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5 Things you should Never Waste Money On

When saving to build your emergency fund, retirement account or even that vacation you’ve been dreaming about, you’ll have to be prepared to make a few lifestyle and financial adjustments along the way. Below are some products and services that you should never even consider spending your hard earned money on.

Brand New Cars, trucks or SUVs

As soon as a new vehicle is driven off the showroom floor, it loses as much as 30% of its value immediately. Instead of purchasing a brand new vehicle, consider searching for those that are between one and five years old. This will prevent you from losing a sizeable chunk of your hard earned cash, while still being able to obtain a vehicle in good condition.

Lending Money to Friends and Family

If you’re fortunate enough to have a little extra cash on hand from time to time, chances are that you’ve been approached by friends or family members with regards to lending them money. Although it may be tempting to provide them with financial assistance, you not only stand an extremely strong chance of never getting those funds back; you could find yourself going short in your own budget at a later stage.

Interest on Store and Credit Cards

Many working people consider it normal to be carrying permanent balances on store and credit cards. This results in you having less money to spend each month because of the installments that need to be paid on these cards, and over time, you will end up paying up to three times the original price of any items you purchased with these cards in the form of interest and finance charges. Rather save up for any large purchases, as this will save you thousands of dollars over time.

Paying Full Price for Anything

These days, a number of companies are willing to provide some form of discount on their products and services. However, these special offers may not always be known to the general public – which is why you should always ask whether any discounts or specials would be applicable when making a purchase. This strategy usually works best when purchasing items like appliances or even vacation packages. As the saying goes, “If you don’t ask, you don’t get.”

Anything that Seems too Good to be True

Each year, thousands of hardworking individuals end up being scammed out of their money by conmen who promise to provide them with ‘double returns on their investments’ and other similar schemes. This can seem like a financial lifeline for anyone who is desperate to ensure that they have enough money saved to cover emergencies or other essential expenses. 

As such, you should only ever work with registered and licensed financial advisors or brokers when looking to invest your money.

If you would like to learn more about how you can reduce your expenses or invest more money for future use, get in touch with our advisors today. 

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