Who lives by the "Dave Ramsey" way of living?

Discussion in 'The Okie Corral' started by BSA70, Aug 6, 2020.

  1. BSA70

    BSA70

    Messages:
    3,111
    Likes Received:
    1,173
    Joined:
    Aug 14, 2007
    Location:
    NC
    I listen to dave ramsey on youtube quite a bit. I pretty much go by his way of thinking before he became so popular. He is very extreme, borrow nothing. He will allow borrowing for a home under strict parameters. I hear some really debt horror stories with all the call ins and I agree with his methods to get out of the mess.

    I don't believe in debt and trying to buy happiness. But....Life is short and it it's something you really want and can afford it, not put a hard ship on your family, go for it....What is your line of thinking?
     
    poles19, TBO, Caver 60 and 1 other person like this.
  2. DAKA

    DAKA

    Messages:
    9,401
    Likes Received:
    12,990
    Joined:
    Jun 24, 2009
    Location:
    DELETED but SOUTH
    *****
    If you really want something,and can afford to buy/do it, without a burden on your finances...do it...YOLO
     
    poles19 likes this.

  3. syntaxerrorsix

    syntaxerrorsix Anti-Federalist CLM

    Messages:
    16,722
    Likes Received:
    12,571
    Joined:
    Oct 3, 2000
    Location:
    Lakeland, FL.
    The average working individual cannot afford to buy reliable vehicles or a home for cash until late into the game.

    Not all debt is bad. Using someone else's money can have advantages as well.
     
    ray9898, tuica, JimWillson and 11 others like this.
  4. Lt. Donn

    Lt. Donn PSO Survivor. currently in NW Georgia

    Messages:
    9,487
    Likes Received:
    20,792
    Joined:
    Aug 1, 2012
    Location:
    NW Georgia
    Firstly I follow [His] plan...Dave Ramsey helps me do that...it is not rocket science; spending less than you make is a concept most of our ancestors
    practiced...the issue in our modern society seems to be: I see, I want, I buy. Dave's program reveals to such folks how they can cut costs, repay debt and become more financially independent...but the whole program is founded on a desire to have a goal and a plan to improve your financial situation...sadly, many don't care to improve...
     
    TeaDub, Dr. Bill, n2g and 4 others like this.
  5. Kentucky fan

    Kentucky fan

    Messages:
    584
    Likes Received:
    1,398
    Joined:
    Feb 8, 2020
    My wife watches him and I personally think he is full of it. You have to strike a balance in life with everything. Try to be to extreme in either way just leads to misery.
     
    JW1178, tuica, sombunya and 6 others like this.
  6. sourdough44

    sourdough44

    Messages:
    5,693
    Likes Received:
    4,267
    Joined:
    Jul 23, 2007
    Location:
    WI
    I don’t look at it like all or nothing, there are helpful tips one can incorporate into their lives. I’ve listened to him and others over the years, Clark Howard, Bob Brinker & whoever.

    We all have a different mental makeup, various comfort levels. All work & no play makes Jack a dull boy, so they say.
     
    n2g and oldmick like this.
  7. Zut

    Zut

    Messages:
    287
    Likes Received:
    213
    Joined:
    Dec 20, 2009
    So.... how many of you guys could live for 6 months with zero income and not add additional debt? This is a very useful option to have in your back pocket when things get weird...
     
    CAMSDADDY, txcruiser, treg and 9 others like this.
  8. Fortunate Son

    Fortunate Son

    Messages:
    388
    Likes Received:
    986
    Joined:
    Jun 26, 2019
    Saving and investing, rather than borrowing and spending. Simple concept I wish it were universally taught.
    Investing $250 a week in an index account you would be a millionaire in 20 years.
    Had you invested $20k on AMD 5 years ago, you'd be a millionaire today.
    Teach your children, a little sacrifice now will net you a life of ease before they're 40 years old.

    Sent from my SM-G960U using Tapatalk
     
    Last edited: Aug 6, 2020
    Deltic, treg, jame and 2 others like this.
  9. snappy

    snappy

    Messages:
    2,565
    Likes Received:
    4,649
    Joined:
    Jan 10, 2008
    Location:
    North Cakalaky
    Don’t you know everyone on here does. Everyone on here also changes their own oil and has paid their house off AGES ago!
     
    buster55, TACLOAD, speedway and 8 others like this.
  10. Upgrayedd

    Upgrayedd

    Messages:
    6,136
    Likes Received:
    17,990
    Joined:
    Jul 5, 2006
    Location:
    Ohio
    I was deep in debt for years. It was hard, but I paid all of it off. I'm now debt free, with the exception of my house that is halfway paid off. Once I got out of that debt it was like a whole new world opened up for me.
    People, if you are in debt please consider trying this instead of crapping on it.
     
    CAMSDADDY, TeaDub, treg and 9 others like this.
  11. paul45

    paul45

    Messages:
    5,451
    Likes Received:
    8,327
    Joined:
    Jul 18, 2004
    Location:
    NC
    And...

    All males here are over 6 ft. tall, incredibly confident, and speak in a loud, resonate tone that scares women in the office!
     
    davethehiker, lazarus66 and snappy like this.
  12. lazarus66

    lazarus66

    Messages:
    4,518
    Likes Received:
    6,559
    Joined:
    Oct 30, 2009
    Location:
    Arlington, Texas
    Kind of like the 12 steps of AA. His advice is a guide to follow, as best you can. Reality may get in the way. Dave isn't going to bail you out when **** gets out of hand.
     
    larry_minn, Sharkey and Caver 60 like this.
  13. InValhalla

    InValhalla

    Messages:
    1,128
    Likes Received:
    2,918
    Joined:
    Mar 3, 2015
    I think his concepts are generally good. It takes a lot of discipline to keep yourself out of trouble.

    I find it somewhat ironic though that he's become wealthy and living comfortably by charging people $100s of dollars of a slick packaged program that is pretty much common sense. I'm curious too if he's gone back and paid off the money he owed when he declared bankruptcy....?

    IV
     
    Csv, TACLOAD, tuica and 5 others like this.
  14. Anicius Julianus

    Anicius Julianus

    Messages:
    1,180
    Likes Received:
    1,410
    Joined:
    Aug 13, 2015
    Debt: giving your money to others
    Debt Free: keeping your money for yourself
    Which would you rather do?
     
    TACLOAD, treg, Dr. Bill and 2 others like this.
  15. Rizzo

    Rizzo Garbage Day!

    Messages:
    9,328
    Likes Received:
    12,428
    Joined:
    Jun 10, 2008
    Location:
    Adrift in my world of enemies
    You say that like it’s some unobtainable unicorn. Ours was paid off after 8 years. Once I understood how amortization works and how it’s basically legalized vig in the banks’ favor, that was it. It was a lean 8 years of pumping just about every available dollar towards the principle and not buying frivolous stuff, but it was worth it.

    Although I do admit that slithering under the cars on a concrete floor is getting a bit wearying. :sigh:

    Dave Ramsey is basic money good sense, and I think it’s almost criminal that it isn’t taught in the schools. Ditch the “quadratic equation” and Algebra II, which 98% of people will never use after high school, and teach the kids how mortgage amortization, extra principle payments and credit-card interest works.
     
    Last edited: Aug 6, 2020
    TACLOAD, JMS, G30SF/F-250 and 9 others like this.
  16. tarpleyg

    tarpleyg

    Messages:
    3,554
    Likes Received:
    757
    Joined:
    Aug 7, 2002
    Location:
    North Carolina
    LOL that's always the opinion I end coming to when pondering DR, which is not very often.
     
    1eyedjack01 likes this.
  17. agtman

    agtman 10mm Philosopher

    Messages:
    6,040
    Likes Received:
    6,044
    Joined:
    Feb 28, 2001
    Location:
    Midwest
    Okay, couple of thoughts on the house thing ....

    Paid my house off in 2001, when many here were still in grade school.

    That's allowed the invested monies to grow steadily over time, ... thus being money that's made me mo' money. :thumbsup:

    Not to mention, given the current low-interest lending environment, it's a hot seller's market in this area right now for homes, especially those in the value-range of my home, and that'll continue through year's end.

    So when my fully-paid-for house hits the market next month, it will sell for significantly more than what I paid for it back in 1991. Which means -------> still mo' money.

    While homes traditionally are not seen as good investments by investor-types, there are exceptions to every rule, and the exception here is that the extended availability of low-interest loans to first-time home buyers is fueling a boom of sales for homes in certain price-niches.

    And the home-buying competition in certain price ranges is quite hot, with bidding wars occurring as prospective buyers attempt to out-bid others for the same home, sorta like what you see rich guys do at the high-end car auctions.

    In other words, timing is everything. :whistling:
     
    Last edited: Aug 6, 2020
    Fortunate Son and Caver 60 like this.
  18. JohnBT

    JohnBT NRA Benefactor

    Messages:
    7,140
    Likes Received:
    2,729
    Joined:
    Feb 24, 2000
    Location:
    Richmond, Virginia
    "spending less than you make is a concept most of our ancestors
    practiced"

    That's what my grandparents taught my parents and that's what they taught me years before Dave Ramsey was born in 1960. We didn't have much, but they made it work.

    Of course, it was easier to stay out of trouble because Diner's Club didn't introduce the first universal credit card until '50 and then American Express came along to compete in '58. And neither one would issue a card to just anybody. Prior to that the only cards were issued by gas companies and such so you could buy their product.
     
    Fortunate Son and Caver 60 like this.
  19. Dave Lively

    Dave Lively

    Messages:
    911
    Likes Received:
    1,149
    Joined:
    Apr 18, 2015
    There is always going to be something you want. Buying on credit increases the cost of everything you buy so in the long run you you will have less stuff due to the cost of paying interest.

    The big problem with YOLO is stuff happens. And when it does all those "I can afford it, it won't be a hardship" decisions come back to haunt you. If us guys buy as many expensive vehicles, guns, vacations, or in the case of women furniture, home remodeling projects and clothes as you can afford with monthly payments having to replace the heat/AC on your house goes from aggravating expense to "how am I going to pay for this" disaster. And about every 20 years you have to do that, it shouldn't be a surprise. But the YOLO crowd acts like those sort of things are as likely as getting hit with a bolt of lightning. I got laid off last year and was out of work for about 4 months. That happens a lot too these days. I was very glad not to have any debt hanging over me when it did.

    I have listened to Ramsey on YouTube and consider his philosophy common sense but don't agree with everything he says. I see no advantage in using a debit card over a real credit card that is paid off every month. His investment advice is overly aggressive. And driving an unreliable POS $1000 car instead of financing the least expensive reliable vehicle you can find is not what I would advise. But buying that $40,000 SUV with a 7 year loan is a bad idea.

    Its your money. If you don't mind living on the edge borrow as much as you want. I know some people that seem very happy living that way despite the drama it can create. Its also not a binary choice between having to take out payday loans when the water heater goes out (About every 10 years for those of you new to owning a house) and living of Ramen noodles, driving a 1999 Dodge Dart while having a 7 figure 401k. Find what works best for you.
     
    TACLOAD, Caver 60 and agtman like this.
  20. oldmick

    oldmick

    Messages:
    1,794
    Likes Received:
    3,701
    Joined:
    Jan 14, 2009
    Location:
    Ohio
    I agree with others who feel you need balance in all things.

    Never buy a new car? If my wife or I wanted a new car we would buy it. We always bought within our means. Every house was less expensive than we could “afford” so that we had disposable income for vacations etc.

    We saved far more later in life than earlier. I wish we had saved more but we have enough to use a little every month for our projected lifetime.

    If people want to follow the Dave Ramsey method they’ll probably end up with more than me, but we’re doing just fine and had some nice things and some great times, so we’ve done OK without “Dave”.
     
    buster55, n2g, Caver 60 and 2 others like this.