Worst Financial Blunders

[maat55]

This is dangerous, I might be the only one here brave enough to confess my blunders. So please, step to the plate behind me.

Obviously, I'm asking you to post your worst financial blunders.

I lost 2,700 in the comodities markets in about 1 month.
I bought a ford pinto with shag carpet in it and when it broke down, I gave it away.
I sold a 3 br, 1.5 bath mobile with a new 3 ton air in great shape for 6,900. My first clue that it might be a bad deal for me was when the buyer asked me what was wrong with it.
I cashed in over 10,000 dollars out of my IRA in a 6 year period.

I can't go any further, the tears are falling on my keyboard.

[Broken Arrow]

My worst mistake was simply not having started to take interest in finances earlier. It's simple to say, but if you consider the opportunity cost... it's quite profound.

Fortunately, now that I've started, I haven't made too many investing mistakes YET. I am beginning to find out that investing is really about 1 part knowing what to do, and 9 parts knowing what NOT to do. We are often times are own worst enemy.

But that one confession is plenty of damage already. I have pretty much wasted my entire 20's, and nearly scuttled any chances of even a financially sound life....

Words are hard to convey emotions sometimes, but I can't help but sense that perhaps this is deeply troubling to you.... I feel for you, I really do. My martial meltdown over money and its subsequent divorce has been really hard on me on an emotional level... not just financially.....

I hope that you will feel better in the morning, and I hope that you will feel a renewed sense of hope. Hope that... you, as well as I... that we still have a chance at life yet....

[maat55]

I'm fortunate that my mistakes have been fairly small. But, I wish like anything, I knew 20 years ago what I know now. I'm debt free and going forward.

[Snave]

I didn't diversify my 401K for about 8 years out of college on my first job. Everyone kept saying what a great company (and it had great returns in the past) it was and to keep your money in the stock. It never had a positive year when I was there. What an idiot. I am sure I lost 50K at a minimum and probably more. I guess the positive was that I was at least putting something away early on.

[project15]

Bought a car for $5600 because I was emotionally attached to it. Got in an accident with it (didn't fix it), a few months later a piston shot through the engine block. Sold it 8 months after I bought it for $1500. Terrible use of my money.

[from nc]

I bought my home with cash, than took out a mortgage. STUPID, THING!Now instead of saving, I am spending.

[sweeps]

Now instead of saving, I am spending.

I think you're about to make your biggest financial blunder.

[DebbieL]

I got suckered into joining that UCC totalhome (which is now Direct Buy). They did a real hard sell on me. It was something like $2600 to join (yikes). That was 7 years ago. I never once made any use of it. I regretted it immediately and wanted to get out of the contract. It still bothers me that I made that huge mistake - ugg.

[jIM_Ohio]

I won't list my blunders, but the title of the post made me think of the coke executive which switched from classic coke to the new forumla in the 1980's.

That was a HUGE financial blunder.

[disneysteve]

I let a salesperson (ok, she was an attractive young woman) talk me into a variable whole life insurance policy. I kept it for a year or so until I learned more about insurance and then cancelled the policy, paying a surrender fee for the priviledge.

Fortunately, the insurance company was later sued in a class action suit for misrepresentation and I got a settlement that pretty much refunded what I had paid into the policy.

[froggie]

Biggest financial blunder... sticking my head in the sand for so long about my horrid credit card debt!

Still working on fixing that blunder.

[maat55]

I let a salesperson (ok, she was an attractive young woman) talk me into a variable whole life insurance policy. I kept it for a year or so until I learned more about insurance and then cancelled the policy, paying a surrender fee for the priviledge.

Fortunately, the insurance company was later sued in a class action suit for misrepresentation and I got a settlement that pretty much refunded what I had paid into the policy.

I was so lucky, I had a whole life salesman in my house preparing to get me set up and the next day at work I got a call from this new outfit that sold term policy's and mutual funds. They gave you earnings estimates on 18%, it was a popular group at the time, but I can't remember the name, anyway, the salesman said he would meet with me and the whole life guy and fight for my business. The whole life guy would not show up.

[safari]

My biggest financial blunder was not signing up for my company's 401(k) plan when I first became eligible. It took me 6 years to realize how stupid I was. I am contributing the maximum allowed now, but I will never get back the company match that I missed out on.

[maat55]

My wife and I bought a scanner and a printer one time at best buy on one of those 0 interest for a year, the purchase was 3 to 4 hundred dollars. A few years later I ended up paying it off at a cost of 900 dollars. I let my wife pay the bills back then. It was my fault too, but now I pay the bills.

[cptacek]

I lost $3000 in the commodities market too! I thought, you'll learn more if it is real money instead of money on a spreadsheet. Yep, I learned that futures/options are too risky for me!

I bought a brand spanking new pickup that is no good for farm work. It is really a car with a bed. It can't haul anything substantial, it isn't 4 wheel drive, it gets terrible gas mileage. And I got a 6 year term!

I did MLM not once, but TWICE! And got suckered by the same couple!