The Ugly Truth About Credit Cards
Вставка
- Опубліковано 8 чер 2024
- Millions of Americans are being duped by credit card companies every day. And, you guys, I’ve had it! So, in the latest episode of The Rachel Cruze Show, I’m going to expose credit cards for what they really are. You’ll learn:
• Lies you’ve probably heard about credit cards
• The truth no one is telling you about credit card points
• How to buy a house without a credit score
Sponsors pay the producer of this show, The Lampo Group, LLC, advertising fees for mentioning their services or products during programing. Advertising fees are not based upon or otherwise tied to any product sale or business transacted between any consumer or sponsor. The following sponsors have paid for the programing you are viewing:
- Zander Insurance
Resources (everything mentioned in this episode):
Zander Insurance: bit.ly/2Pd6Nss
Financial Peace University: www.rachelcruze.com/store/pro...
What Affects Your Credit Score article: www.rachelcruze.com/topics/de...
Ramsey Solutions UA-cam Channels (Subscribe Now!)
• The Dave Ramsey Show (Highlights): ua-cam.com/users/TheDaveRams...
• The Dave Ramsey Show (Live): ua-cam.com/users/thedaveramsey...
• The Rachel Cruze Show: ua-cam.com/users/RachelCr...
• The Ken Coleman Show: ua-cam.com/users/TheKenColem...
• Christy Wright: ua-cam.com/users/ChristyWrig...
• Anthony ONeal: ua-cam.com/users/aonealmi...
• EntreLeadership: ua-cam.com/users/entreleader...
![ПОЛНАЯ ИСТОРИЯ ЭКЗОРЦИЗМА [Топ Сикрет]](http://i.ytimg.com/vi/qBySr6Bt0B8/mqdefault.jpg)
The major thing is that it is just really hard to be responsible with a credit card. I don't think that they are bad, but rather it depends on the person who uses it. If you discipline yourself to use a credit card to spend what you normally would in a month, they are a great idea. They should never be used for emergency money. That is the reason they get such a bad name. If you use them the exact same as a debit card, there's nothing to worry about
I use credit cards to keep myself accountable to track spending and pay them off the last day of every month. I have self control and I know a lot of people don’t and rack up debt.
tarasko I can check my spending in each category to make sure I don’t go over budget.
tarasko thanks
I can safely say it's impressive Holly, sadly you're the anomaly not the norm!
Jason Weeks thank you! 😀
I track spending using debit cards. They work great. I have no business using a credit card. I only owe on my house now, and when I've paid that off, I will never owe a lender again!
Good video Rachel. So many people are living paycheck to paycheck AND are not budgeting at all...in theory, if you consistently budget and the budget is balanced and the budget ALWAYS WINS...then HOW you pay for things is not a big deal...unfortunately, that’s like a small fraction of the population. GREAT VIDEO! 😎👍🏻
I agree not everyone should use credit cards because they will get them in debt faster. But there are exceptions like me. I charge all my normal monthly expenses that I can through my credit cards every month and use them like cash cards. I then average about $75 a month in cash rebates that I apply towards the bill. I pay every card off in full each month and never charge anything I can't pay off each month. As an example I had $5000 in repairs to my truck from an accident that their insurance paid for. I put it on my credit card and paid it in full next month using the insurance money. It netted me an additional $85 in cash rebate for that month that was applied to my total bill. I also earned $10 in interest on the $5000 that sat in savings for a month. In the last four years I have received approximately $4000 back in cash rebates. Not everyone has the discipline to control their spending like many of us but God did not make us all the same. Its called simply living within your means. Dave loves to say you can't build wealth using credit cards. It is not a wealth builder but another tool to help, in this case a fully retired individual reduce their monthly expenses. I was raised by depression era parents that taught us "every penny counts."
Exactly what I do too.
7:40 at Macy’s the employees just get “Macy Money” which is essentially a coupon that can only be used in the store.
Just so you know , also, credit scores are required for certain jobs. Oh and the apartment you will live in for 79 years while you cash flow for that house, making 40k a yr , which in my area I still nearly a million for ... mediocre
1. Get a better job
2. Move
I don’t understand the US system of credit scores (I live in Australia). But I believe Anthony ONeal has a video on how easy it is to get an apartment without a credit score. Worth looking into. I do understand about high housing costs. Sydney is very expensive. You can try to earn more money or move as Matthew suggests. Or you can buy where you CAN afford, while you continue to rent, and then move up the property ladder from there. Or, get creative and look into tiny homes, house boats, trailers, shared living, or something creative. But if you only earn $40k a year and properties are $1m+, then you need to do something other than go into crippling debt. Life is too short.
That’s why I didn’t like my part time Gap job, I felt threatened and pressured to open cards for people who said no 😞
I heard they are at 30% Apr is this true?
@@pupasarusEver heard of Google? Use it
I briefly worked for a major outdoor retailer a few years ago while in school. I did not feel comfortable pushing their credit card on customers. People should know that retailers want applications for credit cards at any cost, whether that means you are honest or not. I ultimately had to leave the job. My boss was more concerned about credit card applications than work ethic or customer service.
Yasss!! I can’t wait! This channel has really been helping me figure out my life and finances so thank you!!!
I do agree with everything Rachel said here. However, I have multiple credit cards for a major reason. Points & Cash back value. I know that's not a wealth-building tool. It's not intended to be. If I paid in full cash, I wouldn't be getting 3-5% cash back on a lot of my purchases. Logically, that means I spent less on an item than I would have if I paid cash. What I do is purchase everything on my credit cards and then pay it off immediately. Immediately = the moment I see the balance on the card. The moment I see the purchase on my account, I pay it. That's why I'm not in any debt. I am leveraging the benefits I get from it. What do I do with the cash back? Either put it into a high yield savings account or invest it. I route everything through my credit cards. Bills, purchases, everything. The amount of rewards I get is pretty substantial. The key is not to spend more than you have in cash.
I keep a meticulous budget, have zero debt, and have an excellent credit score. Yes, it's possible by acting like an adult. Or, how Dave Ramsey would say it, "Don't spend like congress."
Again, I agree with everything Rachel is saying. However, if you are one of the few that is responsible and has self-control, you can come out ahead with the right credit cards.
Credit card companies rely on people having a revolving balance. That's where they get you. They get you by the interest you pay on your purchases. What happens when you pay off your purchase the moment the transaction is posted? You pay zero interest, and you reap the rewards.
So here's how you get ahead with having a credit card and stay debt-free:
Note: This only works if you're a responsible person with your money. If you're not, please follow Rachel's advice. If you are in debt, don't follow these steps and follow Dave Ramey's Baby Steps and FPU. If you're not in debt, congrats! Use it to your advantage.
1. Create a zero dollar budget (give every dollar in your income a job).
2. Use a tool that automatically categorizes your purchases into your budget (I use Mint. I've tried EveryDollar, YNAB, and Personal Capital. Mint works the best for me)
3. When you make a purchase, the transaction will automatically show up in your zero dollar budget. You would visibly see that the $15 you spend on dinner out, gets applied to your $40 /month budget. Once it hits your budget limit, you know you can't spend more.
4. The moment you see the transaction posted to your credit card. Pay it right away. When you pay it right away, it gets taken out of your Checking account. See where I'm going here?
5. Enjoy still being debt-free. Enjoy your extra cash back rewards.
Be smart with types of cards you have. Get cards that give at least 3-5% on the majority of your purchases. 6% cash back on groceries which I buy regularly anyway is a big deal to me. 5% cash back on gas that I would buy regularly anyway is a big deal to me. It all adds up.
Hope all this makes sense lol.
@John Lester I completely agree. However, I do think more people would be part of the exception of they were taught, and built discipline on how to be responsible adults with their finances.
@John Lester True. If irresponsible spending is an issue, then they should definitely steer away from credit cards. Credit cards just don't entice me to spend more because I keep a real-time budget. I think that's where most people fail. They dont keep a budget. That's why they don't know how much their spending in relation to their income. If you keep a budget and don't spend more than your budget allows, reguardless of whether you use a debit or credit, you will never be in debt. I know a bunch of people who only use debit cards and still spend more than they have. They get charged overdraft fees. It's because they don't adhere to a budget. Simple as that.
@John Lester That's totally fine. Do what works for you. I'm not knocking on people who use only debit. That's a perfectly fine way of managing your money.
Can you explain why you just don't pay by the due date? Why make a payment every time you charge an item?
you still spend more overall using credit cards than cash. not on every transaction, we're talking big picture / long term. why do you think credit card companies offer cash back? it's no different than casinos "comping" hotel rooms and buffets. most places gas is more expensive using a card, even debit, than using cash. you're expending a lot of energy for little "reward." best advice for everyone - use cash. if you can't because it's online, have a debit card. UA-cam search "Dave Ramsey Credit Cards" and actually LISTEN to those clips. also watch PBS Frontline episodes The Card Game and The Secret History of the Credit Card. these are not companies anyone should be supporting
I see credit cards as a piece of paper that don't worth anything. Whenever I spend, I always check how much money I have on my pocket and my bank account. So, idk why so many people are in debt
He aprendido mucho con tus videos Rachel!
What about the fact that credit cards allow you to dispute charges that debit cards would leave you on the hook for?
I have 2 debit cards and you can dispute charges on them that you didn't make.once it wasn't you,both my banks would refund those charges.
We were turned down because we had no credit card history for a house rental. We were told we had to get one to bring up our score enough to be able to rent a home for a move. So now we are getting in a hole because we are paying a rent payment in a different place and a hotel fee for my husband because of him needing to be there!!! Now we are in an even deeper hole.
Tina Paullin Ask the landlord or company if you can show bank statements and paystubs in place of the credit score.
I've been a victim of identity theft with a debit card that long process is why I don't use my debit very often & use a cash back card. Once you have self control/sinking funds/emergency fund you don't run into the over spending category. If you don't have good money skills or self control by all means don't get 1.
My debit card number has been stolen 3 times; I haven't lost a penny any of those times and I had a new card within 3 days.
A good bank will flag a suspect transaction and text you immediately to verify it.
Brunette Mine did that today because they didn’t recognize the company that I was buying from. Lucky, the app tied to bank allowed to tell them to approve the transaction.
Chris Garner
Yes, I think some people had a bad experience years ago and don't realize how much has changed since then.
Brunette My bank also uses a third party fraud system which scared my today because I though it was a scam and I gave all my information. I finally talked to the headquarter and felt better. I only pay for things in cash with that account.
Brunette Also, my bank has a really cool app that let’s you control your debt card. You can set it to have a spending limit, and control what type of transactions can be allowed. I do not work for them but I like to tell people about it because I think it’s a great idea. Oh, and you can turn it off so it does not get used when you don’t need to use it.
I remember the reason I got a credit card when I was 18 was because my bank would not raise my limit of 300 dollars/day. I wanted to buy a laptop from Amazon and could not. So I got the CC. Now I realize I could have just purchased gift cards on different days to make that purchase. But I was so impressed with how friendly this CC company was. I did finally find a new bank that was much nicer and actually allowed me to use my money. Now I have noticed that CC are taking away the rewards on free accounts and switching to fee cards. It is going to be rough for people who are addicted to cards when they get forced into a fee program just to keep their rewards and perks.
7:45 lol, when I worked at Kohl's I did get a bonus for getting a customer to apply for a Kohl's card, a (no kidding) $1 bonus per application.
Thank you !
Great video Rachel. I fell prey to the credit card rewards scam and how I though it’s free cash. Luckily I woke up & realized using cash saves you so much $$. This motivated me to start my own channel to help others save $$ too. I’m a few months away from being debt free!! Thanks for all that you do.
Well it really is free cash if you think about it. Let's say you get 300 dollars if you spend 1000 in the first 3 months. I don't know an adult who doesn't spend 1000 in three months. You just put everything you would normally spend on the credit card
Definitely if you are not responsible and don't know how to responsibly use a payment method like a credit card... you should not use one! Carry around wads of cash instead. LOL!
I love listening to the Ramsey personalities but I also have 10 credit cards and no credit card debt.
Savanna Jackson 17 here & no cc debt
Then why do you need them?
James Bryant ever heard of sign up bonuses and rewards?
@@sameerahmohammed6622 You're fooling yourself if you think you're going to get ahead because of bonuses and rewards.
James Bryant many companies offer $150 for just spending $500 on your credit card, that’s a 30% discount. That’s where the real money with credit cards is at.
16:45 when your Tennessee accent slips out
😂
CAPITAL ONE ...What's in your wallet? DEBT
Vikas Manna more like nothing is in my wallet due to debt 😂😂😂
So True.
Money.
Facts! An once they have you, they post ads in all your social media to get you to open loans and more ccs! Time to cut them loose fam!
Love that interview with the young couple.❤
I used to work for Kohls, but never received a commission for signing people up for the Kohls charge card. Maybe we were getting ripped off by the manager, because all we would get was a “great job” from her. Never heard of anyone getting extra cash for that. We would get pressured to sign people up for the credit though.
Awesome video! There is one positive thing that I’ve always encountered with Credit Cards. I recently had a fraud transaction done with my debit card. It has been 3 months since I disputed it with Citibank and they have still not credited my money back to my account. To dispute the charge, I had to submit a notarized affidavit and fax it to the disputes team.
With a credit card? All I did was tap a button from the app, and within 1 day my money had been credited.
Once the bank is alerted to the fraudulent charges and all required documentation is received, they must respond to the dispute within 30 days. The bank will have a maximum of 90 days to investigate and resolve the error
Just some friendly advice, since I have been in this situation before: check to see what the fraud laws are in your state. The vast majority of states have a law that states banks and credit unions are required to return all fraudulent funds to your account within 72 business hours of the fraud detected. The only time this could be different is when your PIN is used, as that involves a third party that doesn't necessarily have the same laws.
Megan Heying Thank you for that information! I will definitely check
Carlos good luck!!! I truly hope everything works out!!
Yup. Yet Rachel calls this protection an “excuse.”
I love this woman so much she helps me and my class get throw life and deal with money
Question what do you do about taxes after you are debt free . Or is there a video on that already.
Thank you Rachel, great show!!!
Thank you. Rachel, great video and information to keep in mind.👍🏽
I learned to pay off my credit card in full each month when I started learning how to budget! Now I get value from my credit cards.
Buy your credit card from surebelly on telegram he best and legit reliable worthy
7:45 Sounds like GameStop...
I have a U.S. Bank card for the 5% on Utilities, and Internet.
I have a Citi card I use for the 5% on groceries.
I have a Chase card for the 3% on restaurants.
I have a Paypal card for 2% on everything else.
I also have various store cards with substantial bonuses.
All zero annual fee. I don't know exactly how much cash back I've gotten over the years, but it is probably well into the thousands.
I've only had to pay interest on one purchase I made in all the years I've had credit cards: a purchase of a generator and various emergency supplies from Lowes right after a hurricane knocked out the power in my town for a month. It was worth the interest to have things I simply could not have afforded otherwise.
Another way to convince people is to translate the # of hours dedicated towards learning card points, versus using that same time towards deciding which. mutual fund to invest into with savings
Yes all true, however I have no credit card at all and no debt at all to credit cards , but I'm not able to book a hotel or rental car without one. Not many companies as these use debit cards!
Thank you. I am down to my last 5 months of my debt snowball. It's refreshing to always find content to help reassure myself and I am on the right track. Keep up the great videos! Your Fan Ben.
Thanks for watching, Ben! You can do this! - The RC Team
I have credit cards that are paided out,and one that I use and payoff every month
Great Video, thanks!!!😁
I wonder what the APR is on their mortgage though? I feel like having no credit is almost as bad as having bad credit, which equals more risk for the lender.
We did manual underwriting and it was the market rate (4% at the time).
A credit score is NO indication of whether you're solvent enough to actually make the payments. Having a job and money in the bank and paying your bills on time are a much better way to measure credit worthiness.
I tell myself " I make a fool of myself when I lend my hard earned saving to others"
If your responsible, credit cards trump cash. You get rewards, extended warranties, concierge services, etc.
One thing that wasn't mentioned is that any bills you have that are charged automatically to a credit card can be moved to your debit card, such as Netflix or Sirius-XM. If things were tighter, I would cancel those too. I am paying off my last credit card, and there are zero items added to the balance each month. I hope to be done with credit by the end of the year, and done with a car payment the next year. The mortgage will take longer, but there will never be another one.
I use the debit card at all these businesses that still refuse cash because of the fake coin shortage. I use cash everywhere I can, especially at the local restaurants that charge extra if you use a card.
I worked at Kohl’s completely true commission for signing ppl up for the credit card
The Home Depot allows you to open 12 accounts in your name, they are sick
Thanks to you and Dave Ramsey and watching a family member declare 80,000 in bankruptcy , I have stayed out of debt for the most part. I have 30,000 grand in student loans because shit hit the fan and a 1000 credit line which I have not used in 2 years . But I have a plan to pay it off once I graduate. I slightly disagree with Dave Ramsey he says credit cards are cigarettes of financial world wrong, they are the crystal meth of financial world
In Europe you rearly see credit cards. Some have them but there are no benefits to use one
I never had problems renting cars and going on vacation vithout credit card. I don't even have creditcard
@@Hi-hj6qy hertz is to expensive anyway, bmw coupes and volvos nah. Ive got guy who works for mercedes he gets company rentals at official dealerships we can use cheaper and without credit cards
@@Hi-hj6qy mostly just official mercedes dealerships they have rental cars for employees and for the ones whos cars are in repair.
About all Europe can't tell Germany ,France ,Spain,Italy, Austri and Switzerland all had one
People are living beyond their means, buying things to impress others. Are they insecure?
I don't care if you don't own a car, are wearing second hand clothes, don't have a TV......
Amen! So, so true. Well said young lady. Rachel rocks!
Going through it rn . My undoing was care credit though i have/4 others i literally tool sizzors to after i payed them off.
Took*
So, should I get the Amex Platinum? 😇
I wonder what their interest rate was
Buena información Rachel, gracias!
Don’t agree on ur opinions on credit cards but I still like ur show and can’t wait to see more content 😊
Good timing since the Apple Card is coming out this month
That scares me, it will be even less tangible. People are going to go into debt to Apple, who will be able to cut off other services. You are correct, this video is good timing.
Apple customers aren't the type of people to really research anything and get the best for their money...
@@donperrignon I found the salty android user
@@lovejulieandrews Not at all
I make over $120 a month is cash back. I have a hard time seeing how loosing that would be beneficial. However, I am also in debt. So I am certainly not speaking from a “know-best” standpoint. It would seem like the problem wouldn’t be credit cards, so much as the user of the cards….
Credit cards are a trap! Using someone else's money is always dangerous.
Id rather a scammer have access to the credit card company's money rather than mine. If someone steals your info and gets the money from your bank, you can't get that back (you can with credit cards, but not debit cards).
Ms. Cruze I’m living paycheck to paycheck but I don’t have any debt other than a mortgage. ( Year in being a home owner) but making the best of paying things what can I do to make things better to build some wealth? Just one credit card pif as of next month
I would fully recommend Dirk Hess to you. He helped me was out of debt of over 250k and mortgage of 140k within 90days. All safe and secured
I have more than 50k in my savings now after clearing all debts. He replies all his messages on his mail forums legionofgloomhackers at gmail dot com
Credit cards companies are not duping anyone, is very clear that you are using borrowed money and you will need to pay it back. I agree with Rachel's and Dave's advise, but this mentality of "you are being lie to" feels like you are treating others like children. I am not defending credit cards, I am just saying that this argument of "you are being tricked" makes no sense if you are talking to an adult.
I have credit cards, I also have investments, savings for 1 years without work and I have never paid interest on a card.
In today's world a credit score can open certain doors, the best example I have is where I live. I didn't have to put down a deposit, and I my application was accepted right away without letters of recommendations from previous land lords.
All that said. I come from Venezuela and my family has always been about saving because our country is a shit hole so it may be different for those who grew up in the first world.
I appreciate your perspective
youtube search "Dave Ramsey What The Credit Card Companies Don't Want You To Know"
Well said. Thank you.
while there are immature, irresponsible, etc... morons, anyone who can't see how responsible, hard working, smart people can get into trouble with debt doesn't have enough if any real world real life experience
Yeah, I used to have a high credit score and was broke and worried about making my monthly payments. Now my credit score is just medium cause I don't have any debt but a mortgage and I actually have money. So Rachel you are 100% right. A high fico score does not mean that you are wealthy, it just means that you play the bank game. And the banks always win when you play their game. Another great episode.
How can groceries and gas .be emergencies?
Loose your job and they become emergencies ...
they're not, but you spend more overall using credit card than spending cash, especially with groceries
@@eatpigsnot what about debit cards .?
@@gaellehubert6060 you spend less overall with cash, a little more with debit cards, and a lot more with credit cards. not every transaction, but overall in the long run, and that's somewhere many people don't look
@@gaellehubert6060 have you seen this before? ua-cam.com/video/VgznPGPel64/v-deo.html
I have first premier and capital one! Credit cars debt is 1.3 Trillion now! I cut them up on baby step 2! I will be a multi millionaire one day @TheRachelCruzeShow
Lets compare plastics meaning a credit card vs a debit card. After 30 years of spending you get back Zero with a debit card. With a credit card you can get $72,000.00. Heres how many credit cards you get 2 percent back on all purchases but also there are times when you can get 5 percent back on groceries for example. So lets say you can get an average of 3 percent or so cash back on average. Now lets say you charge $1000 or so per month on a credit card rather then the debit card. Gives you $35 per month. So $35 per month invested with a 10 percent return for 30 years will give you about $72,000. Just make sure you have a budget in writing and dont spend more then you make.
Those darn credit cards
Great episode
Thanks for watching! - The RC Team
My bank account always has way more money than any my credit card balance. I have a emergency fund of 7k. On top of an investment account that I put 2k a month. Have a budget and fallow it religiously. Also I make every single payment that dosnt have a fee to use a credit card been payed with a credit card. The credit card is not the issue. Is the people that use them.
Debt is only good when you use it for intelligent investments to get bigger returns on investments
We've never had one, never missed it! We've had some tight times over the years, but took FPU when we were in college, so we had an emergency fund!
That's awesome! Thank you for sharing! - The RC Team
Awesome.
I am glad your doing this video!!! When you covered for Dave in the Dave Ramsey Show and the lady told you she was teaching her kids to use credit cards 💳. That was horrible!!!!!!!
Great video. I'm going to cut up all my credit cards and change my address to my phone number and start a new life. Thank you very much this is a life-changing video for me
Shes 100% correct! I was putting allot of money into my savings before, and then I got a cc with the same company that I was putting my savings, and then I kept seeing debt payments get bigger and bigger, as the cc makes you feel like you have more money to spend than you actually do. Eventually the bank, cancelled my savings drafts I was sending, so I wasn't able to keep saving like I was in that account, meanwhile my debt payments were getting bigger and bigger, and my savings shrank significantly. Time to reverse the tide, I just paid off my cc and plan on cancelling it, I am a little nervous about it, but I know Dave and Rachel are 100% correct, as I seen the cc steal my savings away, as the bank made it harder and harder for me to save, but easier and easier to borrow bigger and bigger amounts of money! I thought I can handle it, I am getting these rewards, but at the same time, that bank was stealing my money. No more, thank you, I finally feel like I am in control of my money again! I paid off that cc, and just cancelled it! Im officially cc free, and soon to be debt free, woo hoo! I feel like a weight has been lifted off my shoulders. The cc lady, said well if I want to cancel this card and open another one, I have that option, I said no thank you. She made it hard to cancel, she goes we'll you have .69 we can mail you a check, I said sure, then she goes well we don't open till 800 am eastern time, so I told her, she can keep it, just close that account and have a good night she finally did, after trying to discourage me twice, before doing what I initially asked her to do, and the weight on my shoulders has finally been lifted, and I finally feel free. Can't wait till I pay off the mortgage soon, so I don't have to keep thinking about it every month, and get my sanity back. Thank you, Dave and Rachel, for all your advice!
This is more of a personal behavior issue with credit cards being the catalyst. CCs can be a great tool if you're responsible by paying them off every month.
@@esonon5210 Maybe for you, that’s your opinion! The rest of us, know better! If you play with snakes buddy, eventually your gona get bit! No matter how you analyze the situation ccs are not your friend! Good luck to you!
@@indigochild4664 It's not my opinion it's a fact. If you pay off your balance in full by the due date, you don't have to pay interest. It's also a fact that you get cash back and rewards for using a credit card whereas you don't get these kinds of benefits by using cash or a debit card. You can do whatever you want but it's one-sided to call them dangerous. That entirely depends on the individual and how responsible they are with handling money.
Hi nick
Rachel Cruze ROCKS!
Spend 99 and get 1 back. Simple math
Its so sad that people are so irresponsible that they can't even be an adult and properly handle a credit card. Credit cards are very beneficial, and credit cards are also used by the rich. Just admit that if you're irresponsible, you shouldn't have a credit card.
I feel no shame from you or anyone else because I have no credit cards. My bills are paid; I just bought a $14,000 car with cash; and I have money to invest.
I remember in one of Dave Ramsey's video he said something about....You know every detail of what's going on in your favorite show but have no clue where your money goes!
Haven't ever had a credit card. Just savings. It is tough and scary and certainly not the 'easy' way when compared to signing up for a credit card online, but it's worth it.
Your better off!
I got a 0% APR CC for 12 months which earns cash back which i also pay off the balance every month. Its a good tool to have in your box but be careful because abusing it will put you in debt. It’s the behavior that’s the problem. Charge it, pay it off. You cant pay it off by the end of the month then you’re not financially prepared for such responsibility..
you spend more overall using credit than debit and especially cash
judas brute which part of “I also pay off the balance every month” is not hard to understand? You are still within your budget, first and foremost and your spending still relies on your cash on hand. Simple definition of checks and balances.
@@ErrorPagenotFound-ig1cy paying off your balance every month is fine, but you're still spending more overall and taking a chance you can't pay the bill in full. if you always pay your balance in full just use cash and a debit card. UA-cam search 'Dave Ramsey What The Credit Card Companies Don't Want You To Know' and listen, really LISTEN, to that. if you think using a credit card relies on cash on hand you don't know how credit cards work
judas brute okay, how much debt do you have at this very moment and what credit score do you have?
I want to see a story about a person who buys a house with cash.
This world will not allow you to do that
Hmm why not?
@@pupasarus if it did then there would never be credit or debt in this world
Girl last night told me DR plan doesn’t work, & it takes to long to build wealth. And that I would pay more in the long run for NOT using credit. 😂😂😂🤦🏾♂️
Prob why she has no momey!
credit cards are 666 too.
Surebelly is trust worthy I got my second working credit card from him too on telegram
0:29 Run it through the paper shredder. Move on with your life.
I wish I could "thumbs up" this video a million times!
Hi jethro :)
If you are responsible.....credit cards are an asset.
Sadly, most people are irresponsible, making the credit cards into a liability for them.
Credit cards are assets to me. They have done 3 amazing things for me:
1) Helped me attain a credit score of 800 (which is pretty important for buying and renting houses and cars)
2) Helped me by letting me take thousands of dollars worth of vacations using my cc points.
3) Provides me with a lot of money that I could use in an emergency, if need be (I have not needed it yet).
Rat poison in the right hands is a good tool, just like credit cards, *wink*
With the Capital One debacle - obviously cash cannot be traced, so cash wins there (ask any criminal- *wink2*)
- - -
Treat credit card expenditures like cash, don't buy stuff you wouldn't normally buy, don't buy stuff you can't afford now.
Points are the frosting on a cupcake. Not necessary, but nice bonus.
Will tune in to hear about the third point, sounds good!
Dave's aversion to credit cards is so tiring. I have no debt, and use credit cards for points, cash back, and protections and warranties. Though I do love Dave's plan (i'm on baby steps 4, 5 and 6) it's not perfect for people that are responsible with credit cards.
@@leeklinglesmith3427 call Dave when you become a millionaire, he's okay with being proven wrong
@@angel0island0ninja I'm new. Is the whole point of Dave's plan to become millionaires? Granted he's a big name, but there's a whole market of plans and faces like his that incorporate credit cards just fine for good financial health.
@@angel0island0ninja I am following his plan, I even budget with everydollar. I just use credit cards for my purchases and have them auto drafted each month for the full amount. No need to be so negative. I'm actually doing well and plan to have my house paid off in 5 years. I hope you're doing well too.
@@Georgia307 his goal is a debt free lifestyle. The best way to remain debt free is to be wealthy.
Wow how i wish to marry someone like her.
What about at Kroger gas you’re using the card not cash and your over filling the gas tank but it won’t click to stop
a fantastic episode Rachel
The first credit card came out in 1958, they weren't issued as much back then as now, back then, credit was tighter. Credit cards are responsible for the bulk of consumer debt that has kept people in debt.
And my mum told me most people did not see the point in credit card.
check out PBS Frontline episodes The Secret History of the Credit Card and The Card Game
Credit cards are the devil 😈
My husband and I cut our cards close to one year ago! It was the best thing ever and I don’t think we will ever get one again! We paid off our debt, went on vacation and rented a car with just a debit card, and spend less on things we don’t need. Overall we are a happier couple!
Lol why blame credit cards? They’re just a tool that can either help you or break you depending on how you use it.
Because it is far easier to blame some boogieman than to look yourself in the mirror and realize where the blame really lies. And when you're talking to a large audience, it's easy to use statistics to make generalized statements about a nondescript enemy (i.e. credit card companies) than to hurt your audience's feelings and say they're the ones to blame for their f'ed up finances.
Can be helpful if the person has a strong determination to use it only for emergency and not for anything else... also get to the habit of paying in full every due date. Easier said than done... so better without it🙂.
I understand who Rachel and Dave Ramsey’s target audience is and that they’re trying to get people debt free. However, I feel like their scope is so narrow. It’s either live in debt or get rid of credit cards completely making life somewhat more difficult by not having one. The issue is fiscal discipline and self control not the actual credit card in my opinion. A credit card enables you to spend more than you can but I would argue that a debit card does as well. When I only used my debit card I paid far less attention to the money going in and out of my account because as long as my card was approved, I knew I had money in my bank account. When I got my first credit card, it forced me to take a closer look at my spending, because I had to see the monthly bill, and that is what pushed me to budget and start taking money more seriously. I won’t even go into all the other benefits and how much money credit cards have saved me but I feel like a simple way to build credit if you are someone who knows you have a spending problem is to get a $0 annual fee card, put one of your recurring monthly bills on it such as Netflix, your internet or phone bill, etc., set up monthly autopay, and put the card away in a file. Not in your wallet. Your credit score does not having anything to do with the amount of money you pay off every month. Only that you pay on time and keep the amount low relative to your credit line. That is my rant. Do with it what you will.
How could you pay off a $7,000 credit card debt in one month? You'd have to make more than $7,000 monthly income on your combined paychecks - that's almost $1,000 weekly paycheck, per person. If anyone makes that much money, then DUH you clearly would not have a problem paying off debt. Rofl... I just can't sometimes with some of these stories 😒
I'm assuming that since they were using the Dave Ramsey program that they sold some things or did a lot of side gigs at a rate that isn't sustainable for long term but they did it during their baby step 2.
I absolutely love your videos and information. But please stop interrupting your guest on the show.. 99.9% of us are in the same insinuation as your guest once were. I want to hear their story, how they did it and their tips. I would have loved to hear more on how they handled their situations. Its not that easy, there is more to it. I get that I will do my own research but their situation could of helped so many of us.
Don't forget to apply for the Dave Ramsey Credit card issued by American Express.
*⬆️👆🆙No’one gets account funded perfectly than🆙....legendaryyy*
Credit cards are so evil! I can’t wait until my 2 are at $0. My snowball is rolling, I signed up for Dave’s $1000 BS2 challenge this month and I paid Discover $1000 to uphold my word. I can’t wait to get out of BS2. I still have about 22 months.
You can do this, Chris!! - The RC Team
I don't think that everyone should have credit cards but the strawman arguments and cherry picking her and Dave come up with are ridiculous. I wish they would tell their audience to have spending control. Treat your credit card like a debit card then you won't have interest and late fee problems.