Lol it was never a problem for me, loot everything and only sell armour and weapons, except relics, which can give you real nice stuff from breaking down. Over 40k at lvl 25, didn't exploit at all
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Ya im still early into the game so i'm starting to think it will get better as i progress. I have been dismantling all my commons and keeping anything not common. Is that a good way to do it or bad?
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You won't need to worry about dismantling gear for a while dude
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Oh ok. So just sell the crap and dismantle better items further down the road when i have lots of them and more money?
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Nope, everything in your weapons and armour category that is common should be sold. Just anything that looks ugly or doesn't have good stats, sell it.