What is your best defense against spending too much of your hard-earned money? Do you use Dave Ramsey’s envelope system where you carry cash in predetermined amounts? Do you use some kind of a buddy system where you only go shopping with good friends who will make sure you don’t overspend? Or, do you just pull out the plastic and tell yourself that you’ll just pay for it later and indulge yourself on whatever meets your fancy?

Most of us, if our last name isn’t Gates or Buffett, have to make a budget and stick to it. We can’t just go out and buy whatever we want and hope to pay all of our bills come their due dates. But sometimes it’s so hard to not overspend and give into the temptation of the latest sale at a favorite store. That’s where the iBag comes in.

This iBag Makes Sure You Stick To Your Budget

This Is Definitely Not Your Everyday Ordinary Handbag…

I have to admit, this iBag sounds pretty nifty. Initially created to help people avoid credit card debt, they may just hit the market if they can sell enough of them. While the iBag may look like an everday handbag, it most certainly is not. It has a built in GPS tag that knows when you’re getting too close to certain stores when you can’t afford to spend money. If it determines you’re getting too close to said store, it will light up and give you a visual warning that it hopes you won’t ignore. If you do ignore it and decide to go shopping, it somehow knows when you take your wallet out. As soon as it determines you taking out your wallet, it will send a text message to another person that you’ve given access to to help you be more financially responsible.

If that’s not enough to keep you from spending money you don’t have, the bag also locks itself during certain points of the day when you might be vulnerable to giving into spending temptation.

You can view the iBag’s site here.

What do you think? Would you use this or do you feel it’s going a little too far?

Oh, and in case you’re wondering, I don’t believe this has anything to do with Apple, who might take offense at the “i” part in the title.

[Image via HomeHarmonizing]

SOURCE: http://www.engadget.com/2014/01/30/smart-handbag-stops-overspending/