3. If an investment sounds too good to be true, then it probably is. If the promised investment returns exceed what is currently available, proceed with caution. If the investment claims are just too good, it usually means it is too risky or a scam. Avoid any investment products that are complicated. If you do not have a clear understanding of the investment product, do not invest. The product provider or financial advisor may be trying to get one over on you. Until you have been educated about the investment product, do not invest one cent.

4. Make sure you always check the costs of any investment product. The costs should be broke down in three ways: a percentage of your investment; as a fixed amount; and the amount in which the cost will reduce your investment once it reaches its maturity date. Be cautious if the costs are more than six percent at entry and more than two percent the year after.

5. Be aware of how much commission is being paid to your financial advisor. High commissions can result in advisors to mislead and mis-sell. If you are given a choice on how you would like to pay your financial advisor, it is best to pay a fee for large amounts of money and a commission for smaller amounts. Keep in mind, many financial products will allow you to negotiate commissions and fees for financial advice.

6. If you decide to invest a large sum of money, start by putting the money in a money market account and over a period of time phase it into pre-selected investments. This is especially true with equity markets; do not invest all your money when prices are high and lose out later, when they fall.

7. Always deal with an adequately qualified advisor, one who is a Certified Financial Planner accredited by the Financial Planning Institute. Good advice is not cheap, be prepared to pay for it. You get what you pay for it. Make sure to do some research of your own when you are advised to invest in something, even if you have received good advice in the past.

8. Have an emergency cash fund at all times. This fund should be equal to three months' of your income. This will help if you suddenly have a major expense. You will not have to cash in investments at a bad time and you will not be forced into taking out a high interest loan. Try to avoid cashing in an investment policy before its maturity date. It could be costly.

9. Pay the full amount owing on your credit card. This way you will not be charged a huge rate of interest from the date of purchase. Avoid having more than one credit card, if possible. Credit cards are an easy way of getting into debt. If you are having a problem paying your debts, do not hide. Contact your creditors to work out a suitable payment plan.