Friendflation: when friendship becomes too expensive

The cost of living continues to rise and this means that going out with friends can dent your wallet. As a result, you might be tempted to use your credit card to maintain your lifestyle. However, this can be risky! Here are a few solutions that could help.

In short

Are some of your friends putting you under financial pressure? The best approach is to talk to them rather than getting into debt! You can also:

Suggest low-cost activities.
Plan outings in advance so you can put money aside and avoid using your credit card.
Say goodbye to toxic friendships based on consumption and appearance.
Surround yourself with people whose values align with yours.

On social media, you’re constantly bombarded with photographs that showcase an enviable lifestyle. And even if you don’t have the means, turning down the chance to catch up with a friend can be difficult. The word friendflation describes the combination of (often unintentional) pressure from our entourage and the context of inflation. A French term hasn’t been coined yet, but it’s probably in the works. Friendflation can affect everyone, regardless of their age and social environment.

What signs show that friendflation is affecting you?

You agree to go out with friends even when you can’t afford it because you don’t want to be excluded.
You turn down more invitations for financial reasons.
You feel stressed or guilty when you calculate how much going out costs.
You have difficulty turning down invitations for fear of being judged.
Your credit card has become your saviour (but your balance is problematic!)

What are the dangers of friendflation?

If you don’t have enough liquidity to cover your expenses, you could end up using your credit card too often to finance your social life. Naturally, this can lead to a precarious financial situation. If you use a credit card and are unable to pay the balance, your debts could accumulate quickly.

What solutions can help me avoid friendflation?

Broach the subject with your friends. Money doesn’t have to be a taboo subject and honesty is the best policy for this discussion.
Suggest low-cost activities such as game nights, walks in the park, free concerts, meeting in a cafe rather than a restaurant, picnics and potluck meals. Most large towns and cities also offer a wide range of free activities year round. All it takes is a little research.
Plan outings in advance so you can save money. Budgeting for an outing several weeks in advance is another way to avoid getting into debt. This approach will give you time to put money aside and avoid using your credit card. You may find our free online budget tool useful for planning your expenses.

And if a friendship puts you under financial pressure, it might be time to rethink it. Friendships based solely on appearance and consumption are often toxic. We must learn how to say no without feeling guilty. After all, a friendship should never become a financial burden! When you concentrate on surrounding yourself with people whose values align with yours, you can limit the effects of friendflation.

In a nutshell, you don’t have to spend a fortune to have an interesting social life. If you’re experiencing friendflation, it might be time to take a closer look at your circle of friends and focus on authentic relationships only.

In any case, if you can’t get yourself out of debt despite your best efforts, contact us. Our Insolvency Counsellors are here to help you.