Should you ever take financial advice from social media?
Not everything you see online is right, or right for you


Given the amount of time that many of us spend on social media, it's not surprising its influence has extended to our financial lives. The effects can be positive — some say financial content on social media "has made it less taboo to talk about money," fostered a feeling of financial empowerment and even resulted in making money, Forbes said.
But in other cases, the impact of social media doesn't bode so well. "Nearly two-thirds of Americans (65%) believe social media has led to increased overspending," and approximately 18% "say they have made a regrettable purchase as a result of something they saw on social media," said NerdWallet after conducting a study on the topic in 2023. There's also the reality that not everything you see online is right, or right for you.
In other words, if you are going to let social media into your financial life, it's important to be aware of the potential pitfalls and know how to use it as a tool that works for you, rather than against you.
Subscribe to The Week
Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.

Sign up for The Week's Free Newsletters
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
Is it ever a good idea to get money tips from social media?
When used wisely, social media can serve as a convenient resource for money tips. Just remember that it's a double-edged sword. While social media "can be a great place to get new ideas about how to manage your money," said NerdWallet, it can also "lead to envy, romanticizing unattainable goals and exposure to faulty advice." Similarly, not all content is created equal.
Still, some experts argue that the potential benefits outweigh the pitfalls when it comes to using social media for money guidance. "It removes a lot of the barriers that have traditionally been in place for young people and especially people of color," Mandi Woodruff-Santos, a career coach and podcast host, said to NPR.
The format can make the often nebulous world of finance feel more digestible, and introduce new information and points of view that people may not otherwise encounter. In fact, it's possible that "one of the reasons people keep coming back to social media, despite their doubts about some of the advice they find there, is that they find the stories, tips and hacks relatable in a way personal finance advice from traditional sources isn't," said Dan Egan, a VP of behavioral finance and investing at Betterment, in an interview with CNBC Select.
How can you make sure the advice you're getting on social media is reliable?
If you are learning about personal finance on social media, it's important to view it as one tool in your arsenal — not the be-all, end-all. In other words, you should "largely view what you read, hear and watch on social media as initial information gathering that you can then further investigate before making any big-dollar decisions," said Egan to CNBC Select.
It's also important to do some research on your source, "checking their credentials," searching "for negative reviews or feedback from others before listening to their advice," and looking out for any red flags in the messaging, said NPR. In general, you will want to be "wary of anyone promoting a specific product or strategy without knowing your unique circumstances."
Lastly, filter any suggestions you see through your own personal financial goals and financial situation. What works for someone else may not be appropriate for you.
Where can you turn for financial advice aside from social media?
Social media may be appropriate for "general education about financial matters," but consider "seeking in-depth advice from a certified financial professional," said Forbes, citing Jake Falcon, the founder and CEO of Falcon Wealth Advisors.
Beyond hiring a professional, there are also a slew of online resources outside of social media that you can tap, such as robo-advisers and budgeting apps. Also check what resources are available through your workplace or the financial institutions where you have existing accounts. For many, trusted friends and family members are an additional wealth of information.
Sign up for Today's Best Articles in your inbox
A free daily email with the biggest news stories of the day – and the best features from TheWeek.com
Becca Stanek has worked as an editor and writer in the personal finance space since 2017. She previously served as a deputy editor and later a managing editor overseeing investing and savings content at LendingTree and as an editor at the financial startup SmartAsset, where she focused on retirement- and financial-adviser-related content. Before that, Becca was a staff writer at The Week, primarily contributing to Speed Reads.
-
Today's political cartoons - March 30, 2025
Cartoons Sunday's cartoons - strawberry fields forever, secret files, and more
By The Week US Published
-
5 hilariously sparse cartoons about further DOGE cuts
Cartoons Artists take on free audits, report cards, and more
By The Week US Published
-
Following the Tea Horse Road in China
The Week Recommends This network of roads and trails served as vital trading routes
By The Week UK Published
-
How to pay off student loans
The explainer Don't just settle for the default repayment plan
By Becca Stanek, The Week US Published
-
Do student loans affect a credit score?
the explainer Repaying loans on time will strengthen your credit — but paying late will hurt it
By Becca Stanek, The Week US Published
-
Do I qualify for student loan forgiveness?
The Explainer There are a number of different pathways to qualification, though each requires strict criteria to be met
By Becca Stanek, The Week US Published
-
Should I consolidate my student loans?
the explainer Consolidate your loans and you will have just one monthly payment to keep track of — but your interest rate may increase
By Becca Stanek, The Week US Published
-
What's a student loan and how does it work?
The Explainer These loans can cover the cost of tuition, housing and textbooks — but they must eventually be repaid, plus interest
By Becca Stanek, The Week US Published
-
How to get student loan forgiveness
the explainer Four options for paying back (less of!) your federal student loans
By Becca Stanek, The Week US Published
-
ABLE accounts: how they work and who can benefit from them
the explainer These state-administered accounts are available to people with disabilities
By Becca Stanek, The Week US Published
-
5 reasons to file your taxes sooner than later
the explainer Many experts recommend filing well ahead of the annual April deadline
By Becca Stanek, The Week US Published