Digital wallets facilitate a staggering amount of impulse spending, according to the data. Here’s what we splash on, on a whim.

According to a study by comparison site Choosi, 44% of Australians sometimes use a digital wallet to pay for their daily transactions.

Most digital wallet users (51%) linked them to their debit card, while 23% linked them to their credit card and a further 19% linked them to both.

The biggest perceived benefits are contactless payment when shopping in person – a feature that has become increasingly attractive during the pandemic – and not having to carry a separate card or a large wallet or purse because they always carry a cell phone.

Online transactions are also proving increasingly convenient with features such as auto-filling of payment details.

This ease and speed means that many Australians spend unnecessary goods.

“For most, it’s too easy to spend mindlessly,” Choosi said.

About 40% of digital wallet users said they were more likely to order takeout or make impulse purchases online.

“Some also report being more likely to do things like get a rideshare (28%), buy coffee (27%), or buy impulsive food treats (27%),” Choosi said.

Encouragingly, many feel that digital payments make it easier for them to track spending than with cash, while 20% said it was more likely to help “round up” savings.

These are mobile apps such as Wisr that allow you to round up the cost of purchases, with the rounded amount being deposited into a designated account.

Banks currently offering rounded accounts or similar features include Bank Australia, ING, P&N Bank, Up Bank and Great Southern Bank, Canstar financial expert Steve Mickenbecker said.

To help Australians improve their financial literacy, Choosi shared some advice from Whitely Bradford, a financial literacy specialist at Griffith University:

* Learn to want less. When you adapt your mindset to want fewer material things, you tend to spend less and you can become more aware of how you spend your money.

* Read personal finance books (eg Total Money Makeover by Dave Ramsay, Sort Your Money Out: And Get Invested by Glen James) and listen to podcasts (eg My Millennial Money and She’s on the Money).

* Talk to a financial coach or financial adviser, or find a mentor – someone who has been financially successful and you can learn from their successes and failures.

* Play with online calculators that can help you with debt repayment, superannuation, and retirement. A great place to start is the ASIC MoneySmart website.