Can you trust financial advice from TikTok?

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Pay attention to who you listen to on #FinTok.

the main points

• Anyone can make financial advice videos on TikTok, and there have been some serious tips shared on the platform.
• Before following any financial advice you see, do some research on it and the TikTok creator who shared it.
• There are trustworthy TikTok creators that offer personal finance content, but details can be unavailable at times due to the short video length.

TikTok has come a long way. Originally filled with lip-syncing videos and memes, it is now one of the most popular apps in the world. You can find content on almost every topic, including Personal finance tips. Some of the “ultimate influencers” who post these videos have huge followings and make quite a bit of money from their content.

A lot of people, especially those of Gen Z, enjoy learning about money from these little videos. If you’re using the app, you might be wondering – can you trust financial advice from TikTok? The answer is more complex than a simple yes or no.

Getting your financial advice from TikTok has its risks

There are some issues with TikTok as a financial advisory platform. For starters, you need to be very careful about which accounts you trust. Anyone can create an account and share their tips. They do not need any experience, education or financial background. And if they want, they can always configure this part. Keep this in mind anytime a financial influencer claims to be a millionaire.

Being successful on TikTok is about getting attention, so there are plenty of interesting videos as well. Earlier this year, there were videos on how to do this The cash goes away And Americans will have to use a digital currency. Videos with these claims are still being played, even though the information is completely false.

This is just one example, in addition to exciting stories, there are all kinds Dangerous money tips shared on TikTok. Some TikTok creators claim they can teach you how to succeed daily trade, even though most day traders lose their money. Others make real estate investing seem like the easiest thing in the world.

The bottom line is that TikTok has quite a few scammers and influencers who are more interested in making money than giving helpful advice, and people who simply don’t know what they’re talking about. For this reason, it is not a good idea to take what you see at face value. Do some additional research on any money tips you find and the user sharing them.

It’s not all bad

We’re past the bad, so it’s only fair that we talk about the good, too. There are TikTok creators who post excellent money advice and content. Here are some of the trusted ones:

• Ramit Sethi from @ramit.sethi
• Vivian Tu from yourrichbff
• Humphrey Yang from humphreytalks
• Tori Dunlap from @herfirst100k
• Seth Godwin from @seth.godwin

You can find interesting and valuable financial information on channels like this one, as well as many others. If you find quality accounts to follow, TikTok can serve as a place to learn more about money. how to investand other important financial topics.

However, there is another drawback to using TikTok for financial advice, even with content from reputable creators. Since TikTok videos tend to be on the short side, personal finance content often provides surface-level advice without much detail. TikTok has increased its time limits several times and now allows videos of up to 10 minutes, but many creators still stick to the 30 to 60 second range.

It’s nice to get a useful tip in a minute or less. But often with personal finance, the details also matter. They give you a better understanding of this tip and why it works. This is something you don’t usually get from TikTok videos.

TikTok has a lot of money advice. Some of it is trustworthy, but a lot of it is not. There’s nothing wrong with learning about money on TikTok if you like the platform, but be sure to do your homework on what you learn. Not only does this help you make sure the advice is legit, but it’s also a good way to get more information that doesn’t fit in a quick video.