Bad online advice leads to bad financial decisions

WASHINGTON, D.C., June 10, 2025 — Misinformation about money is everywhere online, and Americans are paying the price for it. CFP Board’s latest research report, Steering Clear of Financial Misinformation: A Survey of Americans, finds that while more people are turning to the internet for financial advice, most doubt its credibility. As a result, nearly 3 in 5 (57%) say they’ve made regrettable financial decisions based on misleading online information.

Even with the vast availability of financial content online, fewer than 2 in 5 Americans (39%) believe this information serves their best interests. Further, more than 3 in 5 (62%) now spend more time verifying information than they did five years ago.

“Americans are drowning in online money advice, much of it misleading,” said CFP Board CEO Kevin R. Keller, CAE. “That gap between easy access and reliability puts financial futures at risk. CFP^® professionals offer a trusted alternative: personalized guidance backed by rigorous training, high ethical standards and a commitment to put their clients’ best interests first.”

Misinformation comes with a cost

Financial misinformation doesn’t just confuse; it costs people money. Nearly 2 in 5 Americans (39%) have lost $250 or more due to bad advice, and almost 1 in 5 (18%) have suffered losses over $1,000.

While some have narrowly avoided these pitfalls — 1 in 5 reconsidered questionable advice before acting — many face lasting effects. Among those with regrets, common consequences include delaying major financial decisions (33%), acting without professional input (29%), incurring unnecessary fees (28%) and sharing inaccurate information with others (28%). One in five (21%) report increased financial anxiety.

Younger Americans are more vulnerable to digital misinformation

The research reveals a stark generational divide in both trust and consequences. Nearly half of Americans aged 25-45 (48%) believe online financial content serves their best interests, almost double the rate of those aged 46-64 (25%). Younger adults are also more likely to act on misleading information, with 64% reporting regrettable decisions, compared to 45% of those aged 46-54.

Only 33% of younger Americans say they have entirely avoided mistakes from online financial advice, compared to 54% of older adults. The generational gap extends to sources of financial guidance as well. Younger respondents are nearly twice as likely to trust financial advice from AI (44% vs. 26%) and guidance found on social media (44% vs. 24%).

“Many Americans mistake popularity for credibility when turning to social media and AI for financial advice,” said Kevin Roth, Ph.D., Managing Director of Research at CFP Board. “That misplaced trust can lead to costly mistakes. Working with a CFP^® professional helps avoid those pitfalls and build confidence in financial decisions.”

CFP^® professionals offer a clear path forward

Amid growing digital misinformation, most Americans trust financial advisors like CFP^® professionals. In fact, three in four Americans (74%) say they feel confident following their financial advisor’s advice without needing further verification. Backed by strict competency and ethical standards, CFP^® professionals provide reliable guidance to help individuals achieve their financial goals.

To find a CFP^® professional who can help you navigate the complex financial information landscape, visit LetsMakeAPlan.org.