Whether your financial advice is passed down from family members or shared with friends, it is necessary to examine the advice you receive. Even when you attend a seminar, there is a possibility that you might be misled. With so much financial advice available, you can easily make a mistake and follow the wrong advice. A lot of the financial experts share the same advice, but ultimately the advice is no use to you. Below are some alternatives to the common tips you may have heard in the past.

When All Else Fails, Cut the Cards

You have heard a financial guru tell you to cut up your plastic cards, if you are in a lot of debt. They believe this is the easiest way to eliminate debt. Wrong.

There are a number of reasons why you are in debt, besides credit cards. Your debt could primarily come from student loans. If you are unable to pass a great deal and not use your credit card, then it is best to hide your credit cards from yourself. By doing this, you won’t have the cards easily accessible, but you also have a backup plan for any emergencies.

Add a Buffer to Your Checking Account

Although it is great to have a buffer to avoid any overdraft fees, there are primarily two reasons you accumulate overdraft fees.

Example 1: You simply forget how much money you have and neglect to check your balance, prior to purchasing anything.

Example 2: You purposely utilize your overdraft as a short-term loan, because you don’t have enough money to survive.

Instead of putting yourself in a tougher situation, you can simply establish a small line of credit with your credit union or apply for a credit card with low-interest for emergencies.

Ignore the Fancy Coffee

Many people would point the finger at your choices in what you choose to consume. They will argue that you can save a lot of money by simply cutting out small things, like coffee shop visits. Instead of eliminating it completely, you can establish a budget for yourself. Your special coffee may be the highlight of your day. So instead of going cold turkey, simply modify your consumption and maintain your happiness.