How many times have you made mistakes with your money? I can’t even count the amount of dumb things I’ve done over the course of my life when it comes to money. Here are some money mistakes that people including myself have made.
1. Not having over draft protection and going into overdraft. This can cost you $5 every time your account is overdrawn. Doing this a few times a month can cost you $20 a month, multiply that by 12 and you just paid $240 in overdraft fees for the year?
Tip: Some banks allow you to link another account to your checking account, so if your checking account is ever overdrawn, the money is taken from your linked account. Of course there has to be money in your linked account, or you’ll still be charged the overdraft fee.
2. Writing a bad check! Sometimes people write checks and think the right amount is in their account, but it’s not, or there may be a hold on your money. Some banks charge upwards of $40-$45 for having insufficient funds in your account.
Tip: Only write checks when you know the funds are in your account and there are no holds. Your money could be in your count, but if there is a hold on it and you don’t have any overdraft protection or an account linked to your checking account, your bank will most likely return your check and charge you a fee.
3. Buying the newest big ticket item. I remember when flat screen TV’s use to cost $10,000. Now look at the price of flat screens.
Tip: Just wait, the price always goes down.
4. Not shopping around for bargains can cost you. Have you ever sat beside someone on a flight and asked them what they paid for their ticket, to find out that you paid $200 more for your ticket? I have and the feeling sucks!
Tip: Shop around
5. Refusing a money gift! Who does this! I did, years ago when my cousin gave me a stash of money. She’s very successful and just felt like giving me some money. I think it was pride why I refused it, actually I know it was pride. What’s funny is just a couple of years ago, I gave a friend a few hundred dollars and she refused it! When she refused my gift, I felt like it was drug money I was giving her. I was so insulted. I wonder if my cousin felt the same way.
Tip: Never refuse a gift! Unless you know it was obtained illegally of course.