The misconceptions about money are rampant. People express all type of views regarding money and its counterparts (such as credit and debt). Because these are opinions, it is hard to say that these people are wrong. Additionally, because the subject of money is so personal to so many people, many people have trouble grasping a particular idea or strategy about money. As such, a particular strategy for one person may not work well for another person. Therefore, you have to find your own way when it comes to making and utilizing money. However, due to the fact that I am heavily opinionated, I will express my opinions as to certain money myths.
First and foremost, credit is a tool. Anybody that says that credit is evil or that the only purpose for credit is to make you fall deeper in debt is uneducated about credit and probably has a terrible credit score. Credit works if you are responsible with it. Like anything in life, if you abuse it, it will abuse you.
A savings account is not the antithesis of financial success. Although a savings account will not yield as much of a return as other investments, a savings account is about as safe as it gets and will help provide a safety net for your financial welfare should you fall upon bad times. Therefore, you should maintain some kind of savings in order to help secure your financial success.
Not all debt is created equal. Some debt is good and some debt is bad. Debt that helps make you money (for example, a real estate development loan) is good debt. Debt that costs you money (for example, credit card debt) is bad debt. Therefore, it is not bad to have good debt and it is not good to have bad debt. Got it?
It does not necessarily take money to make money. There are many income streams that you can pursue without paying money. One such avenue is the Internet. There are people that make money everyday on the Internet and yet, they do not spend a dime on such a venture. It is important to keep in mind, however, that although you may not have to spend money to make money, you will almost definitely have to invest your time.
As stated above, everybody has their own maxims about money. Your experiences will help you determine which maxims you agree with and which you do not.