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Author Topic: Dave Ramsey Plan  (Read 106402 times)

Online Yehuda57

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Re: Dave Ramsey Plan
« Reply #680 on: January 25, 2023, 10:56:10 AM »
Dan asked if it’s made for people who are bad at math. And I showed an example where DR says that if you will start doing math to pay back debt it will backfire. So I was just showing a case where he speaks to people that are doing good math. Clearly he’s not just talking to people who are bad at math. Whatever. 
I’m not sure which part of my post doesn’t make sense.

Sorry, misunderstood your post

Offline Euclid

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Re: Dave Ramsey Plan
« Reply #681 on: March 25, 2023, 11:54:43 PM »
Is RSK a Dave Ramsey org?

Offline WayBackMachine

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Re: Dave Ramsey Plan
« Reply #682 on: March 25, 2023, 11:56:47 PM »
Is RSK a Dave Ramsey org?
its an RSK Org
they also provide financial coaching if that's your question
« Last Edit: March 26, 2023, 12:13:34 AM by WayBackMachine »

Offline Euclid

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Dave Ramsey Plan
« Reply #683 on: March 26, 2023, 12:32:20 AM »
its an RSK Org
they also provide financial coaching if that's your question
My question is if their advice is Dave Ramsey advice.

I just watched the interview that RSK did with Meaningful People and his anti credit card stance makes me think it is

Offline WayBackMachine

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Re: Dave Ramsey Plan
« Reply #684 on: March 26, 2023, 12:33:13 AM »
My question is if their advice is Dave Ramsey advice
I know RSK but not Dave so I cant answer your question

they do advise against CC as most that reach their door have racked up CC debt, when you start failing the CC is the first to get the beating

Offline theyankel

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Re: Dave Ramsey Plan
« Reply #685 on: May 24, 2023, 12:13:05 PM »
A little ironic that I got tagged in a thread that started after I quit DDF about a topic I got into since I quit  :)

I read some of the thread, but not all, so forgive me if I'm repeating things.

1) DR is catering to people who are stuck in debt. These are people who made mistakes and didn't know how to handle money. If they had good financial planning knowledge, they wouldn't be in the mess in the first place. Saying something like "Why would you pay off lower interest first?" and following that up with "I've always had financial freedome [and never been in debt]" shows you aren't the DR target.

Take me for example, and I'm saying this even though I'm not anonymous. I found DD and started opening up credit cards and earning miles. It was awesome. Did a whole bunch of things I could never have afforded. Paid my bills on time, had a amazing credit score without a penny to my name. Life happened. Expenses ended up being more than I was earning. One job cut my salary by 40% rather than fire me outright. I was never an extravagant spender, don't have a car, live in a small apartment, but the CC bills became unpayable. I did 0% balance transfers and was treading water for a while. Then I missed a payment on one card. Then another on a different card. Before I knew it I was 80k in the whole, with no shovel to dig out of it.

I hate to say it, but I worry that more DD(F)ers fell into this than we like to imagine. No CC farms, no swiping scams, just spending more than we can afford to on high interest CCs.

2) As such, the DR advice is not necessarily the most mathermatically sound advice. He says so himself. It's behavioral. It's about planning, budgeting, and being in control. It is absolutely beneficial for the kinds of people in point 1 above to pay off a smaller debts earlier, even if it is lower intrest. The whole point is to change behaviour, not be the most optimal mathematical plan.

3) I have learned his plan without reading his book (though I could, for free, at the library) or paying him a penny. I've listened to him on youtube and I got the picture. The fact that he has built a multi million dollar self help and media empire doesn't mean he preys on anyone. And even if it would have cost me $100 to learn his plan, it would have been the best $100 I'd have ever spent.

4) Some people have mentioned $1000 not being enough of an emergency fund. True, that's why it's called a *beginners* emergency fund. Step 3 grows that to 3-6 months of expenses.

5) All the talk of WL vs Mutual funds, etc. - once you get into step 4,5 & 6 you should be speaking to an advisor who can go through the options with you.

Thank G-d, I should be debt free within a month, and complete step 3 soon after that. Then I can come back to DDF to hear the outcome of the arguements for step 4, 5 and 6. :)
just saw this link and post. great job. very commendable. great to hear. financial literacy and discipline can def be a challenge for people. it should be a required educational topic in all schools   

Offline Euclid

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Re: Dave Ramsey Plan
« Reply #686 on: June 02, 2023, 10:38:52 AM »

Online Yehuda57

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Re: Dave Ramsey Plan
« Reply #687 on: June 02, 2023, 10:43:13 AM »
Dave Ramsey sued for $150 million by former fans who followed his timeshare exit advice
https://www.msn.com/en-us/money/companies/dave-ramsey-sued-for-150-million-by-former-fans-who-followed-his-timeshare-exit-advice/ar-AA1bZZzV

John Oliver did a piece on these companies, including the Ramsey connection.

Ramsey is extremely vocal about the timeshare scams, so it's a bit befuddling that he backed this scam. I think he may have initially gotten hoodwinked into thinking the company would actually work, and was then too egotistical to admit to his mistake when it became clear it was a scam.

Offline Dan

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Re: Dave Ramsey Plan
« Reply #688 on: June 02, 2023, 11:03:45 AM »
John Oliver did a piece on these companies, including the Ramsey connection.

Ramsey is extremely vocal about the timeshare scams, so it's a bit befuddling that he backed this scam. I think he may have initially gotten hoodwinked into thinking the company would actually work, and was then too egotistical to admit to his mistake when it became clear it was a scam.

These usually have NSFW language.


Save your time, I don't answer PM. Post it in the forum and a dedicated DDF'er will get back to you as soon as possible.

Online Yehuda57

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Re: Dave Ramsey Plan
« Reply #689 on: June 02, 2023, 11:22:34 AM »
These usually have NSFW language.


That's why I didn't link  :)

Offline Pad18

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Offline CountValentine

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Re: Dave Ramsey Plan
« Reply #691 on: September 03, 2023, 03:37:24 PM »
https://twitter.com/DaveRamsey/status/1675873057691377665
1) DR is stupid
2) He thinks his audience is stupid
3) Both the above
Only on DDF does 24/6 mean 24/5/half/half

Offline Shaya E

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Re: Dave Ramsey Plan
« Reply #692 on: September 03, 2023, 03:58:44 PM »
I can't say about 1 but 2 is definitely true. And that isn't a bad thing either, (financially) stupid people exist and can really get into trouble. Following his advice helps a lot.

Online Yehuda57

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Re: Dave Ramsey Plan
« Reply #693 on: September 03, 2023, 04:10:26 PM »
https://twitter.com/DaveRamsey/status/1675873057691377665
1) DR is stupid
2) He thinks his audience is stupid
3) Both the above

Show your work. What exactly was stupid advice in that clip?

Offline DaasTora

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Re: Dave Ramsey Plan
« Reply #694 on: September 03, 2023, 04:17:54 PM »
https://twitter.com/DaveRamsey/status/1675873057691377665
1) DR is stupid
2) He thinks his audience is stupid
3) Both the above
I just finished watching that clip and I’m amazed at the guy’s straight thinking.
Strong points one by one.

Offline farmbochur

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Re: Dave Ramsey Plan
« Reply #695 on: September 03, 2023, 04:23:20 PM »
I miss the good old days of fiery dave
Risk is opportunity

Offline CountValentine

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Re: Dave Ramsey Plan
« Reply #696 on: September 03, 2023, 04:40:22 PM »
Show your work. What exactly was stupid advice in that clip?
"We don't borrow money for investments"
One of the most stupid/idiotic things I have ever heard.

I can go through a 100 of his idiotic statements but what's the point?
Only on DDF does 24/6 mean 24/5/half/half

Online Yehuda57

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Re: Dave Ramsey Plan
« Reply #697 on: September 03, 2023, 05:23:45 PM »
"We don't borrow money for investments"
One of the most stupid/idiotic things I have ever heard.

I can go through a 100 of his idiotic statements but what's the point?

You're making the same mistake you've made throughout this thread. His advice is for the general public. Not investing what you can't afford to lose is one of the most important rules there is. Borrowing money to invest is something you have to be tremendously careful about, and advising people to do that as a rule would be idiotic.

Offline CountValentine

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Re: Dave Ramsey Plan
« Reply #698 on: September 03, 2023, 05:41:58 PM »
You're making the same mistake you've made throughout this thread. His advice is for the general public. Not investing what you can't afford to lose is one of the most important rules there is. Borrowing money to invest is something you have to be tremendously careful about, and advising people to do that as a rule would be idiotic.
He has a podcast. The general public listens to it. His statements are idiotic, and you keep defending the statements.

You need to borrow money for all different type of investments. To make the statement "We don't borrow money for investments" is completely idiotic no matter whom you are talking to. If he wants to qualify the statement X or Y should not do it then he should but doesn't.

After seeing this response about the scam, I don't believe you can be objective: "I think he may have initially gotten hoodwinked into thinking the company would actually work, and was then too egotistical to admit to his mistake when it became clear it was a scam."

Unfortunately, he has been unscrupulous from the day he started. Yes he has helped people but that doesn't change that fact.

ETA: Let me add I am over 100k in credit card debt. If I listen to his advice, I would not be netting $400+ a month risk free from this debt.
« Last Edit: September 03, 2023, 05:46:23 PM by CountValentine »
Only on DDF does 24/6 mean 24/5/half/half

Offline sguitarist18

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Re: Dave Ramsey Plan
« Reply #699 on: September 03, 2023, 08:57:19 PM »
You don't have to agree with everything he says, but most of what he says is very solid.

And if everyone followed his advice, the vast majority of the population would be better off.

Sure, he doesn't do "nuance." But let's face it - there's a good reason for that, because most people don't do well with nuance. Look at Dansdeals - we get lots of points, and as I'm a very small player, I can't even imagine how much money/value for experience people here have gotten from points. And I'm certain some of the members here are millionaires (though it's unlikely they became that way from their own credit card points).

But the average person using credit cards is getting smashed by credit card debt, and they struggle to get out of it. It takes over their financial life like an anchor, and doesn't let them move forward.

Let's take the point I probably disagree with the most - student debt. While I agree it should be avoided whenever possible, it's true that when necessary, it can be the best investment in yourself. However, not only do many people never graduate, there's also a large number that graduate with degrees that do not help them at all. And the point that people need to think and consider this, at least - that's important, and very underutlized.