8 Common Money Wasters Americans Fall for, According to George Kamel and Rachel Cruze
Wasting money is something of a consumer pastime, whether it’s on yet another impulse buy from the famous “aisle of shame” or the $218 billion, collectively, squandered on uneaten food on a yearly basis, according to RTS.
Ramsey Solutions personalities George Kamel and Rachel Cruze recently tackled the most common money wasters that American shoppers too often fall for, and the results may (or may not) be too surprising to you.
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Kicking the episode of the “Smart Money Happy Hour” off with a few humorous anecdotes in line with the theme – including a prank “Anthropologie” pet rock used to fool Cruze’s famous father, Dave Ramsey – Kamel and Cruze got down to business to list the most serious offenders when it comes to parting Americans from their hard earned money in wasteful fashion.
1. Subscriptions and Fitness Apps That Are Unnecessary Can Be a Waste of Money
Kamel opened by suggesting that the COVID pandemic had really kicked the usual trope of buying fitness equipment and app subscriptions only to see them go unused into high gear.
After a bit of teasing from his co-host, Kamel admitted that he eventually ended up selling the Peloton and canceling his subscription – and that it was a failed venture.
2. Self-Care Products as a ‘Cash Grab’
“The self-care industry feels like a cash grab in general,” Kamel began, with Cruze agreeing. She added that the tiniest of iterations in the beauty cream business was always marketed as a novel idea, no matter how miniscule (or non-existent) the actual improvement might be.
3. Private Colleges May Not Be the Best Investments
Cruze suggested the category, but Kamel upped the ante by adding that, specifically, Christian private colleges may be subject to a surcharge based entirely on marketing faith.
Cruze namedropped Harvard as her alma mater, noting that it was widely considered to be an impressive academic institution to have attended to almost anyone she encounters. Then, she compared the lack of clout that a small, little-known private school might have in comparison.
“No, get [a discount] and go to a community college or an in-state school,” she advised.
4. Delivery Apps Can Quickly Drain Your Bank Account Despite Feeding Your Appetites
After both hosts described the extreme upcharges and the simple disparity between in-restaurant menu prices and the prices offered on popular food delivery apps such as Uber Eats and DoorDash, Cruze and Kamel said it was a serious money pit to order through these platforms on a regular basis.
“I just don’t think it’s worth it unless there’s an extenuating circumstance,” Kamel concluded.
5. Storage Units Aren’t as Interesting (or Cost-Effective) as Shown on TV
“So, basically, you’re paying every month for [stuff] you don’t need. Stick it in a storage unit,” Cruze said, laughing.
“If you needed it [the item], it wouldn’t be in storage all the time,” Kamel agreed.
Described as a uniquely American concept, renting out a storage unit in the long-term just to hold all of your unused property – often junk – both hosts were generally against blowing your check on storage units with no definite purpose in mind.
Other items on the “cash grab” list outlined by the two money personalities:
Fast fashion: Pointing to a quality deficit as well as a sustainability issue among many fast fashion purveyors, Cruze and Kamel put a big X on buying fast fashion if you want clothing that actually stands the test of time (and wear and tear).
Lifted vehicles: Generally deemed less-than-impressive to those not within the vehicle modding community, beside being a poorly considered financial investment.
Lottery tickets: In unison, Cruze and Kamel spoke directly to their audience: “You will not win the lottery!” Sports betting and gambling apps were also called out for being bad places to park your hard-earned dollars. “Just stay away,” Cruze added.
This article was provided by MoneyLion.com for informational purposes only and should not be construed as financial, legal or tax advice.
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