Personal Finance Facts People Constantly Get Wrong

Sadly, in our day and age, it has become common to neglect personal finance. We have collected two financial myths to debunk. If you know them, you can avoid them and be blessed.

<strong>1. If I am poor, I do not have to give to charity. I'll give when I have enough</strong> – Ironically enough, what the street beggar and welfare recipient usually have in common is a selfish insistence that they be helped, while refusing to help others. This is why they are poor. When you are thinking about your income, do not let its small size limit your generosity. Perhaps its small size can be explained by your lack of generosity.

<strong>2. Debt is a tool that I should use to get rich</strong> – This myth is propounded by nearly everyone in the developed world, from corporate CEO's to your Average Mom and Pop store. It is also wrong. An ancient Jewish proverb summed it up nicely. "The borrower is the slave of the creditor." If you borrow, you are under the authority of who you are borrowing from. A financially independent life starts with ridding yourself of debt of every kind.

These two myths are the most common. There are others. Beware, and do not let them destroy your portfolio.