Financial expert: Avoid these three mistakes to remain financially secure!
- Replies 5
Everybody needs quality financial advice to ensure their money is working hard for them—particularly when managing savings and investments for retirement.
But financial advice isn't always straightforward or accessible, especially for those of us who don't have the means to pay for advice or have experience with the stock market.
Financial advisor Dr Brad Klontz has pointed out three mistakes people make with their finances in his video online. He also gave financial advice on these mistakes to make sure you don't end up poor or in debt.
‘You need to budget every month and never spend more than you make,’ he said.
'Do not use your credit cards unless you can pay the full bill each month,' he said.
'Credit card interest can be as high as 36 per cent—which is just extra money you're handing over to the bank. Those cards can't be trusted. If you keep having trouble with credit cards, you should seriously consider cutting them up and never using them again.'
‘Maybe you need to get a smaller place or sell your car and ride the bus,' Dr Klontz said.
'Or maybe you need to save money on haircuts and shave your head or find another source of income. You've got to make investing for your future your top financial priority today.’
‘Rich people invest very differently than most people do. Poor people stay poor by trying to trade their way to fast wealth’ he added.
The financial expert recommended readers to look into long-term plans that offer a higher yield for a lower risk.
Other people had positive feedback for Dr Klontz after he shared his advice.
'Never had a credit card in my life,' one person said.
Another added, 'Good advice, thank you for that information!’
‘Live below your means! Just because you can afford a 500k home doesn't mean you need one, buy a fixer-upper and pay it off early,’ a third added.
But of course, Dr Klontz's advice didn’t go over well with everybody.
One pointed out, ‘You need to update your advice. Eighty per cent of people live paycheck to paycheck.’
Another commented, ‘Sell your car and ride the bus? Come on, what reality are you living in? Some areas don't have public transport.’
‘It's called inflation and skyrocketing housing prices,’ a third wrote.
With today’s rising costs, we have to strategise on how to save money to prevent from going bankrupt. Another financial expert shared her ‘unethical’ money trick that could save you more yearly. Read more about the money trick here.
What can you say about Dr Klontz’s financial advice? Do you have other financial tips you want to share? Let us know in the comments below!
But financial advice isn't always straightforward or accessible, especially for those of us who don't have the means to pay for advice or have experience with the stock market.
Financial advisor Dr Brad Klontz has pointed out three mistakes people make with their finances in his video online. He also gave financial advice on these mistakes to make sure you don't end up poor or in debt.
‘You need to budget every month and never spend more than you make,’ he said.
Dr Brad Klontz mentioned three financial mistakes that make people poor. Credit: @drbradklontz / Instagram
1. Using credit cards excessively
Dr Klontz shared that the first mistake that almost everyone makes is abusing credit cards.'Do not use your credit cards unless you can pay the full bill each month,' he said.
'Credit card interest can be as high as 36 per cent—which is just extra money you're handing over to the bank. Those cards can't be trusted. If you keep having trouble with credit cards, you should seriously consider cutting them up and never using them again.'
2. Overspending
In this second point, Dr Klontz advised readers to budget monthly and never to spend more than they make. He added that if you can't save and invest at least 10 per cent of your income, you need to make big lifestyle changes.‘Maybe you need to get a smaller place or sell your car and ride the bus,' Dr Klontz said.
'Or maybe you need to save money on haircuts and shave your head or find another source of income. You've got to make investing for your future your top financial priority today.’
3. Wrong investments
Dr Klontz said, ‘Investing the wrong way hurts so many hardworking people who just want to make a better life for themselves and their famil[ies].’‘Rich people invest very differently than most people do. Poor people stay poor by trying to trade their way to fast wealth’ he added.
The financial expert recommended readers to look into long-term plans that offer a higher yield for a lower risk.
Other people had positive feedback for Dr Klontz after he shared his advice.
'Never had a credit card in my life,' one person said.
Another added, 'Good advice, thank you for that information!’
‘Live below your means! Just because you can afford a 500k home doesn't mean you need one, buy a fixer-upper and pay it off early,’ a third added.
But of course, Dr Klontz's advice didn’t go over well with everybody.
One pointed out, ‘You need to update your advice. Eighty per cent of people live paycheck to paycheck.’
Another commented, ‘Sell your car and ride the bus? Come on, what reality are you living in? Some areas don't have public transport.’
‘It's called inflation and skyrocketing housing prices,’ a third wrote.
With today’s rising costs, we have to strategise on how to save money to prevent from going bankrupt. Another financial expert shared her ‘unethical’ money trick that could save you more yearly. Read more about the money trick here.
What can you say about Dr Klontz’s financial advice? Do you have other financial tips you want to share? Let us know in the comments below!
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