The official Dave Ramsey thread

abomb

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Awesome work 32! :thumbup:

One of the three hour Dave Ramsey podcast is available for free everyday. It is a great listen and gets me fired up to save money and pay down debt.

We have close to completing Baby Step 1 and have started our debt snowball too. The idea of being debt free (except mortgages) is very exciting but will take a lot of hard work too.
 
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Brian in Mesa

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One of the three hour Dave Ramsey podcast is available for free everyday. It is a great listen and gets me fired up to save money and pay down debt.

We are close to completing Baby Step 1 and have started our debt snowball too. The idea of being debt free (except mortgages) is very exciting but will take a lot of hard work too.


Awesome !! :thumbup:

It's hard work, but it is soooooo worth it.
 

Shane

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Dave Ramsey is a nob! :)
 

thirty-two

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We have close to completing Baby Step 1 and have started our debt snowball too. The idea of being debt free (except mortgages) is very exciting but will take a lot of hard work too.

VERY COOL, abomb! I wish you guys the best!!
 

thirty-two

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Okay I am so flippin' mad right now. I am NOW 100% officially on board with Dave now re: credit cards. After I paid off my BofA card, I never got around to closing it. Well, today I go online and I see that my 5,000 line of credit went down to 500. I called and asked why it went down to 500 and I want it back to 5,000. I had a higher freaking credit limit in college for pete's sake!!

Well, their rationale was I have two other cards (with SEPARATE companies) that are close to their limit and that's why. They didnt even take into account that I had been with them since 2003, have never been late, recently paid down my balance of 4k+, etc.

They wouldn't put it back to 5k so I closed the bitch. And the guy's tone was just so freaking condescending... "well it looks here like you have ...... in credit card debt" BITE ME JERK!!!!! I AM KICKING MY DEBT'S ASS!!!

Anyway, so I officially closed the card and I soooooo revved up on getting rid of these last two cards. Credit card companies ARE sharks. JERKS!!!!!
 
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Brian in Mesa

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Yeah, they're pretty much all jerks like that, Kate.

Just wait - very soon all your cards will be gone and you'll be racking up money in savings (larger emergency fund, etc).

:jedi:
 

jw7

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Anyway, so I officially closed the card and I soooooo revved up on getting rid of these last two cards. Credit card companies ARE sharks. JERKS!!!!!

Oh, they totally are. I have no idea how they can charge 17% interest on balances when you can only get a risk-free savings account for about 3%.

BIM and I disagree with the use of credit cards every day of the week and twice on Sundays. I need one for business travel to reserve a car and hotel rooms. And if you play it right, you are actually taking advantage of them. You just need to be diligent about paying the sucker off each month, otherwise, it is a legalized hosing.

But yeah, a card with a $500 limit is basically pointless. Right call in canceling it.

Personally, while I do have my checking with B of A, I would never use them for credit.

I carry one credit (discover) and one debit (B of A). I pay off my Discover each month when my employer reimburses me and I am looking at about $200 free cash to me for not doing anything.

Pay off those cards, cut them up, then get one credit and one debit and don't spend money that you can't pay off in the current month.
 

thirty-two

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Pay off those cards, cut them up, then get one credit and one debit and don't spend money that you can't pay off in the current month.

I should probably amend my previous post to say I am 99% on board with DR about credit cards. I think keeping one card and paying it off each month while gaining the rewards from it is not a bad thing to do. I would just have to be very diligent in paying it off every month. If I can do that, then do it. Right now I am just so mad at them that I dont want any cards! GRR!
 
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Brian in Mesa

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jw7 - if you use the card only for business purposes and your company pays it off each month - it's not really your debt, even if it is in your name. Unless your company folds on you after a month of expenses are racked up in your name - then it's all on you. :D

As for me, I can rent a car and pay for a hotel room with my debit card - just like Dave Ramsey does. I know all about the holds, etc in dealing with rental places and hotels. If you've got enough in the account it won't cause any issues.

When we drove across the states this summer we just paid cash if we stayed in a hotel.

Businesses are starting to see that more people are against credt also and are trying to cater their rewards to those using debit also. Target has had red cards that are their in-store credit cards for years and years. Just recently they began asking if you'd like to sign up for a Target debit card instead of a Target credit card. You basically fill out an application and they link the card to your bank account. When you use it you earn the same rewards as the credit customers but you are paying with your own money from your own account.

IMHO, from the early feedback I've heard it's not worth doing because there is often a big delay from the time of your purchase until it clears the account (3 days or more).

Rewards and gimmicks from credit card companies are just cheese that they use to lure you into the credit trap. They're hoping you fall behind and aren't able to get caught up.

Kate - Dave always says "What would I do if I woke up in your shoes?" This is just my advice to you - get rid of the cards, pile up some savings, and live the life of financial freedom. You'll always have the ability to go back and get a card if you're so inclined, but just give it a shot without one. I think you'll love life so much without one that you won't want to go back to having one.
 

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jw7 - if you use the card only for business purposes and your company pays it off each month - it's not really your debt, even if it is in your name. Unless your company folds on you after a month of expenses are racked up in your name - then it's all on you. :D

As for me, I can rent a car and pay for a hotel room with my debit card - just like Dave Ramsey does. I know all about the holds, etc in dealing with rental places and hotels. If you've got enough in the account it won't cause any issues.

When we drove across the states this summer we just paid cash if we stayed in a hotel.

Businesses are starting to see that more people are against credt also and are trying to cater their rewards to those using debit also. Target has had red cards that are their in-store credit cards for years and years. Just recently they began asking if you'd like to sign up for a Target debit card instead of a Target credit card. You basically fill out an application and they link the card to your bank account. When you use it you earn the same rewards as the credit customers but you are paying with your own money from your own account.

IMHO, from the early feedback I've heard it's not worth doing because there is often a big delay from the time of your purchase until it clears the account (3 days or more).

Rewards and gimmicks from credit card companies are just cheese that they use to lure you into the credit trap. They're hoping you fall behind and aren't able to get caught up.

Kate - Dave always says "What would I do if I woke up in your shoes?" This is just my advice to you - get rid of the cards, pile up some savings, and live the life of financial freedom. You'll always have the ability to go back and get a card if you're so inclined, but just give it a shot without one. I think you'll love life so much without one that you won't want to go back to having one.

Meanwhile I have racked up like 1600 bucks on my new electronics. Who can resist the lure of 60% off a TV and Blue-Ray player. Oh well, I'll pay it off with tax returns.

As great as this program is, I like to have nice things.
 
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Brian in Mesa

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Meanwhile I have racked up like 1600 bucks on my new electronics. Who can resist the lure of 60% off a TV and Blue-Ray player. Oh well, I'll pay it off with tax returns.

As great as this program is, I like to have nice things.

If you're getting big tax returns you need to change your withholdings. You're just loaning the government your money for the year.

BTW: It's very easy to have nice things when you do not owe anyone anything. :thumbup:
 

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I should probably amend my previous post to say I am 99% on board with DR about credit cards. I think keeping one card and paying it off each month while gaining the rewards from it is not a bad thing to do. I would just have to be very diligent in paying it off every month. If I can do that, then do it. Right now I am just so mad at them that I dont want any cards! GRR!
Amen. Last year I got $800 on my American Express card and paid $0 in finance charges. I am still looking for a way to pay my mortgage with one of my rewards cards.
 

thirty-two

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Kate - Dave always says "What would I do if I woke up in your shoes?" This is just my advice to you - get rid of the cards, pile up some savings, and live the life of financial freedom. You'll always have the ability to go back and get a card if you're so inclined, but just give it a shot without one. I think you'll love life so much without one that you won't want to go back to having one.

I hope someday I get to that point, and I am sure I will. It's just tough going from a credit card life to not using them to not having them at all for it's "safety net." But I think with time I will get to that point. And I totally see the importance of keeping that emergency fund stocked. As long as I have that, I feel a million times more secure.
 
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Brian in Mesa

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The Dave Ramsey Show will air weekdays on News-Talk 92.3 KTAR from 10pm-1am.

:jedi:

Woohoo !! - now I can listen on my Zune while working.
 

thirty-two

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I saw a Dave Ramsey billboard yesterday and I got really excited. I hadn't seen one in Phx before.

Btw, I'm about 25k down in almost 2 years (Jan 1). I LOVE THE TOTAL MONEY MAKEOVER!
 
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Brian in Mesa

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I saw a Dave Ramsey billboard yesterday and I got really excited. I hadn't seen one in Phx before.

Btw, I'm about 25k down in almost 2 years (Jan 1). I LOVE THE TOTAL MONEY MAKEOVER!

That's awesome, Kate !! :jedi:
 

jw7

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Btw, I'm about 25k down in almost 2 years (Jan 1). I LOVE THE TOTAL MONEY MAKEOVER!

Keep it up Kate. If you want to have some fun go google some future value calculators.

I don't know what your weighted-average interest rate is, but say your interest was 10%/yr - you are saving about $188 per month in charges.
 
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