The word 'tightwad' is an American English colloquialism from the late 19th century. It creatively combines 'tight', implying a firm, constrictive grip, with 'wad', a slang term for a roll of banknotes. The literal image is of a person who holds their roll of cash so tightly that it is difficult to extract any money from it. This vivid metaphor evolved directly into the modern abstract meaning denoting a miserly or stingy individual, perfectly capturing the logic of someone whose fist is metaphorically clenched around their wealth.

Structure: tight (firm, constricted) + wad (bundle, roll) - tight: From Old English thēht, thyht (dense, solid, firm), of Germanic origin. In this compound, it carries the figurative sense of being constrictive or unwilling to let go. - wad: From Middle English wadde, likely of Middle Dutch or Middle Low German origin, meaning a bundle or mass, especially of soft material like paper or cloth. Here, it refers to a roll of paper money.