BY LYN PETERS for WEEKLY VOLCANO | 10/16/2026
Are finfluencers the greatest free financial advice ever, or dangerous products pitched to the masses as entertainment?
Millions of social media “influencers” are pitching things online, from makeup, vitamins and pet products to one to be wary of: financial advice. These folks are called “finfluencers.”
The North American Securities Administrators Association (NASAA) defines “finfluencers” as: “a person who creates social media content that offers advice on finance, managing money or investing. Finfluencers leverage their popular or cultural appeal to influence others with posts, videos and other social media content often stylized to be entertaining so that the post or video will be shared.”
Many of these folks rave about how much money they’ve made doing something, how easy this money-making method is, or any number of other reasons why YOU should be buying or doing what they’re pitching. The videos are often eye-catching, engaging and the finfluencer is good at making it sound like you need to hop on the band wagon or get left behind in the dust.
While it’s easy to get caught up in the number of followers and views a video has, it’s important to do a little digging before we decide to throw our money into whatever the finfluencer is pitching.
We should be asking several questions:
What makes this person an expert? What’s their education, experience or certification to promote what they’re pitching?
A popular finfluencer conference ranks their “Best Personal Finance YouTubers” by followers and views. Yet, when you look for certifications (like being a certified financial planner or advisor) you have to scroll quite a way down the list to find someone who shares that they are licensed to give financial advice.
We also need to ask, “Is this financial product, method or plan really right for me?” Not all financial products are right for everyone. Some come with high risks of loss, and others may be outright scams.
Then there is always the big question of “What’s in it for the finfluencer?” Finfluencers make money off their videos, remember that. They have a vested interest in getting views, clicks and subscribers.
Another important question we should ask is “Is this person being paid to pitch this to me?”
NASAA tells us that “finfluencers should disclose compensation they receive. Government laws protect consumers by requiring that advertisements – including product endorsements by social media influencers – must be truthful.”
In reality, however, not everyone discloses the compensation for endorsement. A lot of really famous people got in a lot of trouble and paid huge fines for not doing that not too long ago for promoting cryptocurrency investment products. Sadly, a lot of people who invested based on those “star” recommendations lost a lot of money.
One of the scariest things we’re seeing in complaints submitted to DFI these days is fake investment platforms. People think they’re “investing” in something when in reality, they’re putting their money into a scammer’s crypto wallet. When investors start asking for their money, suddenly the website disappears. Then … the same scammers that set up the fake platform may actually reach out to the victims under a different name or web address proclaiming they are a company that can help get their money back…for a fee. The scam gets worse as the victims are scammed yet again. If someone pitches an investment platform, we should always verify the company. Going to dfi.wa.gov and clicking on “verify a license” is a solid place to start. People can also call DFI at 877-RINGDFI (746-4334) and ask us to verify a company or platform.
Now, we’re not saying all finfluencers are bogus, give bad advice or are out to scam us. What we ARE saying is we need to do some due diligence before giving anyone our money or taking financial advice from anyone.
Anyone can look wealthy online with some flashy clothes and snazzy background. Photos can be manipulated, especially with easy access to powerful AI tools these days. That finfluencer may actually be recording in a basement studio apartment they are barely affording with the money they’re making from their videos, not from the penthouse suite in Vegas or their Lamborghini.
Ask for proof, hard data, make them show you how the plan or product increases wealth not just for them, but for others.
Better yet, work with someone you know is a licensed professional. Did you know that many if not most of our local financial banks and credit unions have financial advisors available for their clients and members? Some may be contractors, but they are still licensed professionals. There are also trade organizations for financial advisors and financial planners that can help us find a few to interview. It’s a lot like picking a doctor or a dentist, we need to make sure they understand our specific situation, needs, and goals. Don’t forget to verify their license!
Full disclosure, the author of this column is not a financial planner or adviser. It’s why we focus on providing information and recommend you work with licensed professionals when making significant financial decisions.
This column is produced by the Washington State Department of Financial Institutions, Washington’s financial services regulator, to provide consumer education and protection. Learn more or file a complaint at www.dfi.wa.gov.
