A new alternative financial service is taking-off overseas that aims to solve your money problems through psychological analysis.
Financial therapy is about finding the root of the problem and determining what aspects of your lifestyle or finance habits are causing you distress.
You probably won’t find one in Australia, as financial therapists overseas don’t require a financial license to operate (we have certified financial counsellors instead).
Brad Klontz, an American published financial therapist, believes there are four distinct money types, or ‘scripts’, that characterise individual spending and saving habits. Do you identify with any of these?
For the Avoider, money is often seen as a force that stirs up fear, anxiety or disgust.
These people may be worried about abusing credit cards or over-drafting their account.
They may self-sabotage their financial success, avoid spending money on reasonable or necessary purchases, or may unconsciously spend to have as little as possible in their control.
People who are Worshipers tend to believe that an increase in income or financial windfall will solve their problems.
This may be associated with compulsive hoarding, unreasonable risk-taking, excessive gambling, over-working, overspending or compulsive buying.
The Status Symbol
These types usually associate self-worth with net-worth.
They show competitive spending traits and try to keep-up with the spending habits of others.
Those that align money with status tend to have lower ratings of well-being, self-actualisation, vitality and happiness, and higher levels of anxiety.
For some people, money is a very secret topic, despite whether have a lot or a little.
People who are secretive with their money may be developing unhealthy financial behaviours, such as cash hoarding or excessive frugality.
This type is linked to alertness, watchfulness, anxiety and a sense of paranoia.