3 Financial Strategies Proven Not to Work

There really is one born every minute. I am referring to financial strategies that promise quick and easy riches. The question is, do any of them work? Also, how would you know? Most of these schemes cost money. In many cases, the cost is quite high.

Instead of schemes, let’s just call them scams. They do not exist to help you get rich quick. They help the scammers get rich quick. Unfortunately, there are a lot of people who are desperate enough to try just about anything.

Among the most vulnerable group are older people who, for whatever reason, failed to invest in their future. They are now in the unenviable position of having to figure out how they are going to survive the rest of their lives without the resources to make ends meet.

Another vulnerable group are couples just starting out in life who have no idea how they are going to make it financially. They see nothing ahead of them but too many bills and not enough work. They know that, theoretically, they should be able to do at least as well as others who have gone before them. But in their youth and inexperience, they just can’t see that happening without some special program.

Finally, there are the people drowning in debt. They made a few mistakes and are now on a debt rollercoaster they can’t get off. All these people are reading all that junk mail and hoping for a miracle. If you find yourself in that group, here is some advice about what advice to avoid:

Look Successful If You Want to Be Successful

A lot of people go into sales because they think it is a quick and easy way out. While they are there, they get a lot of bad advice from sales managers and gurus. Part of that advice is that they should look like the success they want to be. If you are a traveling salesperson, you should show up at an appointment in a new car and expensive suit. You want the customer to think your product is so desirable, you can barely keep them in stock. You have to look successful.

Here is better advice: Look for a good used car loan and live within your means. That used car will get you to your next appointment. That used car will get you to the office. That used car will get your kids to school. That used car will get you to church. Don’t overspend for the sake of appearances. It doesn’t make you appear smart.

Let Go and Let God

Many good people of faith offer well-meaning advice to let go and let god. However, this can easily be taken out of context and taken literally by someone in financial trouble. One should be appreciative when prayers of prosperity are offered on their behalf. But they should not treat those offerings as if all of their financial difficulties have been magically removed.

Faith and hope are powerful tools against hopelessness and despair. Just be careful not to allow hope to become a substitute for hard work and doing the right things financially. One way a prosperity prayer could be answered is for one to receive the right tools to help you establish a better financial foundation. To that, we can all say, amen!

You Only Win Big If You Bet Big

Gambling is not a financial strategy. Let’s be perfectly clear: investing is not gambling. It is carefully placing money into a mathematically stable position of strong return and growth. It is not just closing your eyes and betting it all on black.

Sure, you can just close your eyes and randomly buy stock by clicking around on your computer. It is even possible to win big that way. That said, it is also possible to win the lottery by pouring your entire paycheck into a lottery ticket. It is not illegal. But it is also not wise. It most certainly is not investing. If you want to invest, find an experienced and trusted financial advisor as a first step.

Yes, it is possible that somewhere out there is a get rich quick and easy scheme that actually works. Your chances of discovering it are almost zero. It is best to stay away from the garbage you find in your junk mail and avoid anything advising you to spend more than you have, pray and do nothing but wait for those blessings, and bet big as if betting were the same as investing.