There have been many misconceptions regarding search engines ever since they came in to being. There are even more so now in the post Google panda and penguin world of search engines. When it comes to external links, there are 3 big misconceptions that exist.
1) Search engines will penalize my website for external links.
2) You shouldn't link to sites with lower page rank than your website.
3) External links will take customers away from my website and they
won’t come back.