That is indeed correct. Also note that while they cannot use weapons or armour they can use weapon-like and armour-like equipment. For example, in the RAW Toughened Leathers are technically equipment and not armour. Likewise, the Firebomb is technically a piece of equipment and not a weapon. Although legal in a RAW kind of way, some groups may allow this, some may not - YMMV. Some groups (mine included) house-rule Toughened Leathers to be a form of Light Armour.
Lucky charms are in the base rules and are not even slightly dubious to give to a Possessed.