What is a common behavioral factor that causes people to spend more when using credit cards (and running up debt) as opposed to using cash?
A) It's easier to return items when using credit cards versus cash.
B) Paying for the purchases in the future seems less burdensome than paying for it now.
C) It's easier to keep track of spending by receiving a monthly statement of all charges.
D) Paying with cash requires more trips to the ATM.

Question

Quizplus · Accepted Answer

The psychological effect of delaying payment makes spending with credit cards feel less immediate and burdensome, leading to potentially higher spending compared to the immediate reduction of cash in hand.

What Is a Common Behavioral Factor That Causes People to Spend