Remembering TCPaul, 2016-2019

Dave Ramsey Student Debt Call

https://www.youtube.com/watch?v=dqe FiB98ptg 3:25 into t hankhill05/04/19
There are way better student debt calls than that one. Ch passportfan305/05/19
With student loans of $335K, how did they get a mortgage, pe toooldtocare05/05/19
Not sure what planet you're living on, but student loans don fettywap05/05/19
It's good to be smugly self-assured, especially when you're toooldtocare05/06/19
The young couple also owed 200k in credit card debts too Ho trijocker05/05/19
Dave Ramsey is a twit. He's my punch in face fantasy. diplolaw05/05/19
Ramsey cookie cutter advice would help 95 percent of people demwave05/05/19
Even vs. the savvy person his advice is just like the 2nd or superttthero05/05/19
Well said demwave and superttthero! blakesq05/05/19
He’s also heavy on steering people away from bankruptcy. qdllc05/05/19
I think a lot of these people need to learn discipline and b superttthero05/05/19
While there were a few idiots, almost all my old bankruptcy taway05/06/19
I don't feel so bad. I have paid off my student loans ($ bostonlawyer.205/05/19
Did you feel bad before you read OP’s post? uknownvalue05/05/19
Most great fortunes ARE made through leverage of some kind. demwave05/05/19
Think your life is bad? This guy got kicked out of West P passportfan305/05/19
I was really curious as to who this guy was, because anybody caj11105/05/19
one other way to get out would be to say you are a trans. P diplolaw05/05/19
Lol at “say that you are a trans.” Just say the words an brokelawyer05/06/19
Dave Ramsey's advice is geared towards people who are financ flharfh05/06/19
Clark used to be on in my area...he is like Ramsey, but actu jdcumlaude05/06/19
The whole anti-credit card mentality that Dave Ramsey has is caj11105/06/19
I've seen that guy Howard from time to time on HLN, I think wutwutwut05/06/19
Credit Cards are great if you pay it down each month. Reward irishlaw05/06/19
Clark Howard: http://www.cnn.com/CNN/Programs/cla rk.howar wutwutwut05/06/19
https://youtu.be/aTGMz_9aOQ8 Government lawyer with 200+k hankhill05/06/19
summary 230k in debt...making 70k in a government job. The jdcumlaude05/07/19
I like how quickly he concludes that since she’s a lawyer e36m305/07/19
He definitely has an inflated sense of what lawyers make. H somefed05/07/19
She’s making $71k. Telling her she should look for a bette e36m305/07/19
I don't agree completely with his advice, but I think she sh somefed05/07/19
Creditors have no business originating loans if they think e taxamnesty05/07/19
Correct, it is a business transaction. If you don't pay, yo somefed05/07/19
Haha, joey took him to task in the comments. wutwutwut05/07/19

hankhill (May 4, 2019 - 10:43 pm)

https://www.youtube.com/watch?v=dqeFiB98ptg

3:25 into this video is pretty interesting. I'm a fan of Dave Ramsey and I agree with most of his advise. I just thought his lawyer comment was thought-provoking.

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passportfan3 (May 5, 2019 - 1:03 am)

There are way better student debt calls than that one.

Check out this loser who failed his medical boards twice and is now looking at life $430,000 underwater with no ability to practice medicine:

https://www.youtube.com/watch?v=Abz9qgi9FKg


This young couple owes $335K in student loans, $210K in mortgage, $136K in credit cards, $44K in personal loans, $35K in cars:

https://www.youtube.com/watch?v=rMk7CKwJ8OM

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toooldtocare (May 5, 2019 - 1:25 pm)

With student loans of $335K, how did they get a mortgage, personal loans and a car loan? All this time I thought having a huge student loan balance would kill your credit...I guess not. I may be missing something, but that's at least 300K in debt AFTER 335K in student loans-and that's not counting the credit card debt which could have been incurred before/during student time. So yeah it's terrible debt, but must be leading a pretty good life to incur that much debt as a "young couple."

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fettywap (May 5, 2019 - 2:58 pm)

Not sure what planet you're living on, but student loans don't affect your credit. They look at your monthly payments to figure your debt-to-income ratio for the mortgage, but that's it.

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toooldtocare (May 6, 2019 - 12:10 pm)

It's good to be smugly self-assured, especially when you're wrong. The size of the payments, as well as whether you've missed any, makes a difference. These two have close to half a million in debt in addition to the school loans, so they must be doing pretty well.

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trijocker (May 5, 2019 - 5:02 pm)

The young couple also owed 200k in credit card debts too
How do they make over 200k a year when she just has a Masters in Public Policy?
They must overspend on dining out, clothes, cars and vacays.
I didn't agree that he told her to sell the condo, with that kind of debt they may never be able to buy a place again.

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diplolaw (May 5, 2019 - 4:24 am)

Dave Ramsey is a twit. He's my punch in face fantasy.

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demwave (May 5, 2019 - 1:35 pm)

Ramsey cookie cutter advice would help 95 percent of people and make the world a better place. But it is not for financially savy people.

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superttthero (May 5, 2019 - 1:42 pm)

Even vs. the savvy person his advice is just like the 2nd or 3rd best option... it's rarely "bad" advice even if not the best in any circumstance.

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blakesq (May 5, 2019 - 2:24 pm)

Well said demwave and superttthero!

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qdllc (May 5, 2019 - 3:25 pm)

He’s also heavy on steering people away from bankruptcy.

Nice on “moral” principles of “one should pay their debts,” but all lenders deal with the risk of bankruptcy as it’s a right under the law and lend to people who would previously be held as unworthy of credit.

The damage of bankruptcy doesn’t even last 7 years like it once did...you can start rebuilding right away. If you are far enough in over your head that bankruptcy would be the overall better path, I’d tell someone to take it then get their financial house in order so they don’t find themselves back in the same mess five years down the road.

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superttthero (May 5, 2019 - 4:41 pm)

I think a lot of these people need to learn discipline and bankruptcy just means they learn nothing.

I'm a big proponent of bankruptcy. I tell my grandparents to do it all the time but they won't because they're hung up on it being shameful. However they have almost no income... it's a no brainer.

For a close call or even when bankruptcy is just slightly favored by the numbers I'd say a lot of people would still benefit from leaning to live below their means.

All of the above is regards to Ch. 7 and goes double for Ch. 13.

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taway (May 6, 2019 - 10:33 pm)

While there were a few idiots, almost all my old bankruptcy clients had my sympathy. The majority of them didn't need to learn discipline, they needed to not get slapped with outrageous medical debt. Out of the hundreds of 7s and 13s I filed, all but one or two of those clients were clearly ashamed about it, but unlike your grandparents they were making just enough to have something to lose.

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bostonlawyer.2 (May 5, 2019 - 3:01 pm)

I don't feel so bad.

I have paid off my student loans ($155k in 2006).

Have $300k in a retirement account.

$110k in my savings account.

A $330k mortgage on an apartment worth $800k.

Zero credit card debt.

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uknownvalue (May 5, 2019 - 3:25 pm)

Did you feel bad before you read OP’s post?

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demwave (May 5, 2019 - 3:43 pm)

Most great fortunes ARE made through leverage of some kind. Ramsey knows this. But most people get into debt for wrong reasons so that is why his advice is generally speaking good!

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passportfan3 (May 5, 2019 - 8:15 pm)

Think your life is bad?

This guy got kicked out of West Point the day before graduation, so he owes the government more than $300K.

Currently, he's making $15 an hour at a rubber factory (whatever that is), and he's starting a Dominos's delivery side hustle.

https://www.youtube.com/watch?v=fSBwlBdpKSg

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caj111 (May 5, 2019 - 9:22 pm)

I was really curious as to who this guy was, because anybody who gets expelled from West Point, or any other government military academy right before graduation (or even earlier than that) makes the news. I scoured the web, and I thought it might be this guy, but the facts of the phone call don't quite match up with it:

https://www.usatoday.com/story/news/nation/2018/06/19/us-army-boots-west-point-officer-who-touted-communism-during-graduation/713286002/

I am wondering if this whole story was bogus, the facts of it changed for the phone call, or the guy was expelled from another military academy, or he was at some other university on a ROTC scholarship that he must repay.

The guy did say he was a Russian Studies major at West Point, which sort of goes along with why the guy in the USA Today article was dishonorably discharged, but the guy in the USA Today article actually did graduate.

Bizarre...

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diplolaw (May 5, 2019 - 11:42 pm)

one other way to get out would be to say you are a trans. Probably wouldn't have to pay anything back that way.

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brokelawyer (May 6, 2019 - 12:49 am)

Lol at “say that you are a trans.” Just say the words and your life experiences an instant record scratch

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flharfh (May 6, 2019 - 2:20 pm)

Dave Ramsey's advice is geared towards people who are financially illiterate and/or have poor impulse control, the kind of person who has a $700 car payment and can't figure out why he can't make ends meet on his $35k/yr income.

For example, the whole "credit cards are evil" schtick - this is true if you pile up debt at high APR, but if you pay the bill monthly credit cards are one of the best options available.

A similar guy is Clark Howard, who is on the radio in my area and seems to offer more sensible advice.

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jdcumlaude (May 6, 2019 - 2:28 pm)

Clark used to be on in my area...he is like Ramsey, but actually does research and continues to educate himself about the current economic climate in the USA...he can also speak intelligently about the impact of student loans.

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caj111 (May 6, 2019 - 2:43 pm)

The whole anti-credit card mentality that Dave Ramsey has is so stupid. First of all, I am not comfortable carrying large amounts of cash around with me, nor am I going to pay by electronic funds transfer from any online retailer. Second, I assume Mr. Ramsey travels sometimes and exactly how does he make a plane and/or hotel reservation? One time in my life I paid for a hotel room in cash. I have never paid for a plane ticket in cash, I'm not even sure you could if you wanted to (I'd think you'd get automatically flagged by TSA if that happened), and you need some electronic means to hold your plane reservation anyway. Has anyone ever asked Mr. Ramsey about this?

Some of his advice is alright but most of the people who call him are beyond help anyway that bankruptcy or leaving the country might be the only options.

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wutwutwut (May 6, 2019 - 4:48 pm)

I've seen that guy Howard from time to time on HLN, I think it is. Seems pretty sharp.

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irishlaw (May 6, 2019 - 4:39 pm)

Credit Cards are great if you pay it down each month. Reward points and Perks...I basically get 3% off everything I buy.

I got a credit card because I had to throw 20k at getting my jaw fixed...15 month 0% APR was free cash for me.

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wutwutwut (May 6, 2019 - 4:50 pm)

Clark Howard:

http://www.cnn.com/CNN/Programs/clark.howard/

He's on HLN Saturdays and Sundays, 6am and 12 pm.

Also just checked out his website for the first time in a long time (I used it to find out how to freeze credit for my family a few years ago). It's got tons of self-help stuff.

https://clark.com/

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hankhill (May 6, 2019 - 9:13 pm)

https://youtu.be/aTGMz_9aOQ8

Government lawyer with 200+k in debt calls in. I’m surprised by Dave’s advice.

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jdcumlaude (May 7, 2019 - 6:38 am)

summary 230k in debt...making 70k in a government job. The advise was to quit and make more money in the private sector....This is boomer logic at its worst. The guy does not do his research....just all lawyers make 140k per year.

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e36m3 (May 7, 2019 - 10:14 am)

I like how quickly he concludes that since she’s a lawyer and 5 years out that she can make $150k. He doesn’t ask what she does, how much private attorneys in her field of law make in her area, or whether she has kids which require her to have a more flexible job. Just horrible ill informed advice.

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somefed (May 7, 2019 - 10:17 am)

He definitely has an inflated sense of what lawyers make. However, the caller should get a higher paying public service job. There are plenty of attorney jobs in government that pay more than 60k and would allow both a higher standard of living and loan forgiveness.

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e36m3 (May 7, 2019 - 10:38 am)

She’s making $71k. Telling her she should look for a better paying government job or a great paying private sector job is one thing. Telling her she can automatically make $80k more than she’s making now in a different job is grossly misleading, and most likely completely wrong. Say she quits her job to take an insurance defense job for $90k because she think it’ll increase quickly (since the world owes her a $150k salary), finds out she doesn’t like billing 2400 hours per year, and gets laid off. Think she can just walk right back into that decent paying government gig with debt forgiveness?

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somefed (May 7, 2019 - 10:49 am)

I don't agree completely with his advice, but I think she should try to get a higher paying government job. She made it sound like she was stuck at that one place. You should not sign promissory notes for loans that you don't intend to pay.

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taxamnesty (May 7, 2019 - 11:08 am)

Creditors have no business originating loans if they think everyone will pay back...

Quit moralizing a business transaction.

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somefed (May 7, 2019 - 11:24 am)

Correct, it is a business transaction. If you don't pay, you can be sued and will have terrible credit.
That is the consequence of failing to fullfill the loan agreement.

It is not a moral judgement. I am simply pointing out that it is not a sound financial decision to sign a promissory note that you don't plan to pay.

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wutwutwut (May 7, 2019 - 12:45 pm)

Haha, joey took him to task in the comments.

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