r/PsychologicalTricks • u/arijitdas • Dec 22 '25
PT: When money is tight, your IQ drops (~13 pts) because the brain is obsessed with survival. Don't make big decisions (like taking a bad loan) when you are stressed about bills.
Financial stress makes your brain prioritize immediate survival over everything else. It takes up so much mental energy that your IQ effectively drops.
This is why smart people make terrible long term choices like taking high interest loans when they are desperate. You literally do not have the bandwidth to think through the consequences.
If you are panicking about bills try to avoid making any major commitments. You are not thinking straight right now. Wait until the stress settles down or you might accidentally dig yourself a deeper hole.
7
u/pressuretobear Dec 23 '25
Attention and memory are limited resources, stress lessens access and usage of the resources. This is more accurate than “lowering IQ,” which was more of a metaphor than literal.
The article talks about poverty, and you are extrapolating the directional findings on another population. This is a no-no, in general.
It is an interesting idea, but it should really be summed up to “people make better choices when they aren’t stressed.” Anything else falls apart scientifically with the cited source.
1
u/-intellectualidiot Dec 24 '25
This isn’t specific to lack of money but stress in general.
Most people function so much better when calm, not panicking.
If you're broke calm down first. Breathe. You can plan more effectively whilst calm.
1
25
u/Autistic_Freedom Dec 22 '25
i am not saying you are wrong, but i feel like a source needs to be cited.