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What is the financial porn and why it could be affecting your relationship with money

Are you fan of the “Get rich fast” schemes? Then you might be a financial porn addict.

By José RicardoPublished 3 years ago 4 min read
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The technological resources we have today have allowed us to be able to access in a simple, fast and free way to many digital education platforms, where we can access to courses, webinars, and many other resources to promote our continuous learning. However, there is a fine line between learning and cheating on the internet today, promoted in large part by people who play with your financial needs and your desire to make big money in a short time.

Have you ever searched the internet for any of these questions: How to make quick money from home? How to become a millionaire with little effort? Or you were simply curious when you saw an ad that said: follow our advice to achieve your financial independence in a few days, guaranteed results! If your answer to the above questions is yes, then you may be addicted to financial porn.

More and more salespeople are seen trying to offer you their "magic solution" that will supposedly free you from all kinds of debts, and thus you can be free from the "global financial system". However, it’s very curious that most of these self-called "financial gurus" have not made their fortune in the way they preach.

Shortcuts are rarely good in the world of personal finance, since they generally involve promoting immediate satisfaction, but sacrificing much-desired future results.

The truth is that there is no magic formula to achieve success in the financial or business world, and you must take care of all those who claim to have it. It’s not a bad thing to be constantly looking for new ways to make money, on the contrary, all the learning that you can add every day is extremely beneficial, the problem is that generally people who have an idea of "making money fast" tend to procrastinate in the tasks that will truly lead to financial success in the future.

One of the most repetitive cases today is with the "Day trading" and "Forex" systems. Both are highly legal, profitable activities and in many cases may require advanced and professional knowledge. The problem is that many are carried away by the tempting idea of "becoming their own boss" and believe that just by investing an amount of money in something they do not know they can start creating their fortune, and the truth is that as Wareen Buffett says: “If you put your money in something you don't understand, then you're not investing, you're just gambling”.

Thanks to these "misleading offers" many people are far from complying with the true principles of personal finance, which consist of: start saving at a young age, pay yourself first, build an emergency fund, budget your money, don't borrow money you can't repay, don't expect something for nothing, and invest in something you understand according to what your future goals are.

It's that simple, there is no ladder that leads you straight to wealth, otherwise we all opened it up, right? Each of these principles are essential if you want to build lasting wealth for the rest of your life, something that certainly cannot be achieved in a couple of days.

However, you won't have to wait a lifetime to see the results of your investments, and that's thanks to compound interest.

Start Saving at a young age: The earlier you start, the earlier you can retire, so start saving whatever percentage you think is necessary to be able to direct it towards your emergency fund, and then towards your investment savings.

Pay yourself first: This popular phrase used by many authors refers only to the need to save part of your income, as we saw in the previous point, to allocate it to your future fund.

•Build an emergency fund: this is undoubtedly a mandatory step. You shouldn't start investing without having at least 3 months of expenses saved in your emergency fund.

Budget your money: planning is a critical step. Remember that the better you organize the distribution of your money, the greater the chances that you can achieve a better financial position.

Don’t borrow money you can’t repay: Whether it is a loan for a new house, or some type of credit, make sure you can pay it in the appropriate terms and thus avoid falling into the trap of hidden interest and commissions.

Don’t expect something for nothing: Many times if something sounds too good to be true, it is probably because it is too fanciful. Remember that in the world of finance, returns are symmetrical to risks.

Invest in something you understand: whatever it is the investment you’re willing to do, make sure you understand it. Remember that is hard to earn your money, so make sure you don’t waste it by investing in something you don’t know anything about it.

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About the Creator

José Ricardo

ENTREPRENEURSHIP | PERSONAL FINANCE | INVESTING

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