3 Personal Finance Advice to Ignore

October 18, 2022 Joseph Hernandez 0Comment

Everyone could use some financial advice but it can be tough to figure out which tips are worth following among all the many opinions circulating. Not all of the advice you get is good advice. In fact, some financial advice can actually do more harm than good. 

Here are three such pieces of personal finance advice that you should take with a grain of salt.

Don’t Use Credit Cards 

Yes, credit cards could lead you into debt but only if you misuse them. There are many advantages to using credit cards responsibly.

For example, you can build your credit score by using a credit card and making timely payments. A good credit score is often a requirement for qualifying for loans, renting an apartment, and even getting a job. 

Also, many credit cards offer rewards programs that can save you money on travel, gas, and other everyday purchases. Plus, using a credit card can help you keep track of your spending and budget better. 

Don’t Buy a Home 

Owning a home is not for everyone but that doesn’t mean you should write it off completely. If you’re able to afford a home and you think it’s the right move for you, then go for it!

There are many financial upsides to owning a home. For one, you’re building equity with each mortgage payment. This will come in handy if you ever need to borrow money. Additionally, owning a home can provide you with stability and security. You won’t have to worry about your landlord raising the rent or selling the property. Plus, with house prices usually on the rise, it’s a secure investment. 

Also, there are many tax benefits to owning a home that can save you money each year.

Don’t Discuss Money 

It’s not just kitchen design ideas, recipes, and the latest fashions that you should discuss with others. Money is always a tricky subject, but avoiding the subject altogether can do more harm than good.

If you’re not comfortable discussing money with your friends or family, that’s understandable. However, you should still have someone to talk to about your finances. This could be a financial advisor, therapist, or even a close friend who is good with money. 

The financial advantages of this include learning of ways to make more money such as investment opportunities. You could even get help with developing a budget or creating a comprehensive financial plan.  Don’t blindly follow personal finance advice- even if it’s from a well-meaning friend or family member. What works for someone else may not work for you. Take everything with a grain of salt and do your own research before making any major financial decisions. The best way to become good with money is to educate yourself and make informed choices about your finances.

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