You can get financial advice from #Fintok and other social media, but watch for these red flags

Social media has made it easier than ever to find financial advice, but experts warn that some of the money "hacks" circulating online can be misleading — and other times, outright wrong.

Platforms like TikTok are flooded with videos that promise quick fixes or easy cash. The hashtag #FinTok has generated billions of views, and surveys show nearly one in three Americans now trust social media for financial guidance.

But mixed in with some helpful insights is a growing amount of bad information. Even TikTok includes a disclaimer urging users to do "your own research."

"If you're scrolling through TikTok or Instagram, you have to be discerning," Stephen Kates, a financial advisor with Bankrate, said. 

Kates said users should be skeptical of anything that sounds too easy or too good to be true.

"There's a million things that you can think of that people may get over their skis on, thinking that it's easier than it is, and then they get into real financial trouble," he said.

Kates pointed to viral posts that use charts or data without proper context. One graphic circulating online attempts to link the rise of artificial intelligence tools, like ChatGPT, to a decline in job openings — a comparison he says is "completely inaccurate."

"If you see a chart without data, without timelines," he said, "it's so easy to paint a picture that is not true."

His advice for navigating social media money tips:

• Verify who's giving the information. Some creators are paid to promote certain products or services.

• Check credentials. Look for legitimate certifications or professional experience.

• Know their sources. Reliable advice should reference data, research or reputable organizations.

• Get a second opinion. Kates said skepticism is healthy, especially when the wrong move could cost you.

"The worst thing that can happen is that you believe something and take financial action that hurts you," he said.

A trusted, certified financial advisor may also help you separate solid advice from risky trends. Click here for more guidance on what to ask before choosing a financial advisor and how to verify their credentials.

Looking for help with a consumer issue? Click here to submit your complaint to In Your Corner.