George, I just wanted to share that my wife and I paid off our house on Thursday and got the confirmation from our mortgage lender yesterday that we are done. We are now 100% out of debt and plan to stay that way. Thank you and the rest of the Ramsey team on promoting financial literacy!
I wondered about that because when I've seen Graham in a video with other people, he comes off as rather shorter than average (I think 5'8" is average for a man.)
We were committed and doing Ramsey. We transferred to 0% interest and got to work paying things down. It allowed us to tackle our other debts without the stress of high interest racking up on at least one card.
For the first one, I agree with Graham. It really depends why you had the cc in the first place. Ours was a medical emergency. We were able to transfer that money to a 0 % interest card and then we paid it off.
And people in Ramsey group baby people and be like debt is bad credit card are bad and baby them rather than teach how to leverage it and the benefits also behind credit cards and other things
Well majority of us not broke or learned how to get out of it. Everyone telling everyone what to do but not how or why to do it. No one teaching just telling
I disagree Ibthink Dave teaches them stupid unbreakable rules like a cult instead of treating them like adults and explaining the reasons why this sub-optimal financial approach may work better for some peoples psychology. Even though from a purely financial perspective alternative A is the best course of action. They actually give empirically bad financial advice which contributes to the poor financial literacy of the general population.
America is presently besieged by the hydra-headed evil combo of inflation and recession. The worst aspect about this crisis is that consumers are piling up credit card debt. Credit card debt increased by 20% in April alone, while interest rates have doubled in a year. Inflation is so severe that customers are essentially going into debt to buy basic essentials. The collapse has certainly begun.
Every day, we face a new challenge. It has become the new normal. We felt it was a catastrophe at first, but now we know it's a new normal to which we must adjust. This year will be a year of great economic suffering across the country. What initiatives can we take to earn additional revenue during the period of quantitative adjustment? I can't afford for my hard-earned $200k to fall to dust.
More reason I enjoy my day to day market decisions is that i'm being guided by a portfolio-coach, seeing that their entire skillset is built around going long and short at the same time, both employing profit-oriented strategy and laying off risk as a hedge against the inevitable downtrends, coupled with the exclusive information/analysis, it's quite impossible not to
Thank you very much. I just checked her out on google and wrote her an email. I'm hoping she responds soon. I've been thinking about doing this for a long time, and I've already procrastinated enough.
Caleb is too far up his own a$$. He looks down on everyone related to Ramsey, and considers himself the ONLY finance expert worth anything (Despite the fact that he’s only been doing this for like 3 years max while Dave has been doing it for over three DECADES)
The student loan part hit me below the belt. I'm 37 and just made my final $1,400 student loan payment, now I start saving for a house in Boston (aka never buy a house in Boston)
What's your yearly take home? I highly recommend waiting on the house til you're in a good spot as maintenance costs can be quite high. This was something I didn't really see before until I owned myself and even though my house went up I can't easily tap (nor desire to) into that positive equity.
@@Jcon1 brother why Boston though? Surely for the money you could find a smaller town for a 1/4th of the cost to move to. Damn like for the same price of a $950k house. You can buy 3 houses here in Florida and bring your friends and family with you lol
Transferring from a crazy interest card to a zero percent card has helped me pay it off. However I did cut up the high interest card while paying off the zero card.. It changed my mindset from "welp because the interest I'm never goin to pay it off" to finally I don't have to pay so much to the bank every month and that gave me hope.
"if your disciplined you can consolidate your debt and pay it off" well it turns out if your disciplined from the start you wouldn't have any debt problem.
George makes one of his best points when he says that unless people are incentivized to do the right thing, discipline is hard to come by. Sometimes even when it is well incentivized, people still falter. I don't think everyone is that way, but as a whole, we as a people are definitely getting worse. There's more and more temptation in the world I suppose.
"If you're incentivised to do the right thing." Here's the thing, you are incentivised to do the right thing in this case. That's why it's the right thing, because you get more money if you do it. The problem is that people aren't incentivised RIGHT NOW by doing the right thing.
Yeah it’s definitely a problem of delayed gratification. Obviously there’s incentive to pay off your cards/debt and have no minimum payments or money lost to interest, but people have to wait sometimes years for that and don’t want to wait where as they can be incentivized for a purchase such as cash back
TLDR: If you suck with money and have no discipline, follow Dave Ramsey. If you’re a financial mutant, follow people who actually show you the fastest way to reach your goals. On the other hand, if you have credit card debt, you probably fall into the first group so stick with Dave.
There are 2 types of people: 1) Credit card people and 2) NOT CREDIT card people. If you are not paying off your credit card 100% each month AND have enough for a second month of expenses in the bank (aka, a reserve) then you fall into that #2 NOT credit card category. Sitting "in credit card debt" is different than using a credit card and having it AUTO PAY 100% of the outstanding balance. If you are paying off debt like a gazelle, then it's not bad to roll debt into 0% for 18 months and pay MORE of that towards debt.
I had some emergency happen early in my life which put me in credit card debt. Basically it was my life line and balance transfers saved me tonnes of money.
This! It’s not all about self control! In my case it was dental bills that got put on a credit card when I was in my early 20s and super broke (trying to get my first job out of college). When they said “Do you want teeth?” I said yes, please. I didn’t have family that could help, I just dealt with the debt. I wish I knew about balance transfers!
Ok, some people definitely overdraft their checking account, so I don't think we're $0 in debit card debt. It's less likely then with a credit card, but not impossible.
One great way to stay out of CC debt is to have a card with a low limit set to autopay. To game the credit score system, have one card with a high limit and just put the Netflix on it, also set to autopay.
Graham made the proper human behavior caveat while giving credit to the credit card balance transfer idea in his example, and I didn't hear a new argument from you on this video. Everything else was great and good fun as always. Cheers!
i hate it when people say "if this , if that , if they....." when talking about paying down debt with other credit cards - - - - - im not into ifs ... "if" you were clever with money and debt , we would not be having this conversation ... i look at the probable , not the possible , when it comes to human behavior
Everything is ultimately an "if". Dave Ramsey's plan works IF you follow it. The debt snowball plan makes sense IF you are motivated by emotion rather than math. The debt avalanche method makes more sense IF you are mathematically driven and not dissuaded by sitting on 12 debts for their entirety rather than knocking them out 1 by 1 to feel good about making progress. There is a good kernel of truth to the fact that the people who get into credit card debt are probably not savvy enough to properly take advantage of a balance transfer promo period (there is a reason they offer them) to pay it off faster and may revert to bad habits, but also IF you have had your come to jesus moment about your finances it's just another tool to you can utilize.
When someone wakes up and makes a fundamental change the math works. Graham is right. I know you don't do math getting in to debt. But if someone really wants to get out, the math can help.
@@mattnemeth1333 it doesnt need to be profound to make sense ... and its ok if you dont understand that history is the best way to predict the future when it comes to people's habits with money ... common sense isnt for everyone
Who remembers the times Graham Stephan used to give a platform to known scammers by doing interviews with them to hype them, thereby giving them more creditability to keep scamming more people? I DO!
I did what they said about college. I didn’t know what I wanted to do so I didn’t go. Now at 43, I know what I want to do, and Uber is paying my scholarship, so I’m going debt free! I’ll hopefully be able to cash flow once I need to get a master’s degree, and get scholarships. I need a degree for my chosen field (mental health therapist), but I refuse to go into debt for it!
I played the 0% credit card game and I kept it reasonable and saved money, because now I'm debt free and even paid off my mortgage too... But that is the big thing you have to have self control, and set yourself to make sure you pay it off before the interest hits... the transfer fee can be cheaper then the interest charged over time.. Again, it's being mature and showing self control..
Okay so we're talking about two very different kinds of debt with Graham Stephan and Dave Ramsey here. Dave's channel focuses on paying off consumer debt which I 100% agree with. Real estate is completely different and is backed by an actual asset that can be used to make more money. Dave took on short term real estate loans and not traditional 30 year fixed rate loans. Most people need to take on a mortgage to buy a house which is a secured form of debt. I agree, don't go into debt to buy cars, take vacations or school loans. However telling people to pay for a house in cash is crazy today. I believe in taking on loans for real estate, so that you can rent it out for profit. There's nothing wrong with that as a business model as long as you have a 20% down payment, cash reserves and you're not over leveraged. Dave and Graham are speaking to two different audiences. Dave's audience has a credit card and student loan problem, not an "I want to invest in real estate," problem. I see no reason why these two lines of thought have to be mutually exclusive. If you have $100k in a car loan, student loan and credit cards you should not be buying a house full stop. I completely agree there.
I was the type of people that Graham mentioned. Having a credit card for the extra checked luggage & access to airport lounge, and I put money into the account so I used it just like a debit card. But then the credit card company, this multinational bank from New York (the "C" one), decided to stop their consumer banking op in my country and left me without reimbursement of the money I had in my account (partially due to me living outside the country when the whole thing happened). Have been free of credit card since then and don't miss it that much.
Second, eating at home isn't cheaper! Can be if you just get 2 cans of beans!! For example 2, $6 pizza feeds my entire family, dinner and breakfast... Compare that to beef $10 a pound, you need like 3 pounds that's $30 dollars! Not to mention everything you need to cook a meal. Student loans are a scam.
They want the “rewards” at the cost of continued money manipulation and monopoly. But the worse part is, those insignificant earnings are being payed for(however indirectly) by the least responsible of us. There is always a price to pay for a service or earnings.
I understand the Ramsey guys emphasis on discipline, BUT......I feel like they refuse to acknowledge that if you are already in debt and now also have partner and kid, it is damn near impossible to make financial progress without sacrificing 95 percent of your home life. Not to mention enough sleep to be functional as an employee and dad and husband
@@andrewyoder88 short term sacrifice for long term gain though is the goal. Doing things out of order stinks, but you’re sacrificing 95% of home life for a couple of years so the next 15+ are amazing
I don’t think so mate. My wife and I have 5 kids. We buckled down for 3 years and now we are mortgage free and able to spend more time with them. We both had second jobs, we took any OT or second job money and put it towards debt. We also set a budget to live off of 1 salary. Now we can max the IRAs and the 401ks AND have enough money to do what we want during the month bc we don’t have a mortgage. Oh we also had two open heart surgeries and a stroke with a kid and cash flowed nursing school for myself which I went to while working two jobs…… buckle up, put on a helmet and plow thru it.
@WalkDisneyWorld that is great well done! Long story short in our situation, the cost of child care is higher than the take home pay in a lot of cases. Therefore our hands are tied for the time being.
Home cleaning business where you can take your kid with you. Yall can work together or separately and make double the pay. 30/hr is the going rate. Gamify it and make it fun. Find 2-3 families who want to use yall on the regular and they will let you do almost anything. I’d have her do that and I would do uber eats until I had enough saved up for some pressure washing equipment. I’d get quotes from multiple local companies to see what they would charge to pressure wash my house/ drive way, then I would advertise the crap out of my neighborhoods going door to door and undercut what they quoted by 10%. Also give a cash discount to people. Then offer my wife’s organizational/cleaning business services. I paid a guy 400 bucks to do my driveway and sidewalks. He has this bad ass equipment that allows him to complete the job in less than 4 hrs. And it is pretty easy work honestly…….. that or I would open a day care in my house and start watching other people’s kids and have my wife stay home From work……. You can do this. You just have to get creative. Don’t allow the crutch of child care to be your excuse. Bc then it will turn to “oh they have extra curriculars and I don’t want to take away from that”. And then the excuse morphs in to 10 years of procrastination
See here is the thing debt is a big psychological thing for a lot of people. It decreases their happiness, increases their stress and anxiety. However for some people it really doesn't esspecially if their debt level is relatively low compared to their networth. Debt also allows you to increase the compounding effect of your assets meaning in the long term you can have a much more comfortable life. Ramsey preaches ultra low risk which is fine but low risk comes with low returns. If you don't have a high income then moderate investment risk taking can improve your financial situation substantially over the long term.
I love how George’s videos are so funny and educational at the same time 🤣 Imagine all of our professors were like that; our world would be a lot different haha
I took a 30yr mortgage. When I finally was able to pay extra on it I did. Then when I inherited a small amount I paid it off. It's better if you are scraping by, with the lower payment. But if you can pay extra, do it!
15 year mortgages make you house poor most of the time. You need breathing room plus if your mortgage is below what rent would be it makes sense most of the time. No one wants to live in the ghettos. Would love to see an analysis of how much people need to make for 15 year mortgages in nice areas where we want to raise our families. You can always pay off your 30 year mortgage earlier. Most of the time 7 years early
@@mfin0446 I used to make 75k and bought a home at 250k and then one for 385k in wa state in one of three mor expensive counties. Take home pay is not the best at 75k in wa state so having been able to buy a 250k had me at 1500 dollars a month and the 385k home had me at 1900 dollars a month including taxes and insurance. The problem we have is the fact that people take a 30 year mortgage and then go out and get vehicle debt with a 600 -1000 dollar payment. Currently if you get a 500k home which in the same area you are looking at a 4k payment. That’s a lot and if it’s a 15 year mortgage is a lot more. I don’t know many people that take home over 100k to say that they aren’t spending over 40% of their take home on a house payment. With a 30 year mortgage disciplined you can still invest for your future and save. If you rent then that money is going out the window.
6:45 at the $10,000 example over a year, you will not save $2500, your average balance is going to be half the amount, or $5000 if you make 12 equal payments. So that is actually only $1250, and you paid about $200 to transfer. So you would save a little over $1000. Which is nothing to shake a stick at, but the faster you pay it off, the more you should just keep the debt where it is.
Lol what this made no sense if the debt is 10k and you transferred 10k at 25% that's 2500 subtract the fee and still over 2000. And if you're trying to say well most credit cards is 5k limit this and that isn't true and they used it as an example but then you used an example to negate there examine 😂. I have plenty of credit cards over 15,000 credit
@ no, because you don’t pay interest on the full amount for the full 12 months, every month the balance reduces by your payment. If you do 12 equal payments, it would be an average balance through the year of half of the original balance
@@JasonGroom so pay it off in a year literally the point 🤦 prior you would make payments and you're saving on the interest so now you're significantly lowering your interest payments even after the year you didn't pay off.... Lately you save over 2k because your debt isn't increased every single month on top of marking the minimum
@ the point is that if you are paying it off in 12 months either way, you do not save nearly as much as the time and effort involved in the transfer is worth, as what is being said in the video
We used the 0% transfer a couple of times, combining cards.... but we pulled a Dave & paid as much as we could to pay off before the time was up... By combining 2 small cards, even after transfer fees, did save money. It cut out 2 minimum payments & interest. We were able to pay on the debt itself...
you mean by paying 0% interest, all the money goes toward the debt so you can pay it off faster? what an interesting concept. what made you decide to do a balance transfer instead of...*checks video*...continuing to pay off debt with full interest because there is a one-time transfer fee?
@@lets-celebrviii Well, Life happened..We had cc balances, several thousand on each card. We Made up our minds to not use another cc...We were offered 0% for18 months. I called & ask the transfer fees, & minimum payment. Did the math, & realized we could pay close to the amount we were paying a little over the minimum on two cards on this one combined. As I Cleared a card, I called the company, told them i was too irresponsible to have a cc. They closed the accounts... I had to do this several times but we got Free!
I came up with this thing for college called "Tuition : Salary ratio". If the tuition cost of the degree is low compared to the base salary you'll have once you graduate, that's a good tuition:salary ratio. A Cybersecurity degree costs like $30k with NO grants or scholarships. But the salary you'll have with your first job out of college is like $150k. That's a GOOD ratio. Compared to something like an Art degree which costs the same amount but yields a salary of $0 straight out of college, that's literally an infinity:1 ratio - the worst case scenario. If the ratio is good, then a student loan isn't such a bad idea. I got my degree for $9k, and my first job out of college paid $60k. So I was able to pay off my loan entirely within 3 months of graduating. That was before the loan even had time to accrue interest, because there's usually a 6 month grace period.
That isn't actually true depending on the Arts degree it teaches a bunch of softcskills that actually increase your earning capacity substantially. Remember also most people with a degree also work in a field unrelated to their degree as well. So a well rounded education which is what an Arts degree is meant to deliver can have a much higher ROI than a specialist degree unless you planbto and are able to be employed in that field for your entire career.
So I currently have some debt consolidated and I haven’t spent on the card I transferred from and I’ll be credit card debt free in about a month. I changed my habits and then consolidated and saved thousands on interest. It’s definitely possibl
I don’t take Grant’s opinions in promoting to rent housing rather than buy because he is clearly demonstrating a conflict of interest since he built his wealth from real-estate rental properties. It is cheaper, but only in the short term. If you rent your whole life, you’ll never reach proper life independence. You’ll always be under the control of housing rules and a landlord.
You always are anyway. If it is cheaper in the short term deploy the excess cash saved to invest so when it becomes cheaper to buy you can use those resources to buy.
I use the indefinite debt transfer technique to invest. I don't don't got 20K laying around that isn't already invested so I take out a loan interest free and pay it off slowly. And transfer it again if I can't pay it off and the fee is less than the projected interest paid on the remaining balance if the grace period runs out. Compound interest baby! Leverage your debt to invest. If your ROR is way higher than the interest paid or some small fee and you can afford the risk and have discipline. This strategy works.
I have been using 0% balance transfers to knock my debt down while paying nothing in interest. I am down to one card with 10 months of 0% and a really big balance, but that’s all my debt outside the mortgage. I started with about $42k in consumer debt and am now at $15k and that will be destroyed by next summer
obviously you're doing it wrong and not addressing the spending behavior. you're just giving yourself a reason to spend more with 0% interest. instead, you should have just paid off your debt while paying full interest rates instead of transferring.
@ Except I have fully paid off credit cards, one of them with a $21k limit on it, and haven’t touched those cards in 3 years. It’s about being ready to pay them off, and not using them anymore. According to the logic you are using, someone would pay off their $2k credit card and a few months later they will be back to running it up again when they need new tires or some other moderate expense. It makes no difference if you consolidated or paid it with the interest. But consolidate the debt and save $300 a month per $8k owed on the card is the best way to go. If you are going to go back to running up those credit cards again, it doesn’t matter how you paid them off before does it?
@@barnabusdoyle4930 i apologize if the sarcasm in my post and mocking of george's reasons to not do a 0% balance transfer wasn't clear. great job on your progress.
I just finished paying off my last credit card today. Still have a smallish HELOC and a small mortgage. Salivating at paying off the HELOC within the next 90 days or sooner. Then paying off the house by my the age of 51.
i still dont understand how paying a one-time cc transfer fee is worse than paying monthly interest. "just pay off the credit card.". yes, that's goal but it can be done with 0% interest or 22% interest monthly. pretty sure 0%, even with a small fee, will cost less and pay it off faster.
I use my credit card for literally every purchase I make. Got $700 in cash back over the last year. I've paid $0.00 in interest since I got the card over 7 years ago. Works for me 🤷♂️ I also know I'm not the norm and wouldn't recommend anyone else do the same. Takes discipline.
My credit card company has also TRIED multiple times to get me to carry a balance by giving me promotional 9+ months of 0.8% interest. I accept it, but still pay that thing off like it isn't there.
Over spending is like a lot of 12-step programs. Go ahead and admit you have a problem, then "sin no more" but work through all your problems. It's a lot of work. I also like Graham and George/Dave, so I am keeping my eyes on what they're saying.
6:04 okay, listen I was the boat without a rudder at one point in my life. I always had a proclivity for saving and investing I just didn’t know any better. I was taught to use debt for things like car purchases, to keep a credit card for an emergency and other bad money habits. So to say, “if you were doing math you wouldn’t be in credit card debit” is to not fully understand human psychology. As soon as I learned better i went from nearly 200k in debit to millionaire in 7 years. I think it’s okay to say what graham said there. I used credit card offers like this to speed up the debt payoff phase and then I was out of the credit card balance business. Full disclosure though I do keep a credit card because I missed a mortgage payment once wait for my bank to unlock my money while the finished up a fraud investigation. Had to jump through hoops with the mortgage company to let them know why my payment was late. Not fun!
My former college roommate did the shuffle debt between zero rate credit cards and other tricks like that. I've been retired for a year, he's basically broke even though we both had well paying careers. I hope he was investing for retirement.
When we got our mortgage there was not much of a difference between the 15 and 30 year rate. So we got the 30 year for the lower payments, incase our financial situation ever changed. We have always paid extra. We have been in our home for 18 years. We have $47,000 left and I plan to pay it off within 4 years. Im not in a rush because our loan is 1.5% and the $47,000 is making me more being invested.
You can do some crazy stuff with credit cards! I opened a credit card with a 0% interest period. Instead of paying it off every month, I put it in a high yield savings and am earning 4.5% on $20k, and I’m gonna pay it off the month before it charges interest in February. This will net me over $1000 over the course of a single year. Not to mention the over $1000 in rewards I’ve already received from the credit card
@@maureenviola I got it just before Christmas and a very large vacation. My wife and I also bought a car and put the max allowable amount of the car purchase on the card in early January (We had the cash to pay for the car in cash). So by the middle of January, I had racked up $20k on the credit card with a limit of $25k and received somewhere around $500 in rewards. The rest of the year we continued to just pay the card down to $20k every month since, and let the $20k just sit in the bank account earning interest the entire year.
37 here, married with 3 kids, and I’ve never had a credit card. Fortunately in this situation, I suffer from “you don’t miss what you never had”, so I don’t see the need for a credit card. Also, in the words of Caleb Hammer, we would NOT be “credit card people” (like most of the population, and still mildly immature with our spending habits). But working ONLY with cash and debit, we live very much based in reality, “if we can/can’t afford something, then we can/can’t afford it.” Whatever it is. And that’s the end of that conversation. Makes life much less stressful, I bet.
@@bsheppyyy yea I call the 3% fee the “stupid tax fee” for getting oneself into that situation in the first place. If someone realizes the errors of their ways and can get themselves out of 28% interest by losing 3% upfront and attacking it , I’m all for it.
Hey love your stuff but I got into $22k of debt through no fault of my own. Zero. I was sued for something I had no control over. I have floated the debt from zero interest card to card until it was paid down. It absolutely made the pain less annoying. To say it feeds bad behavior is not a universal fact.
On the Uber eats segment. Eating in and preparing fresh meals is healthier. The amount of cheap seed oils and bad ingredients in fast food and many “nice” or “healthy” restaurants is terrible for you. Eating out is seriously not very good for your. Better to control your meal ingredients and know they are healthy for you.
I pay all consumer debt that has interest every month. I use zero interest deal like CareCredit for medical, dental, vision or hearing aids and pay it off before interest kicks in. I have been doing this for years. I am retired on a fixed income. Buy doing this I don’t dip into savings or my cash reserves for these expenses and they get paid from monthly income. I only take my RMD on retirement account so regardless of who pass first, me of my husband, we have that to make up for the reduction of Social Security income. We are 71 and 78. Edit: my use of credit cared gain me about $2000 a year in cash back plus things like free shipping and other rewards depending on the card.
There are very few degrees worth going into debt for. The only two I can really think of are Doctor and Lawyer. And if you are a Doctor it better not be pediatrician or you will never pay it back.
George, I just wanted to share that my wife and I paid off our house on Thursday and got the confirmation from our mortgage lender yesterday that we are done. We are now 100% out of debt and plan to stay that way. Thank you and the rest of the Ramsey team on promoting financial literacy!
Way to go!!
congrats!
bet that grass feels real nice ;)
🎉Congratulations 🎊
fantastic!!! We are on track to due the same by the end of January!! Cant wait!!!
Dad yelling to the back seat "can you two stop fighting NOW, I will pull this car over!"
Graham is 5’3, nice of you to lie for your friend though
George is 5’6”
I mean, welcome to the joke haha
I wondered about that because when I've seen Graham in a video with other people, he comes off as rather shorter than average (I think 5'8" is average for a man.)
Jokes are cool. But exaggerating heights in a financial video might not be the best way to go.
@@vchap01 ok but it was a joke. No one cares.
The “we don’t see eye to eye line because he’s 5’ 8” and I’m 5’ 10””went hard AF
That was nails 😂
Graham is not 5'8 lol during his boxing match he was listed at 5'6
@@ex0ticx0xhes helping out his boy
Bar 🔥
@@csv_mycent i doubt hes 5'5 either. He looks so fucking short that Michael Reeves (5'3) barely looked shorter than thim
We were committed and doing Ramsey. We transferred to 0% interest and got to work paying things down. It allowed us to tackle our other debts without the stress of high interest racking up on at least one card.
For the first one, I agree with Graham. It really depends why you had the cc in the first place. Ours was a medical emergency. We were able to transfer that money to a 0 % interest card and then we paid it off.
Graham gives the broke public waaaaaaay too much credit.
(No pun intended)
And people in Ramsey group baby people and be like debt is bad credit card are bad and baby them rather than teach how to leverage it and the benefits also behind credit cards and other things
Well majority of us not broke or learned how to get out of it. Everyone telling everyone what to do but not how or why to do it. No one teaching just telling
I disagree Ibthink Dave teaches them stupid unbreakable rules like a cult instead of treating them like adults and explaining the reasons why this sub-optimal financial approach may work better for some peoples psychology. Even though from a purely financial perspective alternative A is the best course of action. They actually give empirically bad financial advice which contributes to the poor financial literacy of the general population.
America is presently besieged by the hydra-headed evil combo of inflation and recession. The worst aspect about this crisis is that consumers are piling up credit card debt. Credit card debt increased by 20% in April alone, while interest rates have doubled in a year. Inflation is so severe that customers are essentially going into debt to buy basic essentials. The collapse has certainly begun.
Every day, we face a new challenge. It has become the new normal. We felt it was a catastrophe at first, but now we know it's a new normal to which we must adjust. This year will be a year of great economic suffering across the country. What initiatives can we take to earn additional revenue during the period of quantitative adjustment? I can't afford for my hard-earned $200k to fall to dust.
More reason I enjoy my day to day market decisions is that i'm being guided by a portfolio-coach, seeing that their entire skillset is built around going long and short at the same time, both employing profit-oriented strategy and laying off risk as a hedge against the inevitable downtrends, coupled with the exclusive information/analysis, it's quite impossible not to
Can you provide me the name of this coach? I've been researching advisers because I really need some guidance.
Her name is Melissa Terri Swayne can't divulge much. Most likely, the internet should have her basic info, you can research if you like
Thank you very much. I just checked her out on google and wrote her an email. I'm hoping she responds soon. I've been thinking about doing this for a long time, and I've already procrastinated enough.
Lmao you guys should just do a reaction video together , and then Dave reacts to it 🤣 Hopefully Caleb would react to it
Caleb having the LAST word... epic.
Good one
Caleb is too far up his own a$$. He looks down on everyone related to Ramsey, and considers himself the ONLY finance expert worth anything
(Despite the fact that he’s only been doing this for like 3 years max while Dave has been doing it for over three DECADES)
14:30, if arizona ice tea is selling for more than the .99, the store is price gouging. supposedly you can report the location to arizona ice tea.
Arizaona ice tea people seem like nice people.
Wrong I seen on the can itself 1.15
That’s only if it says 99c on the can. Some places buy it w/o so they can sell it for more or less. Walmart use to sell them for 79c
"I can't explain the Fall of Man in this video....have you seen the Taco Bell drive-thru at 11pm?" 🤣😂🤣😂🤣😂🤣🤣🌮
George and Graham. One of my favorite duos
What’s up George, it’s guys here! 😂
Not the first time it’s happened.😅
😂😂
That was funny! 😆
graham starts his videos this way.. well obviously with the name being graham, not george
I came to the comments to see if I heard that right! Glad I’m not alone 😂
The student loan part hit me below the belt. I'm 37 and just made my final $1,400 student loan payment, now I start saving for a house in Boston (aka never buy a house in Boston)
you can sell it for high price though
What's your yearly take home? I highly recommend waiting on the house til you're in a good spot as maintenance costs can be quite high. This was something I didn't really see before until I owned myself and even though my house went up I can't easily tap (nor desire to) into that positive equity.
The median listing price of homes in Boston are 950k....hope ur being funny
@@jimmyjay689 i wish I was being funny. The market in Boston and the surrounding area is insane
@@Jcon1 brother why Boston though? Surely for the money you could find a smaller town for a 1/4th of the cost to move to.
Damn like for the same price of a $950k house. You can buy 3 houses here in Florida and bring your friends and family with you lol
Transferring from a crazy interest card to a zero percent card has helped me pay it off. However I did cut up the high interest card while paying off the zero card.. It changed my mindset from "welp because the interest I'm never goin to pay it off" to finally I don't have to pay so much to the bank every month and that gave me hope.
Today is the first day that I am officially debt free, including a my house is paid off. Now I have to make sure I stay that way.
Congrats keep going at it. Its so worth the work.
i hope George gets to 500k next year!!!
"if your disciplined you can consolidate your debt and pay it off" well it turns out if your disciplined from the start you wouldn't have any debt problem.
You’re
Facts
You understand people can improve themselves and develop better habits, yes?
Well just because you weren't at one point doesn't you didn't learn from it
You assume the debt didn't result from some life threatening medical emergency rather than mindless consumerism.
Ok that height joke was kinda savage ngl 😂
This is just incredibly fun to watch 🤣 Big fan of both George and Graham.
5’10”? Boy math 😉
This is basically a reaction video to a reaction video to another reaction video reacting to tik tok clips 😂😂😂
Monetizing!!!!
Reactception. I’ve got an entire playlist of people reacting to people that reacted to them.
There is so much going on here lol
George makes one of his best points when he says that unless people are incentivized to do the right thing, discipline is hard to come by. Sometimes even when it is well incentivized, people still falter. I don't think everyone is that way, but as a whole, we as a people are definitely getting worse. There's more and more temptation in the world I suppose.
"If you're incentivised to do the right thing." Here's the thing, you are incentivised to do the right thing in this case. That's why it's the right thing, because you get more money if you do it. The problem is that people aren't incentivised RIGHT NOW by doing the right thing.
Yeah it’s definitely a problem of delayed gratification. Obviously there’s incentive to pay off your cards/debt and have no minimum payments or money lost to interest, but people have to wait sometimes years for that and don’t want to wait where as they can be incentivized for a purchase such as cash back
I was taught to treat a credit card like a debit card. I always pay it off and I have more protection than I would with a debit card.
Regulation E protects both against fraud liability 🩷
"Hey George, it's guys" 😂😂😂
😅😅
Graham starts his videos that way intentionally. He is just referencing it
12:40 lmao him pausing actually made me check my YT cause I thought I paused it on accident😂😂
I gotta go with George on this one. I just want to be out of debt and not give myself anymore excuses.
TLDR: If you suck with money and have no discipline, follow Dave Ramsey. If you’re a financial mutant, follow people who actually show you the fastest way to reach your goals. On the other hand, if you have credit card debt, you probably fall into the first group so stick with Dave.
There are 2 types of people: 1) Credit card people and 2) NOT CREDIT card people. If you are not paying off your credit card 100% each month AND have enough for a second month of expenses in the bank (aka, a reserve) then you fall into that #2 NOT credit card category. Sitting "in credit card debt" is different than using a credit card and having it AUTO PAY 100% of the outstanding balance. If you are paying off debt like a gazelle, then it's not bad to roll debt into 0% for 18 months and pay MORE of that towards debt.
We need a Celebrity Deathmatch episode with George and Graham. Alright, I want a good clean fight....LET'S GET IT ON! 😂
Funny cus Graham fought youtuber Michael Reeves and he looked so short
I had some emergency happen early in my life which put me in credit card debt. Basically it was my life line and balance transfers saved me tonnes of money.
This! It’s not all about self control! In my case it was dental bills that got put on a credit card when I was in my early 20s and super broke (trying to get my first job out of college). When they said “Do you want teeth?” I said yes, please. I didn’t have family that could help, I just dealt with the debt. I wish I knew about balance transfers!
Ok, some people definitely overdraft their checking account, so I don't think we're $0 in debit card debt. It's less likely then with a credit card, but not impossible.
I known plenty that has
One great way to stay out of CC debt is to have a card with a low limit set to autopay.
To game the credit score system, have one card with a high limit and just put the Netflix on it, also set to autopay.
Graham made the proper human behavior caveat while giving credit to the credit card balance transfer idea in his example, and I didn't hear a new argument from you on this video. Everything else was great and good fun as always. Cheers!
i hate it when people say "if this , if that , if they....." when talking about paying down debt with other credit cards - - - - - im not into ifs ... "if" you were clever with money and debt , we would not be having this conversation ... i look at the probable , not the possible , when it comes to human behavior
If IS the probable.
Everything is ultimately an "if". Dave Ramsey's plan works IF you follow it. The debt snowball plan makes sense IF you are motivated by emotion rather than math. The debt avalanche method makes more sense IF you are mathematically driven and not dissuaded by sitting on 12 debts for their entirety rather than knocking them out 1 by 1 to feel good about making progress.
There is a good kernel of truth to the fact that the people who get into credit card debt are probably not savvy enough to properly take advantage of a balance transfer promo period (there is a reason they offer them) to pay it off faster and may revert to bad habits, but also IF you have had your come to jesus moment about your finances it's just another tool to you can utilize.
Well I hate when people say something that doesn't make any sense and think its profound 🗿
When someone wakes up and makes a fundamental change the math works. Graham is right. I know you don't do math getting in to debt. But if someone really wants to get out, the math can help.
@@mattnemeth1333 it doesnt need to be profound to make sense ... and its ok if you dont understand that history is the best way to predict the future when it comes to people's habits with money ... common sense isnt for everyone
Who remembers the times Graham Stephan used to give a platform to known scammers by doing interviews with them to hype them, thereby giving them more creditability to keep scamming more people? I DO!
A 5’10 guy casually flexing his height on a 5’8 guy is something I did NOT know I needed today. Well done George.
It's a joke because George is actually 5.6".
@@mrgeorgeburdell and Graham is 5'3"
@@mrgeorgeburdell I remember him saying that in previous videos now. Didn’t catch that LOL
Gotta do it when you can
@@mrgeorgeburdellI was about to say no way is this man 5’10” 😂 that’s hilarious
3:10 George tells no lies.. He just said in smart money happy hour that he was recently in the Taco Bell drive thru at 11:30 PM
I did what they said about college. I didn’t know what I wanted to do so I didn’t go. Now at 43, I know what I want to do, and Uber is paying my scholarship, so I’m going debt free! I’ll hopefully be able to cash flow once I need to get a master’s degree, and get scholarships. I need a degree for my chosen field (mental health therapist), but I refuse to go into debt for it!
Just woke up from a dream where George and I were on a hike. Good times! Wait, why am I dreaming about George?….
😂
The return of “ain’t no body got time for that” was great nostalgia
Next up they'll have to resurrect "I ain't gonna be in no fire, NOT TODAY!!!" 😳
I played the 0% credit card game and I kept it reasonable and saved money, because now I'm debt free and even paid off my mortgage too... But that is the big thing you have to have self control, and set yourself to make sure you pay it off before the interest hits... the transfer fee can be cheaper then the interest charged over time.. Again, it's being mature and showing self control..
I loved this episode. The pause effect got me so good!
Okay so we're talking about two very different kinds of debt with Graham Stephan and Dave Ramsey here. Dave's channel focuses on paying off consumer debt which I 100% agree with. Real estate is completely different and is backed by an actual asset that can be used to make more money. Dave took on short term real estate loans and not traditional 30 year fixed rate loans. Most people need to take on a mortgage to buy a house which is a secured form of debt. I agree, don't go into debt to buy cars, take vacations or school loans. However telling people to pay for a house in cash is crazy today.
I believe in taking on loans for real estate, so that you can rent it out for profit. There's nothing wrong with that as a business model as long as you have a 20% down payment, cash reserves and you're not over leveraged. Dave and Graham are speaking to two different audiences. Dave's audience has a credit card and student loan problem, not an "I want to invest in real estate," problem. I see no reason why these two lines of thought have to be mutually exclusive. If you have $100k in a car loan, student loan and credit cards you should not be buying a house full stop. I completely agree there.
Hey! Transferring my balance to 0% was awesome for me because I was even more gazelle intense about paying it off before I had any interest applied
I appreciate you translating TLDR for the non-cool kids
I was the type of people that Graham mentioned.
Having a credit card for the extra checked luggage & access to airport lounge, and I put money into the account so I used it just like a debit card.
But then the credit card company, this multinational bank from New York (the "C" one), decided to stop their consumer banking op in my country and left me without reimbursement of the money I had in my account (partially due to me living outside the country when the whole thing happened).
Have been free of credit card since then and don't miss it that much.
Sorry! About that “shittybank” taking your money!!!! Awful
Second, eating at home isn't cheaper! Can be if you just get 2 cans of beans!! For example 2, $6 pizza feeds my entire family, dinner and breakfast... Compare that to beef $10 a pound, you need like 3 pounds that's $30 dollars! Not to mention everything you need to cook a meal. Student loans are a scam.
They want the “rewards” at the cost of continued money manipulation and monopoly. But the worse part is, those insignificant earnings are being payed for(however indirectly) by the least responsible of us. There is always a price to pay for a service or earnings.
I understand the Ramsey guys emphasis on discipline, BUT......I feel like they refuse to acknowledge that if you are already in debt and now also have partner and kid, it is damn near impossible to make financial progress without sacrificing 95 percent of your home life. Not to mention enough sleep to be functional as an employee and dad and husband
@@andrewyoder88 short term sacrifice for long term gain though is the goal. Doing things out of order stinks, but you’re sacrificing 95% of home life for a couple of years so the next 15+ are amazing
I don’t think so mate. My wife and I have 5 kids. We buckled down for 3 years and now we are mortgage free and able to spend more time with them. We both had second jobs, we took any OT or second job money and put it towards debt. We also set a budget to live off of 1 salary. Now we can max the IRAs and the 401ks AND have enough money to do what we want during the month bc we don’t have a mortgage. Oh we also had two open heart surgeries and a stroke with a kid and cash flowed nursing school for myself which I went to while working two jobs…… buckle up, put on a helmet and plow thru it.
@WalkDisneyWorld that is great well done! Long story short in our situation, the cost of child care is higher than the take home pay in a lot of cases. Therefore our hands are tied for the time being.
Home cleaning business where you can take your kid with you. Yall can work together or separately and make double the pay. 30/hr is the going rate. Gamify it and make it fun. Find 2-3 families who want to use yall on the regular and they will let you do almost anything. I’d have her do that and I would do uber eats until I had enough saved up for some pressure washing equipment. I’d get quotes from multiple local companies to see what they would charge to pressure wash my house/ drive way, then I would advertise the crap out of my neighborhoods going door to door and undercut what they quoted by 10%. Also give a cash discount to people. Then offer my wife’s organizational/cleaning business services. I paid a guy 400 bucks to do my driveway and sidewalks. He has this bad ass equipment that allows him to complete the job in less than 4 hrs. And it is pretty easy work honestly…….. that or I would open a day care in my house and start watching other people’s kids and have my wife stay home
From work……. You can do this. You just have to get creative. Don’t allow the crutch of child care to be your excuse. Bc then it will turn to “oh they have extra curriculars and I don’t want to take away from that”. And then the excuse morphs in to 10 years of procrastination
“I can’t explain the fall of man in this video…” 😂
See here is the thing debt is a big psychological thing for a lot of people. It decreases their happiness, increases their stress and anxiety. However for some people it really doesn't esspecially if their debt level is relatively low compared to their networth. Debt also allows you to increase the compounding effect of your assets meaning in the long term you can have a much more comfortable life.
Ramsey preaches ultra low risk which is fine but low risk comes with low returns. If you don't have a high income then moderate investment risk taking can improve your financial situation substantially over the long term.
I use a couple credit cards but they are paid off for our subscriptiions and stuff. As we have had our checking account compromised before.
I love how George’s videos are so funny and educational at the same time 🤣 Imagine all of our professors were like that; our world would be a lot different haha
I took a 30yr mortgage. When I finally was able to pay extra on it I did. Then when I inherited a small amount I paid it off. It's better if you are scraping by, with the lower payment. But if you can pay extra, do it!
Really irks me when these people poo on a 30yr. Clearly they’re not making 40-60k like the most of us
15 year mortgages make you house poor most of the time. You need breathing room plus if your mortgage is below what rent would be it makes sense most of the time. No one wants to live in the ghettos. Would love to see an analysis of how much people need to make for 15 year mortgages in nice areas where we want to raise our families. You can always pay off your 30 year mortgage earlier. Most of the time 7 years early
30 year mortgages make you buy more than you can afford and pay longer than you should.
@@mfin0446 I used to make 75k and bought a home at 250k and then one for 385k in wa state in one of three mor expensive counties. Take home pay is not the best at 75k in wa state so having been able to buy a 250k had me at 1500 dollars a month and the 385k home had me at 1900 dollars a month including taxes and insurance. The problem we have is the fact that people take a 30 year mortgage and then go out and get vehicle debt with a 600 -1000 dollar payment. Currently if you get a 500k home which in the same area you are looking at a 4k payment. That’s a lot and if it’s a 15 year mortgage is a lot more. I don’t know many people that take home over 100k to say that they aren’t spending over 40% of their take home on a house payment. With a 30 year mortgage disciplined you can still invest for your future and save. If you rent then that money is going out the window.
6:08, Wrong! Americans are $17 billion annually on overdraft fees according to google.
overdraft fees are essentially "debit card debt".
6:45 at the $10,000 example over a year, you will not save $2500, your average balance is going to be half the amount, or $5000 if you make 12 equal payments. So that is actually only $1250, and you paid about $200 to transfer. So you would save a little over $1000. Which is nothing to shake a stick at, but the faster you pay it off, the more you should just keep the debt where it is.
Lol what this made no sense if the debt is 10k and you transferred 10k at 25% that's 2500 subtract the fee and still over 2000.
And if you're trying to say well most credit cards is 5k limit this and that isn't true and they used it as an example but then you used an example to negate there examine 😂. I have plenty of credit cards over 15,000 credit
@ no, because you don’t pay interest on the full amount for the full 12 months, every month the balance reduces by your payment. If you do 12 equal payments, it would be an average balance through the year of half of the original balance
@@JasonGroom so pay it off in a year literally the point 🤦 prior you would make payments and you're saving on the interest so now you're significantly lowering your interest payments even after the year you didn't pay off.... Lately you save over 2k because your debt isn't increased every single month on top of marking the minimum
@ the point is that if you are paying it off in 12 months either way, you do not save nearly as much as the time and effort involved in the transfer is worth, as what is being said in the video
@JasonGroom transfer takes no time or effort lol really 5 minutes to apply and transfer and saving money for it lol.
Hey George, what music was being played in the background of this video, it's like a Lofi or something?
We used the 0% transfer a couple of times, combining cards.... but we pulled a Dave & paid as much as we could to pay off before the time was up... By combining 2 small cards, even after transfer fees, did save money. It cut out 2 minimum payments & interest. We were able to pay on the debt itself...
you mean by paying 0% interest, all the money goes toward the debt so you can pay it off faster? what an interesting concept. what made you decide to do a balance transfer instead of...*checks video*...continuing to pay off debt with full interest because there is a one-time transfer fee?
@@lets-celebrviii Well, Life happened..We had cc balances, several thousand on each card. We Made up our minds to not use another cc...We were offered 0% for18 months. I called & ask the transfer fees, & minimum payment. Did the math, & realized we could pay close to the amount we were paying a little over the minimum on two cards on this one combined. As I Cleared a card, I called the company, told them i was too irresponsible to have a cc. They closed the accounts... I had to do this several times but we got Free!
I came up with this thing for college called "Tuition : Salary ratio". If the tuition cost of the degree is low compared to the base salary you'll have once you graduate, that's a good tuition:salary ratio. A Cybersecurity degree costs like $30k with NO grants or scholarships. But the salary you'll have with your first job out of college is like $150k. That's a GOOD ratio. Compared to something like an Art degree which costs the same amount but yields a salary of $0 straight out of college, that's literally an infinity:1 ratio - the worst case scenario.
If the ratio is good, then a student loan isn't such a bad idea. I got my degree for $9k, and my first job out of college paid $60k. So I was able to pay off my loan entirely within 3 months of graduating. That was before the loan even had time to accrue interest, because there's usually a 6 month grace period.
aka. ROI
That isn't actually true depending on the Arts degree it teaches a bunch of softcskills that actually increase your earning capacity substantially. Remember also most people with a degree also work in a field unrelated to their degree as well. So a well rounded education which is what an Arts degree is meant to deliver can have a much higher ROI than a specialist degree unless you planbto and are able to be employed in that field for your entire career.
So I currently have some debt consolidated and I haven’t spent on the card I transferred from and I’ll be credit card debt free in about a month. I changed my habits and then consolidated and saved thousands on interest. It’s definitely possibl
I loved your Christmas special last year. Are you going to do another one?
The cooking at home, guyssss, you shop one day, you cook another. It’s called planning. It’s definitely exhausting doing it all in one day.
Arizona ice tea costs more in most stores. Individual gas station chains have special packaging and it typically costs 1.69
“Ain’t nobody got time for that.” Classic.😂
I'm sitting in my car watching this in the taco bell parking lot lolll
I peep the Rolex Oysterquartz my guy! 🤩. Nice choice, I’ve been eyeing one also. An understated flex 😎 👍🏾
I don’t take Grant’s opinions in promoting to rent housing rather than buy because he is clearly demonstrating a conflict of interest since he built his wealth from real-estate rental properties.
It is cheaper, but only in the short term. If you rent your whole life, you’ll never reach proper life independence. You’ll always be under the control of housing rules and a landlord.
You always are anyway. If it is cheaper in the short term deploy the excess cash saved to invest so when it becomes cheaper to buy you can use those resources to buy.
I use the indefinite debt transfer technique to invest. I don't don't got 20K laying around that isn't already invested so I take out a loan interest free and pay it off slowly. And transfer it again if I can't pay it off and the fee is less than the projected interest paid on the remaining balance if the grace period runs out. Compound interest baby! Leverage your debt to invest. If your ROR is way higher than the interest paid or some small fee and you can afford the risk and have discipline. This strategy works.
Works great when the market is up. To quote Warren Buffet, "When the tide goes out, you see who's skinny dipping"
I have been using 0% balance transfers to knock my debt down while paying nothing in interest. I am down to one card with 10 months of 0% and a really big balance, but that’s all my debt outside the mortgage. I started with about $42k in consumer debt and am now at $15k and that will be destroyed by next summer
obviously you're doing it wrong and not addressing the spending behavior. you're just giving yourself a reason to spend more with 0% interest. instead, you should have just paid off your debt while paying full interest rates instead of transferring.
@ Except I have fully paid off credit cards, one of them with a $21k limit on it, and haven’t touched those cards in 3 years. It’s about being ready to pay them off, and not using them anymore. According to the logic you are using, someone would pay off their $2k credit card and a few months later they will be back to running it up again when they need new tires or some other moderate expense. It makes no difference if you consolidated or paid it with the interest. But consolidate the debt and save $300 a month per $8k owed on the card is the best way to go. If you are going to go back to running up those credit cards again, it doesn’t matter how you paid them off before does it?
@@barnabusdoyle4930 i apologize if the sarcasm in my post and mocking of george's reasons to not do a 0% balance transfer wasn't clear.
great job on your progress.
I just finished paying off my last credit card today. Still have a smallish HELOC and a small mortgage. Salivating at paying off the HELOC within the next 90 days or sooner. Then paying off the house by my the age of 51.
i still dont understand how paying a one-time cc transfer fee is worse than paying monthly interest.
"just pay off the credit card.". yes, that's goal but it can be done with 0% interest or 22% interest monthly. pretty sure 0%, even with a small fee, will cost less and pay it off faster.
I use my credit card for literally every purchase I make. Got $700 in cash back over the last year. I've paid $0.00 in interest since I got the card over 7 years ago. Works for me 🤷♂️ I also know I'm not the norm and wouldn't recommend anyone else do the same. Takes discipline.
My credit card company has also TRIED multiple times to get me to carry a balance by giving me promotional 9+ months of 0.8% interest. I accept it, but still pay that thing off like it isn't there.
In Va our state college is going to run right around 22k. I’m curious what 20 year old can earn that and spending money and attend college?
Agree, success happens when you are prepared for opportunity
Pure gold! Well done sir.
Brilliant! Thank you!
The sponsor turnaround killed me. 😂
Over spending is like a lot of 12-step programs. Go ahead and admit you have a problem, then "sin no more" but work through all your problems. It's a lot of work.
I also like Graham and George/Dave, so I am keeping my eyes on what they're saying.
"Hi George! I'm guys!" 😂😂😂
Being debt-free is the good life💎🙏🏿
The first one I agree, Graham mentioned the problem with needing a bahavior change to actually have it come as an advantage.
I really hope Graham reacts to this reaction
6:04 okay, listen I was the boat without a rudder at one point in my life. I always had a proclivity for saving and investing I just didn’t know any better. I was taught to use debt for things like car purchases, to keep a credit card for an emergency and other bad money habits. So to say, “if you were doing math you wouldn’t be in credit card debit” is to not fully understand human psychology. As soon as I learned better i went from nearly 200k in debit to millionaire in 7 years. I think it’s okay to say what graham said there. I used credit card offers like this to speed up the debt payoff phase and then I was out of the credit card balance business. Full disclosure though I do keep a credit card because I missed a mortgage payment once wait for my bank to unlock my money while the finished up a fraud investigation. Had to jump through hoops with the mortgage company to let them know why my payment was late. Not fun!
My former college roommate did the shuffle debt between zero rate credit cards and other tricks like that. I've been retired for a year, he's basically broke even though we both had well paying careers. I hope he was investing for retirement.
If you’re not committed to changing your behavior- then the balance transfer is a terrible idea
When we got our mortgage there was not much of a difference between the 15 and 30 year rate. So we got the 30 year for the lower payments, incase our financial situation ever changed. We have always paid extra. We have been in our home for 18 years. We have $47,000 left and I plan to pay it off within 4 years. Im not in a rush because our loan is 1.5% and the $47,000 is making me more being invested.
You can do some crazy stuff with credit cards! I opened a credit card with a 0% interest period. Instead of paying it off every month, I put it in a high yield savings and am earning 4.5% on $20k, and I’m gonna pay it off the month before it charges interest in February. This will net me over $1000 over the course of a single year.
Not to mention the over $1000 in rewards I’ve already received from the credit card
So did you borrow $20k at the start???? I don’t get it
@@maureenviola I got it just before Christmas and a very large vacation. My wife and I also bought a car and put the max allowable amount of the car purchase on the card in early January (We had the cash to pay for the car in cash). So by the middle of January, I had racked up $20k on the credit card with a limit of $25k and received somewhere around $500 in rewards. The rest of the year we continued to just pay the card down to $20k every month since, and let the $20k just sit in the bank account earning interest the entire year.
Graham makes like $5 to 10 million a year and still thinks Uber Eats cost versus the time HE saves isn't worth it... Dang!
37 here, married with 3 kids, and I’ve never had a credit card. Fortunately in this situation, I suffer from “you don’t miss what you never had”, so I don’t see the need for a credit card. Also, in the words of Caleb Hammer, we would NOT be “credit card people” (like most of the population, and still mildly immature with our spending habits). But working ONLY with cash and debit, we live very much based in reality, “if we can/can’t afford something, then we can/can’t afford it.” Whatever it is. And that’s the end of that conversation. Makes life much less stressful, I bet.
Love you info. George!
An Interest-free balance transfer credit card helped me TREMENDOUSLY to become debt-free in a year.
@@bsheppyyy yea I call the 3% fee the “stupid tax fee” for getting oneself into that situation in the first place. If someone realizes the errors of their ways and can get themselves out of 28% interest by losing 3% upfront and attacking it , I’m all for it.
I'm so confused. Where does this stop? Is there going to be yet another response with even smaller videos?
Hey love your stuff but I got into $22k of debt through no fault of my own. Zero. I was sued for something I had no control over. I have floated the debt from zero interest card to card until it was paid down. It absolutely made the pain less annoying.
To say it feeds bad behavior is not a universal fact.
On the Uber eats segment. Eating in and preparing fresh meals is healthier. The amount of cheap seed oils and bad ingredients in fast food and many “nice” or “healthy” restaurants is terrible for you. Eating out is seriously not very good for your. Better to control your meal ingredients and know they are healthy for you.
Graham’s tiny self can’t eat an entire chipotle bowl in one sitting. Dude has to divide it into lunch and dinner lmao.
I pay all consumer debt that has interest every month. I use zero interest deal like CareCredit for medical, dental, vision or hearing aids and pay it off before interest kicks in. I have been doing this for years. I am retired on a fixed income. Buy doing this I don’t dip into savings or my cash reserves for these expenses and they get paid from monthly income. I only take my RMD on retirement account so regardless of who pass first, me of my husband, we have that to make up for the reduction of Social Security income. We are 71 and 78.
Edit: my use of credit cared gain me about $2000 a year in cash back plus things like free shipping and other rewards depending on the card.
There are very few degrees worth going into debt for. The only two I can really think of are Doctor and Lawyer. And if you are a Doctor it better not be pediatrician or you will never pay it back.
Passive agressively calling Graham short is unconscionable!