When it comes to money, people around you can have a great power and can be a source of inspiration.
Your financial coach could be your grandmother who has never had a debt in her life, because she says “we must rely on our own resources“.
But there are also people who are able to have a negative influence. You try to find ways to improve your life, to earn more money, and they dismiss it all with a smile, making you feel stupid.
For sure, you understand what I am talking about. Some of these people are also around you.
Even if you feel affection and care a lot of them, their negativity can get you down. Over the years, I have reviewed 7 categories of people that should be avoided:
1) The brother in law who is always broke
He has a lifestyle beyond his possibilities. At family dinners he pretends that he’s an expert in business and economy, the world seems to be an open book for him. But then he takes you aside and asks you to lend him money in secret, promising to return it within the next month maximum. A year passes, and you are still waiting and he avoids meeting alone with you.
2) Your parents
Debts are not alike: there are good and bad debts. Unfortunately many parents dispense bad advice to their children, encouraging them to buy their first plasma TV in installments and to take a mortgage out with their first fixed salary. Before accepting advice from parents, analyze their financial situation: are you sure, they are in a place where they should be advising you?
3) Big babies
They are adults who behave as children, despite their age. They never really accomplished anything in their life, not even a summer job. They are always asking Mom and Dad for money, with whom they are still living. If your child falls into this category, the best thing you can do is give him a deadline. 3 months to find a job and then get out of the house. It will break your heart, but he will be forever grateful.
4) The exhibitionist friend
He comes with the new car, the expensive polo shirt and tells you about his next trip to the Maldives. In high season, it is clear. You would be surprised to know how many people go into debt to pay for their own amusement or toys (as I call them in my game called YES).
5) Your high school teacher
You have had awe and admiration for him for years. He only needed to give you a quick glance to make you feel that you had done the right thing, because that was his way to approve of your behavior.
He knew lots of things about you, when you came back to find him over the years he told you about how important it was to buy a first house: it is a sacrifice, but it is worth it. Now you are able to figure out which are the right teachers regarding money. Certainly not your high school teacher (unless he is rich).
6) The Government
How many times have you heard the government’s statements, refuted the next day? The government has no lesson to give you about money and its use. Have you looked at the level of public debt recently? Here, then if you hear them give you advice on money, then press the “mute” button.
7) Marketing and sales men
I have nothing against them, in fact. It is just part of their job to make sure, that you reason with your heart and not with your head. That is why the best ones are the credit card companies.
What do I want you to get out of this article?
At the end, debts are your responsibility. You cannot blame others for a situation that you have generated. Other people can influence you, but it is your responsibility to understand who is able to give you advice and to whom you should never listen.
As you build your Financial Freedom, be careful with these types of people!
To your financial freedom