Bad bargain hunting
(A cheap home haircut that may lead to an expensive salon fix!)
In the name of saving, some consumers are actually spending more. That's the subject of a recent NY Times story on bargain hunting gone bad.
The story says some newly-minted cheapskates are making rookie mistakes, like buying all their groceries in one place. (If only they knew about My Nitty Gritty Grocery List! Tsk tsk. No one store has the best prices on everything, which is why you need to shop around.)
"Pinched by shriveled retirement and college accounts, battered by ballooning mortgage costs, rent and co-op maintenance increases, and hedging against the possibility that a job might vanish, some are practicing economies that may not deserve the name," the story says.
The story continues: "Americans may be forgoing Starbucks and stocking up on Spam, but they are also making severe...
... "diagnostic errors," Mr. Brafman said. "They're stressed out, and using the wrong information" -- such as the belief that buying at Wal-Mart equals saving money -- "to make a decision, and ignoring all other data that contradicts that decision."
So what to do? Everyone's situation is different, but if you spend within your means, meaning don't buy more than you earn in a given month, you should be on track. Stick to true necessities if you are really hurting, or scale back moderately if you believe your financial situation is headed south.
When you do spend, make sure you have good information that the item is priced on the low end of the going rate. Compare going rates for electronics and set up deal alerts for items you want to buy.
Thanks, Dad and Mom!
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About The Bargain Hunter
Daily News staff writer Julia Scott loves to find bargains on everything from groceries to Gucci. Her tips will help keep your hard earned cash where it belongs - in your pocket.
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You suggest shopping at different stores but what about driving costs and my time?
You bring up a good point. Everyone has to decide what is best for them, but I find that my day to day routine takes me to different parts of LA where I can stop at various grocery stores. Also, if you are worried about driving costs, ride your bike. If you are worried about time, weigh which you have more of - minutes or money. ~Julia
Remember a couple of years ago when the grocery stores would have a day-old veggie rack with older bananas, a bit dry mushrooms, and the like-- not spoiled but no longer at the peak of looks. Do ANY of them still do it? some Ralph's still have day-old bread, which is great, but I would LOVE some reduced price produce!