Canada Markets closed

Dumb money mistakes you can easily avoid

Natalie Mayrath
Producer/Reporter

Even the smartest people make money mistakes, so if you’ve ever made a dumb move with your finances, you are not alone.

Jill Schlesinger, CBS Business Analyst, podcast host, and author of “The Dumb Things Smart People Do With Their Money,” says there should be no shame in making dumb money moves. The shame, rather, is in repeating bad habits.

Schlesinger sat down with Yahoo Finance to discuss how we can correct our path and be smarter financially.

Don’t ignore your finances in your 20’s

Your 20’s is a great opportunity to “take your temperature” financially and understand your relationship with money. Schlesinger says she became a financially risk-averse adult after witnessing her father lose money during his career as a trader. It’s a good idea to pinpoint influences like this, which “can actually make you a better functioning adult in terms of your money. It’s an ‘aha!’ moment in therapy, it’s an aha moment in your financial life, and you’ll usually course-correct.”

Don’t buy the hype

While a college education is important, Schlesinger warns families to watch the price tag.

“We just want parents to be able to have honest conversations,” Schlesinger says. “That means having a conversation with your kid when he or she is a freshman in high school” about the costs of college.

She encourages families to avoid the hype, and let their children know sooner rather than later what the family can afford. “Going into debt that really is going to hamstring you for decades in the future – I don't think that's the best outcome for anyone involved,” she says.

Don’t rely on yourself for good money habits

Schlesinger suggests making payroll deductions into Roth IRAs, or putting away a bit of your income into a savings account, using apps that can make the transactions automatically.

This way, she says, “you don’t even have to form the good habit, technology will help you form it for yourself.” When people track their money automatically, Schlesinger says, “they rip away all the judgment, everything that’s been creeping into their brains, telling them they’re a bad person.”

When there’s a plan in place, you can stick with it, and revisit it as life changes through good and bad times. Schlesinger reminds us that as humans we are not wired to do this incredibly well.

“Acknowledge it, deal with it, and then pick the best solution for you to move forward,” she says.

WATCH MORE

How to stop bias against mothers in the workplace

3 ways women can help close the gender pay gap

Only half of women tap this benefit that can yield big career results

  • Trading Frenzy Grips China's New Stock Venue After Big IPO Gains
    Finance
    Bloomberg

    Trading Frenzy Grips China's New Stock Venue After Big IPO Gains

    (Bloomberg) -- They propelled a little-known semiconductor manufacturer to a 521% surge, traded a mid-sized railway company 13 times more feverishly than the world’s largest bank and valued a chipmaking-gear producer at an eye-watering 563 times earnings.Chinese investors greeted the opening of the country

  • Asia Stocks Mixed; Oil Gains Amid Iran Tensions: Markets Wrap
    Finance
    Bloomberg

    Asia Stocks Mixed; Oil Gains Amid Iran Tensions: Markets Wrap

    (Bloomberg) -- Stocks in Asia kicked off the week on a cautious note as traders dialed back expectations on the size of Federal Reserve easing later this month. Oil gained amid tensions in the Persian Gulf.Stocks slipped in Japan, Hong Kong, and China, and were little changed in South Korea and Australia

  • China's New Tech Board Faces Uncertainties: UBS's Fang
    Finance
    Bloomberg

    China's New Tech Board Faces Uncertainties: UBS's Fang

    Jul.21 -- Thomas Fang, head of China equities at UBS Group AG, talks about China’s new stock venue designed for technology startups that will start trading on Monday. Modeled after the Nasdaq, the so-called STAR board is China’s latest attempt to avoid losing the next tech giants to exchanges in New

  • RBI Chief Says India's Interest-Rate Stance Now Depends on Data
    Finance
    Bloomberg

    RBI Chief Says India's Interest-Rate Stance Now Depends on Data

    (Bloomberg) -- The Reserve Bank of India’s future policy action will depend on incoming economic data after a series of moves this year that Governor Shaktikanta Das says are equivalent to 100 basis points of interest-rate cuts.In one of his first interviews with media since taking office seven months

  • Olympic robots offer 'virtual' attendance, help out on field
    Finance
    The Canadian Press

    Olympic robots offer 'virtual' attendance, help out on field

    TOKYO — A cart-like robot scuttles across the field to bring back javelins and discuses. A towering screen-on-wheels is designed for "virtual" attendance. The cute ones are, naturally, the likeness of the Olympic and Paralympic mascots.Japanese automaker Toyota Motor Corp., a major Olympic

  • Oil Extends Gains as Iran's Seizure of Tanker Keeps Tension High
    Finance
    Bloomberg

    Oil Extends Gains as Iran's Seizure of Tanker Keeps Tension High

    (Bloomberg) -- Oil extended gains as tensions in the Persian Gulf remained elevated after Iran seized a British tanker, and Libyan production fell after an unidentified group reportedly shut the country’s largest field.Futures in New York rose as much as 1.1% after closing up 0.6% on Friday. The U.K.

  • Asian shares mostly fall, taking cue from Wall Street, Fed
    Finance
    The Canadian Press

    Asian shares mostly fall, taking cue from Wall Street, Fed

    TOKYO — Asian shares were mostly lower Monday after Wall Street ended last week lower as investors continue to watch for what may be in store for U.S. interest rates.Japan's Nikkei 225 slipped 0.2% in early trading to 21,415.51. Australia's S&P/ASX 200 was little changed but a tad lower at 6,699.70

  • 10-Year Treasury Yields May Fall Further: JPMorgan AM's Anderson
    Finance
    Bloomberg

    10-Year Treasury Yields May Fall Further: JPMorgan AM's Anderson

    Jul.21 -- Hannah Anderson, global market strategist at JPMorgan Asset Management, talks about U.S. Treasuries, buybacks, and China's new technology board. She speaks with "Bloomberg Daybreak: Asia."

  • Finance
    Bloomberg

    33,000 Brooklyn Customers Hit With Power Outages During Heat Wave

    (Bloomberg) -- New York Governor Andrew Cuomo is expanding a probe into recent New York City power failures as Consolidated Edison Inc. reported about 53,000 customers suffered outages amid a heat wave and record demand.ConEd’s website Sunday night showed customers without power at various times included

  • Tumbling Korea Exports Signal Another Bad Month for Global Trade
    Finance
    Bloomberg

    Tumbling Korea Exports Signal Another Bad Month for Global Trade

    (Bloomberg) -- South Korea’s exports, a bellwether for global trade, appear set for an eighth straight monthly decline as trade disputes take a toll on global demand.Exports during the first 20 days of July fell 14% from a year earlier, data from the Korea Customs Service showed Monday. Semiconductor

  • Millions of Barrels of Iranian Oil Are Piled Up in China's Ports
    Finance
    Bloomberg

    Millions of Barrels of Iranian Oil Are Piled Up in China's Ports

    (Bloomberg) -- Tankers are offloading millions of barrels of Iranian oil into storage tanks at Chinese ports, creating a hoard of crude sitting on the doorstep of the world’s biggest buyer.Two and a half months after the White House banned the purchase of Iran’s oil, the nation’s crude is continuing

  • Credit Suisse Clients’ Top Worry Is Twin Rally in Stocks, Bonds
    Finance
    Bloomberg

    Credit Suisse Clients’ Top Worry Is Twin Rally in Stocks, Bonds

    (Bloomberg) -- The top current talking point for Credit Suisse Group AG clients is the simultaneous rally in equities and bonds in recent months that suggests two potentially incompatible narratives, according to strategist Mandy Xu.In the stock market, optimism about Federal Reserve interest-rate cuts

  • India Closely Monitoring 50 Shadow Banks for Signs of Contagion
    Finance
    Bloomberg

    India Closely Monitoring 50 Shadow Banks for Signs of Contagion

    (Bloomberg) -- India’s central bank is seeing “signs of fragility” in some of the 50 mortgage lenders and other shadow banks it is monitoring to prevent the spread of a crisis that followed the collapse of a non-bank lender last year.“It is our endeavor that there is no contagion,” central bank Governor

  • Puerto Rico Governor Says He Won’t Run Again, But Won’t Resign
    Finance
    Bloomberg

    Puerto Rico Governor Says He Won’t Run Again, But Won’t Resign

    (Bloomberg) -- Puerto Rico Governor Ricardo Rossello won’t seek re-election and is resigning as president of his party, an attempt to quell calls for his immediate resignation after leaks of profane and sexist text messages from him and his inner circle sparked massive protests.“To every Puerto Rican

  • LNG Developer to Move Its Stock Listing to U.S. From Australia
    Finance
    Bloomberg

    LNG Developer to Move Its Stock Listing to U.S. From Australia

    (Bloomberg) -- Liquefied Natural Gas Ltd., an Australian-based developer of terminals to export its namesake fuel, plans to re-domicile in the U.S. and list its shares in New York as the company concentrates on projects in North America.Its board has approved a plan to swap shares currently traded in

  • China’s New Nasdaq-Style Venue Set for Trading Start
    Finance
    Bloomberg

    China’s New Nasdaq-Style Venue Set for Trading Start

    Jul.21 -- China is launching a new trading venue in Shanghai that aims to make it easier for high-tech companies to access funding. Selina Wang reports on "Bloomberg Daybreak: Australia."

  • Rising Odds of Singapore Easing May See Yields Go Up, Not Down
    Finance
    Bloomberg

    Rising Odds of Singapore Easing May See Yields Go Up, Not Down

    (Bloomberg) -- A rapid deterioration in Singapore’s economic data has fueled speculation the central bank will ease monetary policy. The result may be higher interest rates and bond yields.Bets the Monetary Authority of Singapore will adjust policy have intensified after government reports over the past

  • Finance
    Bloomberg

    Banks Are Dodging the Deals That Nordea's CEO Says Europe Needs

    (Bloomberg) -- Negative interest rates have created a European banking industry that’s ripe for consolidation, according to the chief executive officer of the biggest Nordic bank. But bankers have lost their nerve, so the mergers aren’t happening.Casper von Koskull, the CEO of Nordea Bank Abp, says a

  • Need Some Privacy? Just Get in the Car
    Finance
    Bloomberg

    Need Some Privacy? Just Get in the Car

    (Bloomberg Opinion) -- Volkswagen AG announced that 2019 would be the last model year the Golf SportWagen and Alltrack, the automaker’s station wagons, will be produced for the U.S. The German company has sold wagons in the U.S. since 1966, starting with the Type 3 “Squareback” model. “Customers are

  • Finance
    Bloomberg

    China's $40 Trillion Banking System Learns a Hard Lesson on Risk

    (Bloomberg) -- Two months after China shocked investors with the first government seizure of a bank in two decades, market confidence in the nation’s smaller lenders has yet to fully recover.That may be just what the country needs.When it took control of Baoshang Bank Co. on May 24 and imposed losses

  • Insurer’s Stock Fund Picks India Infrastructure Over Consumption
    Finance
    Bloomberg

    Insurer’s Stock Fund Picks India Infrastructure Over Consumption

    (Bloomberg) -- As India’s consumer spending slows down after a multiyear boom, one life insurer is betting on the nation’s plans to upgrade its infrastructure.“Investment is a better way to revive the economy, not consumption,” said Hemant Kanawala, head of equities at Kotak Mahindra Life Insurance Co

  • Wanna Bet $1.3 Trillion on Chinese Regulators?
    Finance
    Bloomberg

    Wanna Bet $1.3 Trillion on Chinese Regulators?

    (Bloomberg Opinion) -- If you hold shares in New York-listed Alibaba Group Holding Ltd., you don’t own a stake in a Chinese internet powerhouse.What you have are the American depositary receipts of a Cayman Islands company that has a contract with the Chinese firm. In fact, the country’s largest search

  • Wanna Bet $1.3 Trillion on Chinese Regulators?
    Finance
    Bloomberg

    Wanna Bet $1.3 Trillion on Chinese Regulators?

    (Bloomberg Opinion) -- If you hold shares in New York-listed Alibaba Group Holding Ltd., you don’t own a stake in a Chinese internet powerhouse.What you have are the American depositary receipts of a Cayman Islands company that has a contract with the Chinese firm. In fact, the country’s largest search

  • Finance
    The Canadian Press

    The Latest: Egypt aviation minister upset by paused flights

    CAIRO — The Latest on suspended flights to Egypt (all times local):11:50 p.m.Egypt's minister of civil aviation says he's frustrated that British Airways suspended flights to Cairo without consulting Egyptian authorities.Egyptian Lt. General Younes Elmasry and British Ambassador to Egypt Sir

  • 'The Lion King' rules and 'Endgame' scores all-time record
    Finance
    The Canadian Press

    'The Lion King' rules and 'Endgame' scores all-time record

    LOS ANGELES — If there was any doubt that the 2019 box office belonged to the Walt Disney Co., this weekend put an end to it. Not only did its photorealistic remake of "The Lion King" devour opening weekend records for the month of July and PG-rated films, but "Avengers: Endgame"