Finances require good stewardship and smart decision-making. It is not too late to get your finances in order, even if you are already behind payments. To avoid sinking further into debt, steer away from these 12 poor financial decisions others regretfully made.
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Put Everything in Your Partner’s Name
While this might seem romantic, you should never trust your partner to keep your money for safekeeping – even if you trust them 100%.
In a comment from an online forum, a member shares how someone he knows placed all of his assets under his girlfriend’s name to avoid the IRS, only to find out that “the gf sold his business, cashed out his accounts, and ran.”
Bet on Sports
The sports betting logic is insane since you stand a higher chance of losing money than doubling or tripling it. Sadly, people still get into it.
A commentator narrates, “A guy in my fraternity got 30k for an undisclosed reason, I am guessing a family death or something, and he bet it all on the Yankees winning one game. They lost.”
Gamble a Loan
Gambling is already bad. So, imagine the consequences if you took out a loan, played your luck at a casino, and lost. As one person puts it, you “have a loan to pay off and nothing to show for it.”
Fall for a Craigslist Scam
Also, don’t get cheated out of your hard-earned money “by being an over-trusting and under-thinking seller.”
“I had a coworker who handed a Craigslist guy cash upfront for a used car. He told him it was at the shop getting oil changed and he would be back. My co-worker was a fairly recent immigrant, very sweet and naïve, and it broke my heart having to explain to him what happened,” shares a poster.
Max Out Credit Cards for Scientology
Giving away money to a cult is another terrible way to use money. One poster shares, “My former sister-in-law had a thriving medical practice. She got so stressed that she joined the Scientologist. She opened up five-six credit cards, maxed the cards out with hundreds of dollars in cash withdrawals, and gave it to the cult.” Terrible decision, right?
Use Overtime to Pay for Mortgage
A poster narrates his co-worker’s terrible financial decision, “A coworker I used to have worked every second of overtime for several years to save up for a house. He ended up divorced a few years later because his wife got tired of him always working.”
Buy a Home in the Mountains
Buying a home in the mountains is a dream for many. But it can quickly become a costly nightmare if the house “was being pushed over by a mountain.”
Join an MLM Scheme
Joining an MLM will not only steal your joy but your money, too. “My dad retired early from a 20+ year career where he was making over $150/year so he could join an MLM. He ended up draining his entire retirement fund (over $500k), filed for bankruptcy, and foreclosed on my childhood home in just 3 years,” shares a user.
Purchase NFTs
Next, using savings to purchase bored Ape or Trump NFTs is not a great financial move.
Have an Extravagant Wedding
Additionally, “extravagant weddings that end in divorce a year later” or getting married to someone heavily in debt are financial mistakes you should avoid.
Also, “using a loan to pay for a wedding is a bad financial decision. It’s paying 20k plus interest for a 4-5 hour party.”
Use Doordash Almost Everyday
Doordash is an easy-to-use, convenient food delivery service. However, ordering food through the service 5-6 times a week is too expensive. “The markup that those delivery companies charge is ridiculous,” points out a user.
A 41-year-old adds, “Doordash is completely insane to me. You’ll pay way too much for someone to run down the street and grab McDonalds for you?”
Buy Timeshare in a Place No One Wants to Vacation
Lastly, buying timeshares in locations where people rarely vacation all because “you can pass this timeshare to your grandkids as their inheritance” is a bad financial move. Also, “if you don’t already vacation every year, forget about it (timeshare). You’ll just be dumping money.”
Source: Reddit
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