How Many People Lose Money to Untrusted Transactions (And How to Protect Yourself)
How Many People Lose Money to Untrusted and Undocumented Transactions (And How to Protect Yourself) By Akerianut Ephraim • Updated: November 2025 • Category: Finance / Personal Finance Money mistakes happen more often than people realize, especially when trust replaces proper documentation. Undocumented transactions, whether between friends, relatives, or colleagues, can lead to serious financial losses. This article explores why these mistakes happen, shares real-life examples, and provides actionable tips to safeguard your money. Why Undocumented Transactions Are Risky People often do business with those they know well. While trust is important, it should never replace clear records. When agreements are verbal and undocumented, even minor misunderstandings can escalate into significant financial disputes. During emergencies or tight economic situations, individuals may feel pressured to make informal deals quickly. Without documentation, these agreements are fragile and...