If you find yourself in a financial bind, you might be anxious to seek advice for how to manage your money. However, it’s important to be careful about where you get your advice. Don’t let desperation lead you down the wrong path. Bad advice could cause you to make a financial decision that puts you in a worse situation. Here are seven people you should never take financial advice from.
1. Your broke friends
Your friends might mean well, but if they never seem to have money, do you really want to take advice from them? Your best bet is to get advice from a financial professional. Steer clear of taking advice from anyone who is in worse financial shape than you are. The only lessons you should take away from them are what not to do with your money.
William S. Matthews, author of Everything I Needed to Know About Money I Learned from My Broke A$$ Friends, said learning from other people’s money mistakes can help you stay on course with your finances. “After countless discussions with friends, I was amazed and saddened by the money decisions many were making. The majority were living paycheck-to-paycheck,” Matthews told The Cheat Sheet. “Money management is about choice — choosing how to spend and save your money. Often, people’s material needs meet or exceed their income. Don’t shackle yourself with golden handcuffs (a luxury car, designer labels, and enormous debt).”