Posted by Lending Club :: February 17, 2009 @ 6:16 am

According to a recent Reuters article, stores have been reporting a rise in the sales of piggy banks as well as safes. While this only provides anecdotal evidence of a change in focus among consumers, it is still an encouraging sign.

The change in focus seems to be twofold:

First, consumers are more conscious of thrift and frugality whether out of necessity or simply the growing popularity of these trends. Piggy banks are more than just a place to save money; they symbolize saving as well. Seeing a piggy bank is a visual reminder to save money and avoid wasteful spending. They also provide and excellent method of teaching children about money.

Second, confidence in traditional institutions is much lower than normal. By storing money or valuables at home, consumers forgo the interest they could be earning at traditional banks for a perceived increase in safety. In reality, banks are a much safer place to store your money when FDIC insurance is covering your deposits. What storing money at home offers you is more control over the situation, but certainly not more safety. You are only a fire or theft away from losing anything stored in your home. That being said, there is still a place for a safe in your home. It can be used to store important documents and certain valuables that you need access to outside of normal business hours.

Seeing an increase in the sales of piggy banks and safes is not surprising. These items are synonymous with frugal and survivalist mindsets, both of which are also on the rise. Whether you need to run out and buy one or both of these items is a matter of personal opinion, but be sure that you don't overspend on them, as that would obviously be counterproductive.

Have you bought a safe or piggy bank recently?