Seems to me, having watched literally hundreds of these calls, that cars and/or student loans are the messes that folks usually get themselves into. Got it.
February of 2017: I paid $600 cash on the spot for a 2001 Saturn L200. Immaculate. Retired sellers. It lasted me til March 2023 with no maintenance. 6 years…..$100/ year. Ya gotta be The Hustler to find the deals…..like I do.
You are right. You can’t even find a broken car for $1000. These deals are not a thing anymore. You can maybe come up with a 15 year old corolla for around $3500-$4000. Anything less than that will likely give you massive expensive headaches.
I must say Dave's advice is on point. However, I don't believe the caller is going to get rid of those cars. Both those cars being bought new in 2019 tells me alot about what the motive was for obtaining them in the first place. That "motive" needs to be fixed first, then everything will fall into place. He's not giving up those cars and actually approached Dave to potentially find some magical solution to solve his debt issue without getting rid of those cars. I buy older (10+ yrs) Japanese cars in cash, but ones that is in very good shape and have evidently been well looked after by previous owners. This strategy has worked well with my wealth building journey even when I was hit with unforeseen financial challenges such as job losses, reduced income, etc, that we all are at risk of from time-to-time.
@Bidenlost2020 I now only use cc's for gas for the business vehicle...easy to keep track of at the end of the year what spent on. Also, for stuff that I do in the house (like redoing the lighting as I did recently). But yeah, cash. If i don't have enough cash to buy, I don't need it. It's a very freeing way to live.
@@mannyjeanpierre4062 Taxpayers shouldn't have to pay for people's stupid decisions. We made some stupid decisions in our young and stupid days, but we fixed them ourselves.
True that. But by cheap do you mean cheap cheap like project cars or moderately cheap $5k - $10k cars? I bought mine for $9k and it had 45k miles, drives great.
Omg. Jeep anything these days are now up to and around 60g's for a new one. My last car in 2008 was 18g's. I put no money down and just took a three-year loan out with zero interest. That was the last car I borrowed to buy. Now, I just have to keep that and the other one going because no way can I justify buying a new car or a used car.
nitpicking general, blanket advice that is already going to put someone in a better financial situation is pretty retarded. but congrats on getting 20 likes
@@latsnojokelee6434 could likely be warranties he bought which should be prorated or he’s calculating how much he owes with interest included OR he got a shitty interest rate when he initially purchased.
My last car I bought brand new with a car loan was over 15 years ago. It was 0% for three years. They don't do that anymore. In fact, I don't even think they 'let' you take loans out under 5 year agreements. So yeah, it would seem they force that situation. Either that or lease. I know someone who keeps leasing cars so he can drive a fancy car that he otherwise cannot afford. The car companies have figured out how to screw us all.
I've been driving / a car owner since I was 16 years old (49 years). I have NEVER bought a car that I had to borrow to buy it. I'm pretty much the LAST owner of any vehicle before the scrap yard! I have to say, though- never having made a car payment (OR shelling out for the MANDATORY, EXPENSIVE full-coverage collision insurance when you borrow) has felt mighty good!
It was a 1967 Mustang, $750.00 worth of my paper route money. I LOVED that car! I actually made the purchase 3 days before I could take my license test. Back in 1974, people under 18 could OWN cars without some BS like having it in my parents name! Back then you could get your learner's permit on your 16th birthday, then 30 days later take your road test. Then VIOLA! You were a 100% full-fledged driver! I feel so sorry for kids today & all the intrusive, bureaucratic govt. horse shit they have to put up with. I was heartbroken when it was totaled after a couple of years by a drunk who blew through a stop sign (T-boned). Great times, great memories!@@Rashaadthegr8
Since the MOST expensive car I ever bought was $3500, NOT $35,000, I figure if I do something stupid and have a wreck that's MY fault, I'll just chalk it up to a "carelessness tax", go buy another car, and BE MORE CAREFUL!!!@@aolvaar8792
lol the guys kelly bluebook number was too low becasue he was the onyl honest person about its condition LMAO, people have used vehicles and want kellys off the lot price...
Jeeps aren’t even great cars aside from the wranglers looking nice. Nevertheless it’s just a transportation device, why ppl are willing to get in debt for it is beyond me.
wow imagine paying that much for an effing jeep and a renegade at that😅. just expect to drop a new transmission and to live in a local repair shop most of the time
I bought a new car ( Honda CRV-EXL) in 2012. I traded in my older CRV. I regretted this purchase almost immediately but the car value went down as soon as I left the dealer. I scrimped & paid the car off in 2 years. Now I have an 11 year old car that I love and would not trade or sell trade for anything. But, 2 car loans ? That makes me very worried.
@@Dreamer-by4nk How is that a waste? Even with my credit card I know I will pay interest on charges.... But I knew that from the beginning so no issue.
Those two combined he is far from upside down. Unless the Jeep is damaged he will come out on top. Sell the Jeep first. That will cover any negative equity on the VW.
$60k in car debt $60k going down in value How much is his household income? How much does he have in savings and investment? How To Buy A Car; Never buy a car you don’t have the cash in the bank to pay the car off (incase of a health crisis) • If you must finance a car ALWAYS put 50% down payment. • If you must finance a car ALWAYS plan to pay it of in 18 months
@@aolvaar8792 They are converting cash into something that looses value. In their financial situation (other debt, current income, loss of husband’s income) it is putting them in “reverse”. This couple is starring at retirement with very little sources of income. But we all have our wealth creation strategies Do what works for you.
@@scroogemcduckismyspiritanimal no sir. I am giving options and alternatives. That force people to spend within their means. Option 1: buy a car and pay cash. It’s a painfully obvious reality. Option 2: If you cant pay 100%, put 50% down payment and finance the purchase for no longer than 18 months. Either option FORCES folks to buy cars within their budget. I guarantee you most people driving $40k cars could not put $20k down and pay the car off in 18 months. So they must buy a car that fit’s their true financial status. Not pretend they are rich.
Because for most people, cars are a necessity. And if they don't have any cash in the bank, which most don't, they end up with a car payment. It's just poor planning and not paying attention to your finances.
Because people don't know how to save money. They get 20 bucks in their wallet and it's spent. Saving up for any length of time is beyond the attention span of most consumers.
@@vickieclark5931 If they don't have the cash they have to buy a car with a loan..... Have to have something to exchange and I would say about 50% of the population still thinks 30K is a lot of money so how else are people supposed to buy items that cost 30K +? A loan is literally the only way many can afford items that cost more than just a few thousand dollars.
The advice he gives about talking to a credit union manager doesn’t work. My family member is a manager at a credit union and they do not do stuff like that anymore.
He made horrendous car choices in 2019 Think about it 2020-2022 was The highest car market bubble meaning anyone buying prior "would've" made profit. However this guy is still 30% in the hole wth...
Financing two cars when you know you cannot afford to does not make much case for living in the real world either. Of course, you ignore that fact because you want to have a problem with Dave's method for some reason.
Actually, I haven’t seen a used car under $20,000 lately. So many people didn’t drive during Covid that a lot of cars have very low mileage and so the dealerships are not really discounting them at all.
@@jimmymcgill6778 Again you are ignorant. Many cars can be had for 1K to 2500 that will run and drive. You just don't understand how to find them....still ignorant....
The average person is retarded in more ways then one. Finances is just one of the more popular smooth brain failures. Sounds harsh, but people are so short sighted, it's a wonder they don't walk face first into doors.
Far too many of them cannot think for themselves and have been conditioned (think Pavlov's dogs) to believe they deserve what they cannot afford. It's sickening.
Debt Culture has been normalized. It’s a well organized system. Parents here better teach their kids early. • Delayed gratification and financial discipline is very rare. • Car dealerships and banks look at you differently if you want to pay cash for big ticket items. Paid cash $4500 for my last car. The bank manager asked me why I was pulling out so much money? I told her. She asked if I was “okay”😂😂. Same deal at the car lot. I told the salesman I would pay cash for the car I wanted. If they didn’t come down to my price right now I would leave. Show them the bulge in my pocket and stated my price. The salesman took me into the office. Brought in the manager. They treated me like I was a drug dealer. Verified with the bank I withdrew the money from etc. • Had me sign documents about anti money laundering laws. • I have never paid in physical cash again. But still avoid debt • The whole economy is built on debt. • Including the Federal government. • The Federal budget is passed knowing full well they are running a deficit. I learned my lesson after 2 foreclosures and a Repossession 😂😂😂. I’m a slow learner. The Average millionaire think’s and spends differently.
30% deprecation in a 4 year old car is not unheard of. That is normal. All cars you would be upside down on. Within the first year, you will owe more then it is worth. That is normal. Should have asked about his other debt, and his income. This was bad advice, without knowing anything else.
Thanks to Dave we purchased last two cars for cash and it has been the most liberating feeling. Thank you for all you do!
Seems to me, having watched literally hundreds of these calls, that cars and/or student loans are the messes that folks usually get themselves into. Got it.
Dave is off by $5000 as there is no such thing as a $1,000 car that will reliably get you to work and home unless you get one from a Grand parent.
February of 2017: I paid $600 cash on the spot for a 2001 Saturn L200.
Immaculate.
Retired sellers.
It lasted me til March 2023 with no maintenance.
6 years…..$100/ year.
Ya gotta be The Hustler to find the deals…..like I do.
Dave's magical $1000 cars.
You are right. You can’t even find a broken car for $1000. These deals are not a thing anymore. You can maybe come up with a 15 year old corolla for around $3500-$4000. Anything less than that will likely give you massive expensive headaches.
Paid 800 for a miata and put maybe 300 into it for tires and fluids
@lucaslevonmusiccars are coming down in price right now.
Especially get rid of the Renegade!!! Those things come into the shop regularly to have the engine replaced after as little as 30k miles.
The VW goes straight to the scrap yard
@@alinatamashevich3354 😂
New cars gives you the feel good lemonade.
Sending money you don’t have to impress people you don’t like.
I must say Dave's advice is on point. However, I don't believe the caller is going to get rid of those cars. Both those cars being bought new in 2019 tells me alot about what the motive was for obtaining them in the first place. That "motive" needs to be fixed first, then everything will fall into place. He's not giving up those cars and actually approached Dave to potentially find some magical solution to solve his debt issue without getting rid of those cars. I buy older (10+ yrs) Japanese cars in cash, but ones that is in very good shape and have evidently been well looked after by previous owners. This strategy has worked well with my wealth building journey even when I was hit with unforeseen financial challenges such as job losses, reduced income, etc, that we all are at risk of from time-to-time.
I'll gladly go to one meal a day before I ever go into debt again after paying off my car, my system can't handle the stress of owing someone.
@Bidenlost2020 I now only use cc's for gas for the business vehicle...easy to keep track of at the end of the year what spent on. Also, for stuff that I do in the house (like redoing the lighting as I did recently). But yeah, cash. If i don't have enough cash to buy, I don't need it. It's a very freeing way to live.
I love this Show 🙌
people like him who buy to much car is what makes someone like me able to buy a newish car for cheap
That's what I do, with cash.
And then complain about life being unfair and asking for the government to intervene!!!
@@mannyjeanpierre4062 Taxpayers shouldn't have to pay for people's stupid decisions. We made some stupid decisions in our young and stupid days, but we fixed them ourselves.
True that. But by cheap do you mean cheap cheap like project cars or moderately cheap $5k - $10k cars? I bought mine for $9k and it had 45k miles, drives great.
*too
He owes 30K on a jeep renegade? Yikes. I didn't know those even cost 30K new.
Omg. Jeep anything these days are now up to and around 60g's for a new one. My last car in 2008 was 18g's. I put no money down and just took a three-year loan out with zero interest. That was the last car I borrowed to buy. Now, I just have to keep that and the other one going because no way can I justify buying a new car or a used car.
Lets go James, you can get this done!
I agree that car debt is stupid. But so is having 15k debt and no car. Need to make better buying decisions
True but he will be "debt free" faster after paying off 15K and then he can start making better decisions
@lucaslevonmusicexpensive mistake.
Not only is he bad at financial transactions, he chose crappy cars.
For real. Dug that hole even deeper. Renegades are so ugly too.
Bingo! No Toyota no Honda. Big problem
You can't give values of used cars without knowing the mileage, Dave.
And conditions of the car..
Dave is good for a general overview of the situation not always good for little details
nitpicking general, blanket advice that is already going to put someone in a better financial situation is pretty retarded. but congrats on getting 20 likes
@@austintomkewitz3981 He knows debt when he smells it
A vw and jeep Renegade do lose value incredibly fast 5 years later they are only worth about 40% of the new sticker
Yes, and they are incredibly unreliable vehicles made very cheap.
I’m curious how four years later he still owes about 30,000 on each.
@@latsnojokelee6434 specially when they are worth about 15k together
@@latsnojokelee6434 could likely be warranties he bought which should be prorated or he’s calculating how much he owes with interest included OR he got a shitty interest rate when he initially purchased.
@@latsnojokelee6434probably paid way over sticker on them.
I really think vehicle loans set the majority of people back financially, it took me a while to figure that out
My last car I bought brand new with a car loan was over 15 years ago. It was 0% for three years. They don't do that anymore. In fact, I don't even think they 'let' you take loans out under 5 year agreements. So yeah, it would seem they force that situation. Either that or lease. I know someone who keeps leasing cars so he can drive a fancy car that he otherwise cannot afford. The car companies have figured out how to screw us all.
I've been driving / a car owner since I was 16 years old (49 years). I have NEVER bought a car that I had to borrow to buy it. I'm pretty much the LAST owner of any vehicle before the scrap yard! I have to say, though- never having made a car payment (OR shelling out for the MANDATORY, EXPENSIVE full-coverage collision insurance when you borrow) has felt mighty good!
How much was your first car and who bought it?
When I put $35K cash on a used car,
I get full-coverage collision insurance.
@@aolvaar8792 $35K car are u a millionaire or careless?
It was a 1967 Mustang, $750.00 worth of my paper route money. I LOVED that car! I actually made the purchase 3 days before I could take my license test. Back in 1974, people under 18 could OWN cars without some BS like having it in my parents name! Back then you could get your learner's permit on your 16th birthday, then 30 days later take your road test. Then VIOLA! You were a 100% full-fledged driver! I feel so sorry for kids today & all the intrusive, bureaucratic govt. horse shit they have to put up with. I was heartbroken when it was totaled after a couple of years by a drunk who blew through a stop sign (T-boned).
Great times, great memories!@@Rashaadthegr8
Since the MOST expensive car I ever bought was $3500, NOT $35,000, I figure if I do something stupid and have a wreck that's MY fault, I'll just chalk it up to a "carelessness tax", go buy another car, and BE MORE CAREFUL!!!@@aolvaar8792
lol the guys kelly bluebook number was too low becasue he was the onyl honest person about its condition LMAO, people have used vehicles and want kellys off the lot price...
Jeeps aren’t even great cars aside from the wranglers looking nice. Nevertheless it’s just a transportation device, why ppl are willing to get in debt for it is beyond me.
wow imagine paying that much for an effing jeep and a renegade at that😅. just expect to drop a new transmission and to live in a local repair shop most of the time
I can imagine that managers face as this dude is pitchin' thise offer to him 🤣🤣💀
Dave Ramsay,legend
I bought a new car ( Honda CRV-EXL) in 2012. I traded in my older CRV. I regretted this purchase almost immediately but the car value went down as soon as I left the dealer. I scrimped & paid the car off in 2 years. Now I have an 11 year old car that I love and would not trade or sell trade for anything. But, 2 car loans ? That makes me very worried.
2019 car that is 30k, and still owes 30k 4 years later?
I had the Exact same question.
Maybe they weren’t able to keep up with payment during Covid
Paying on the interest. What a waste.
@@Dreamer-by4nk How is that a waste? Even with my credit card I know I will pay interest on charges.... But I knew that from the beginning so no issue.
Those two combined he is far from upside down. Unless the Jeep is damaged he will come out on top. Sell the Jeep first. That will cover any negative equity on the VW.
How does one owe 30k each on 4 yr old vehicles? 🤔🤔🤔
I can only guess that he may have refinanced them to cash out previous equity in them.
Go get a hoopty that's a ridiculous amount of debt especially for cars
*If you have to go in debt for a car, you're buying a car you can't afford.*
$60k in car debt
$60k going down in value
How much is his household income?
How much does he have in savings and investment?
How To Buy A Car;
Never buy a car you don’t have the cash in the bank to pay the car off (incase of a health crisis)
• If you must finance a car ALWAYS put 50% down payment.
• If you must finance a car ALWAYS plan to pay it of in 18 months
Rule number 2 and rule number 3 break rule number 1
Gotta pick a lane and stay in it or you'll never finish
Why, Why, Why?
If you buy with 0% interest.
$50K today or $1000/mo
@@aolvaar8792 1000 a month?!?
WHAT ON EARTH
Who needs that much car???
@@aolvaar8792
They are converting cash into something that looses value.
In their financial situation (other debt, current income, loss of husband’s income) it is putting them in “reverse”.
This couple is starring at retirement with very little sources of income.
But we all have our wealth creation strategies
Do what works for you.
@@scroogemcduckismyspiritanimal no sir. I am giving options and alternatives. That force people to spend within their means.
Option 1: buy a car and pay cash. It’s a painfully obvious reality.
Option 2: If you cant pay 100%, put 50% down payment and finance the purchase for no longer than 18 months.
Either option FORCES folks to buy cars within their budget.
I guarantee you most people driving $40k cars could not put $20k down and pay the car off in 18 months.
So they must buy a car that fit’s their true financial status. Not pretend they are rich.
The art of bargaining down a loan - respect. Although trying to talking down the price of a car is more fun to a sales person at a dealership.
A jeep renegade? Get rid of that junk
😂😂😂
ASAP! too
Why buy two cars, which depreciate the second you drive them off the dealers' lots?
Why do people take out loans for cars? Its absolutely insane. Cars are depreciating assets
Because for most people, cars are a necessity. And if they don't have any cash in the bank, which most don't, they end up with a car payment. It's just poor planning and not paying attention to your finances.
A second component is new car fever from all the advertising and brainwashing.
Because people don't know how to save money. They get 20 bucks in their wallet and it's spent. Saving up for any length of time is beyond the attention span of most consumers.
They make it look good. Monthly payments often shown as weekly amounts and people aren't educated on the interest.
@@vickieclark5931 If they don't have the cash they have to buy a car with a loan..... Have to have something to exchange and I would say about 50% of the population still thinks 30K is a lot of money so how else are people supposed to buy items that cost 30K +? A loan is literally the only way many can afford items that cost more than just a few thousand dollars.
Ken - love the Michigan shirt
Why are people so obsessed with having car debt? These people literally had paid off cars. I just don't get it
10 year warranty on the NEW car.
A 3 year old on the used, none.
To change the headlamp bulbs in my car is ~$600.
@@lacidrainl5192 nothing wrong with a SENSIBLE upgrade, but it's stupid to willingly take on cars this ridiculous and go back in debt.
@@aolvaar8792 That’s why I don’t buy new cars. I can change my headlight bulbs $20 in about 5 minutes.
My 2005 car has a bumper sticker that says "my other car is a fully funded HSA, Roth IRA, and ESA, and almost 401(k)."
@@lacidrainl5192 Yikes... that's terrible! How foolish!
I ride a bicycle
Bro a keep renegade for 30k!?!? What 🤦🏻♂️
Insure it, hope and pray it catches on fire
lit ep
I would rather drive a beater than a tiguan and renegade. 😂😂😂
Go dave!
The advice he gives about talking to a credit union manager doesn’t work. My family member is a manager at a credit union and they do not do stuff like that anymore.
So your family member works at this guys credit union? How cool.
He made horrendous car choices in 2019
Think about it 2020-2022 was The highest car market bubble meaning anyone buying prior "would've" made profit. However this guy is still 30% in the hole wth...
The VW should have decent vale, the Jeep won't be worth anything.
30k+ on a renegade???? Ugh a bicycle wouldve been better. Yikes
$30k owed on a Renegade? Geez
Who pays over 20k on a brand new jeep. Y’all must be smoking. A jeep 🤦♂️
20!? Have you priced them lately? Most are 50 to 60k
@@grantv2313 60k on a jeep. 😯. That’s sad.
Ken the used car salesman back at it again
Ken Coleman is a textbook goober
Jeeps are so cheaply built and are horrible vehicles. Hope this guy gets out of this mess.
Good thing he didn't call in saying he had student loans! Dave would've ripped him a new one : )
Dave is way way wrong. A tiguan and that jeep are 2 of the worst cars to own. They lose a ton of value because they're a piece of crao
All cars are pieces of crap.
Does Ken or any cohost ever get to speak? Ladies find someone who loves you like Dave Ramsey loves Dave Ramsey
Rachel and Jade get a lot of time even when hosting with Dave.
It's his empire and he speaks when he wants to speak.. you just take notes.
@@semosancus5506 Hmmm... Rachel gets talked over plenty of times & just stays quiet. Jade seems to have more talking time
Obviously this guy doesn't watch Scotty Kilmer.
Endless money pits!
Dave have to start living in the real world. 1k cars does not exist. If you can find them, they will cost thousands to even make drivable.
5k plus 1k reserve to get it set up seems to be the sweet spot in my recent experience (southeast us, 3 cars)
Financing two cars when you know you cannot afford to does not make much case for living in the real world either. Of course, you ignore that fact because you want to have a problem with Dave's method for some reason.
Actually, I haven’t seen a used car under $20,000 lately. So many people didn’t drive during Covid that a lot of cars have very low mileage and so the dealerships are not really discounting them at all.
@@user-ex2yt1pl6u He never asked about income. So we don't know if he can't afford them.
@@jimmymcgill6778 Again you are ignorant. Many cars can be had for 1K to 2500 that will run and drive. You just don't understand how to find them....still ignorant....
✝️🙏
This guy has no clue what he's doing. He shouldn't be buying cars, except used with cash.
I literally have not seen a thousand dollars car in this day and age
what is it with yanks and having their life on credit?
The average person is retarded in more ways then one. Finances is just one of the more popular smooth brain failures. Sounds harsh, but people are so short sighted, it's a wonder they don't walk face first into doors.
Far too many of them cannot think for themselves and have been conditioned (think Pavlov's dogs) to believe they deserve what they cannot afford. It's sickening.
Apparently half the people in usa die in debt,
Debt Culture has been normalized. It’s a well organized system. Parents here better teach their kids early.
• Delayed gratification and financial discipline is very rare.
• Car dealerships and banks look at you differently if you want to pay cash for big ticket items. Paid cash $4500 for my last car. The bank manager asked me why I was pulling out so much money? I told her. She asked if I was “okay”😂😂. Same deal at the car lot. I told the salesman I would pay cash for the car I wanted. If they didn’t come down to my price right now I would leave. Show them the bulge in my pocket and stated my price. The salesman took me into the office. Brought in the manager. They treated me like I was a drug dealer. Verified with the bank I withdrew the money from etc.
• Had me sign documents about anti money laundering laws.
• I have never paid in physical cash again. But still avoid debt
• The whole economy is built on debt.
• Including the Federal government.
• The Federal budget is passed knowing full well they are running a deficit.
I learned my lesson after 2 foreclosures and a Repossession 😂😂😂. I’m a slow learner.
The Average millionaire think’s and spends differently.
Yanks are a baseball team. That’s it bro
Both crap cars that hold value like a rock lol
30% deprecation in a 4 year old car is not unheard of. That is normal.
All cars you would be upside down on. Within the first year, you will owe more then it is worth. That is normal.
Should have asked about his other debt, and his income.
This was bad advice, without knowing anything else.
Except for Subaru. They purposely don’t flood the market so there’s always a pretty good resale on them.
@@latsnojokelee6434 And I dare say a Lexus! Jimmy is a bone head thinking all cars are like his.
@Jimmy, once again your listening skills have failed you! Guy said he was drowning in debt, no need to know anything else. Plus he has 2 POS cars.
Dave pisses me off every time i hear him.
Yanks are a baseball team bro.stop with the crap
It's easier just to drive off a cliff
Kbb is so inaccurate.
A $5k car Dave. A $1k car is a money pit