We can’t all make great financial decisions all the time. But sometimes, people’s actions are so egregiously bad for their finances that we can’t help but wonder what they’re thinking.
When people do stuff like this, we can assume they consistently make horrible financial decisions.
Constantly Asking Friends for Money
It’s one thing to be short on cash every now and again, but it’s a different ballgame when you’re constantly begging friends for help with bills. It’s even worse when you don’t pay them back but buy vacations, games, and other luxury items.
Fake Emergencies
Some people take begging their friends to a whole new level by manufacturing emergencies they need money for. Perhaps their non-existent dog got sick, their grandmother passed away for the 6th time, or they spin a wild tale about a robbery.
We can accept one emergency. But when emergencies happen constantly and get crazier as they go, we assume you’re lying for money.
Poor Choices
Some folks say they can’t afford clothing for their child yet constantly purchase expensive vehicle upgrades. We don’t want to tell people shouldn’t have anything for themselves, but if you aren’t putting your responsibilities first, you probably make poor financial decisions.
Flea Market Economics
People go to flea markets because items there cost less than they do at other stores. People who fail to understand this dynamic and, say, purchase a ton of nail polish and cosmetics from Walmart to sell it at a flea market probably don’t make good overall financial decisions.
Don’t Know the Full Cost
When you make a big purchase, you should know everything about it. You should know the total purchase price, the loan amount, the interest rate, the payment timeframe, and the monthly payment amount. Folks focusing only on the monthly payment amount without worrying about the rest may not make the best financial decisions.
Money Gone on Payday
Payday comes, and you rush to the store to buy all the things. That money burns a hole in your pocket so quickly that you barely even know you have it.
Rent vs. Fun
Why pay the rent when you can blow the money on a night out? You only live once, right? Well, most of us would rather not be homeless, but some folks make poor financial decisions and can’t plan that far ahead.
Champagne Tastes
Some people have champagne tastes on a beer budget. They insist on top-of-the-line luxuries for everything, opting for name-brand purses, expensive cars, and high-end clothing they can’t afford.
Scarcity Mindset
Poverty breeds a scarcity mindset. Sometimes people spend money immediately because they assume it will be the last big chunk they’ll see. Saving money is pointless because it will be gone. It’s hard to escape a scarcity mindset even when you’re no longer poor.
Getting Suckered Into an MLM
MLMs are financial blackholes. They prey on desperation; once you get sucked in, it’s nearly impossible to escape.
Trying Too Hard To Look Wealthy
Some folks think wealth is about image. They’ll drown themselves in debt to make others think they’re wealthy. These folks drive expensive cars and deck themselves out in designer clothes filled with logos while barely scraping by.
But hey, at least they look rich.
Payday Loans
Payday loans are so predatory that the military forbids soldiers from using them. We get emergencies happen, and some folks literally have no other options. But vacations and engagement rings aren’t emergencies, yet people still turn to payday loans to pay for them.
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Source: Reddit