Youngsters, Don’t Ever Make Investment Blunders!

No human is perfect and we do make mistakes when deciding upon what to buy and what not to buy; and that might cost you a fortune, especially when the times are so very financially tough. Here are some examples of such blundered investments that you could well avoid making.

Buying Fancy Vehicles

Many of us go crazy over new vehicles. College students are especially very prone to the temptation of owning the best car or bike in town. I’ve come across many of my college mates being obsessed with the idea of possessing the latest limousine or bike in town. One of my friends did buy a dandy car a couple of years ago. In a hurry to own the vehicle, she bought it at an auction for quite a bit. But the honeymoon with the car lasted for only a short time. After a year, one by one, the parts started developing defects. Despite good maintenance by my friend, how could the car develop so many defects? Obviously the problem was that my friend had bought the car without scrutinizing it properly. I can understand, being a youngster the only thing that was topmost on her mind was to possess the car and nothing else.  Don’t ever let your emotions take the better of you. Don’t take any item on face value even if the seller makes the sale look very reliable. Always take your mechanic along and get the vehicle examined thoroughly before buying it. If the owner objects to that, just forget the deal.

Banking on Student Loans

Gone are the days when a worthy student lacking in monetary resources would realize his/her dream of studying courses in colleges with the aid of monetary funding from financial institutions. If you go through the Student loans infographic from Mint you’ll probably come to know that they have been hiked up beyond reasonable limits and you’ll be simply repaying the loans for years after you get a job. With the current job slashes owing to recession, it seems getting a job with a good pay is something that you’ll have to wait for some years to come. The lesson for you is that don’t bank on expensive student loans even if the financial institutions make it look a very positive venture for you. Many of them are just waiting to bait you with that. Many students have already fallen prey to that.

Don’t Try Business on Credit Loan

I wonder how reckless people can get with their business planning! Many people try to start business by investing with their credit card loans. This is the biggest blunder that you could ever make. Mostly, college students make this mistake because they are lacking in funds and taking loans on credit cards seems to be an easy option for their over-positive minds. When the profits don’t come, they cannot pay back the credited amounts which hampers the credit score and any savings that they might be having.

These are not the only blunders you could make, there are many others where you could land up in a soup like the 529 college savings scheme, investing in the first-time-home-buyer  real estate scheme, internet stock trading and stock trading in general.