3 Money Habits That Are Illegal

Picture from Pxhere.com

Everyone has bad habits, especially when it comes to money. Some people throw it away without thinking, others save it when they should spend, and some people are financially ignorant. None of these are crimes, nor are they particularly dumb, but they are just the tip of the iceberg. In truth, the bad habits of an average person regarding their finances range from tax avoidance to fraud. You may not think this is the case, but it happens on a daily basis and there is a good chance you are complicit.

The following are the habits which may seem benign, but that are unlawful or stupid or a mixture of the two.

Not Declaring Money

Picture the scene. You are moonlighting on the side to earn extra money and get paid in cash. Then, you put the money in your back pocket, head to the high street and spend it like it’s burning a hole in your jeans. But, when it’s time to file a tax return, there is no mention of the money on your file. Okay, it may be small enough not to warrant an investigation, but an audit will uncover the truth and put you in a vulnerable position. The free check stub template printables online ensure you have a receipt for any and all money you make. If there is a knock on the door from the tax office, you will have nothing to fear.

Picture from Flickr

Signing A Check In Another Name

Hold on a minute – people still use checks! Okay, so they might not be as popular as in the past, but they are legal tender. In fact, lots of elderly people use them to this day because they are used to the process. But, say a parent asks you sign their name, would you? The answer, on the whole, is usually yes because you want to do mom and dad a favor. Unfortunately, you are forging a document and committing a crime unless you have power of attorney. The same goes for your kids or anyone else for whom you aren’t their legal guardian. So, the next time someone asks, think about the repercussions first.

Lying On An Application

Everyone knows the tricks of the trade regarding loan or insurance applications because they are poorly kept secrets. Take a car insurance document as an example. After checking the available quotes, you realize that the cost may be more than you can afford. But, instead of biting the bullet, you perform digital trickery and change a couple of answers. Now, the car is parked in a garage and not on the street and the property is a stand-alone, secure one. Although there seems to be nothing wrong with this, it is an act of fraud. Lying on an application to save or gain money could theoretically land you in prison. At the very least, it will result in a hefty fine should you get caught.

Bad habits aren’t just unhealthy – they are potentially felonious.

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