purchases that were bought on impulse. While the occasional splurge won’t break the bank, continuously giving in to your impulses will eventually add up. Knowing that you can hide these purchases and get away with it may fuel this behavior even more.
To limit and monitor your impulse spending habits, it’s beneficial to understand what emotions may trigger your impulsive purchases.
“Identifying these triggers can help in finding healthier alternatives,” said Brendon McCullough, founder and managing director of Deal Hack. “Remove temptation by unsubscribing from store newsletters, avoid one-click shopping and steer clear of environments that encourage spending.”
Andrea Woroch, consumer and money-saving expert, agreed that avoiding places that trigger impulsive buying is very important.
“If you can’t walk into a particular retailer without overspending, then don’t go in,” Woroch said. “Set time rules and always give yourself 24 hours to sleep on an impulse purchase.”
Additionally, paying cash can limit your impulse spending habits.
“Pay with cash when possible,” Woroch said. “You can’t spend more than you brought. Plus, cash-paying consumers are less likely to part with their dollars on items they don’t need, as many studies suggest.”
Purchases Usually Go Beyond Your Budget
Since these hidden purchases are typically made on frivolous items and not necessities, these items usually fall outside of your monthly budget and may therefore hurt your finances.
“Indulgent purchases, especially when hidden, often bypass the household budget, leading to unplanned expenses that strain monthly finances and disrupt financial goals,” McCullough said. “Establish a clear and realistic budget that includes discretionary spending. This allows for indulgences within limits and reduces the need to hide purchases.”
Setting a strict budget with your significant other that includes the occasional fun spending can help make sure you remain within budget.
“Set money dates with your partner to outline your monthly household budget, listing necessities with wants,” Woroch said. “Identify both short- and long-term goals that you both commit to. This helps partners feel more motivated to stick to a budget and savings plan.”
May Lead To Credit Card Debt
It’s very often that these stealth purchases are made on a credit card so that they are better hidden. However, these repeated purchases can result in high credit card debt.
“When purchases are made on credit to conceal them, it can result in mounting debt,” McCullough said. “The interest on this debt can compound over time, leading to a cycle of financial instability.”
Hurts Financial Security
When one continuously spends money on wants rather than needs, this results in less money being put into a savings account.
“Money spent on stealth shopping could otherwise be allocated to savings or investments, eroding financial security and delaying important financial milestones like buying a home or retirement,” McCullough said.
To protect your finances and maintain your financial security, it’s important to communicate with your partner about the monetary goals that you’re hoping to achieve together.
“Establish clear financial goals, such as saving for a vacation or paying off debt,” he said. “This provides motivation to curb unnecessary spending and focus on long-term benefits.”
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