DAVE RAMSEY IS WRONG ABOUT CREDIT CARDS
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- Опубликовано: 8 сен 2024
- DAVE RAMSEY IS WRONG ABOUT CREDIT CARDS | For the longest time, I promoted Dave Ramsey's cash envelope system and the use of debit cards over credit cards. I loved his teachings so much that I taught his Financial Peace University course twice and followed his systems religiously.
I no longer follow his system to a T, although I do agree with most of his philosophy, the reason being I'm no longer single. I manage the finances for our household now and it was hard keeping track of where our money went when paying cash because my husband would forget to ask for or keep receipts. Using only debit card wasn't working for us either because of cash flow problems that came with working 4-5 jobs and receiving ~10 paychecks per month. It was a real pain in the butt trying to line up paying the bills with my paydays.
Using a credit card has made our lives much easier. We pay our credit card bills in full every month.
✦✦✦UPDATE✦✦✦
Some of you might wonder why we didn't save more. We were obviously low income, and I worked as many jobs and hours as I could to make up for the low wage. Why not get a higher paying job? Job opportunities are dependent on the local economy in your area. Most jobs in my area were food service jobs where it was normal for a man in his 50s to make $9/hour. A registered nurse there made $40k and that was considered HIGH PAY... For comparison, in NYC you can get paid that much for an entry level admin job without any special credentials.
We cut back to the bone. At some point, you can only save so much. Try saving $8k on a $24k combined income for two adults. We managed to do that (huge accomplishment for us back then) but we hit a ceiling due to the limited income.
It probably came across as me not planning for our interstate move too well. Believe me, this was the only thing on my mind for an entire year. I thought about this move everyday and planned our expenses down to the last dollar. There are some things we can only learn through experience, regardless of how much research we do.
For instance, I like to save money so I used to not travel much and therefore not stay at hotels. This trip required staying at a hotel, and before then, I did not know about the "hold" that hotels placed on your available balance. All I cared about at the time was finding the cheapest hotel for the night (because that's what mattered the most in the grand scheme of things), not the hold that would affect my cash flow.
Another thing was the 4x the rent to secure an apartment. Our original plan before arriving in Boston was to live in the graduate student housing that had a wait list. Those apartments only required 2x the rent to move in. We saved enough for that and for furniture. When our names were called, we finally got to see the 396sqft space in person and decided it was too small for the two of us. We had fought a lot in Texas due to lack of personal space and that wasn't good for our marriage. That's when we decided to branch outward and discovered that most landlords worked with brokers (because it's free for them... tenants pay the one month broker fee), and most landlords wanted 3x the rent. It caught us off guard.
We can plan all we want in life, have goals, and make progress toward them. Things don't necessarily turn out the way we want them to. And that's ok, but I just wanted to clarify this.
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Dunno why I insist on tormenting myself by scrolling though the comments section!
Ya'll it's easy.
- If you are disciplined enough to manage a credit card and want to use a credit card, do it.
- If you go to town swiping for things you haven't planned for, thought for and have the money for - don't do it!
I like Dave Ramsey because his framework gives people who are drowning in debt and panicking, a solid step by step guide to better their financial situation. His advise on credit cards also makes sense for his target audience; majority ( note- I'm saying majority, not 'all') got in the situation they are in because of bad financial habits.
However, for those who are not his target audience - i.e. not drowning in unmanageable debt, have no debt, or have the financial discipline and know-how, his advise on credit cards doesn't add as much value.
A Credit Card is a tool, whether its a dangerous tool or a useful one depends on how you use the tool.
-If used correctly, credit cards offer a plethora of conveniences and benefits ( and security) cash and debit would not offer.
-In fact, it's one of those tools that would give you a return with no investment
( simple example: cashback cards with no annual fee - before ya'll go to town saying no one gets rich from credit card rewards, that's not what I'm saying. But give me the chance to save a couple hundred bucks a year with no cost, you bet I'll take it.).
The repeated advise on the internet (which I wholeheartedly agree) is using your credit card as if it were a debit card - if you don't have the ability to pay for something in cash, don't put it on the credit card.
So don't go hating on the credit cards because Dave says to or don't go and get a credit card because Annie says to.
Assess your financial situation and habits, and then decide whether it is for you or not. Credit card shaming doesn't anyone any good.
Amen. This is exactly the point I was trying to get at. Not everything is black and white and people need to discern which system is best for them.
*So true! I'm also a strong believer of taking whatever is applicable to your specific situation and not follow everything to a T!*
Yes!!!
What’s up Cherry! Lol
@@WingChunBoyz Heyhey!! :)
Do you pay your credit card bill in full every month?
Side note: No one should ever merge their finances with someone they're not married to. Merging finances without being legally married is a BAD idea and I've never advocated for that. I've been saying "significant other" because he wanted to keep our complicated matters private, but I just got permission to say this: We've been legally married and due to our life circumstances (school, work, and moving), could not have a wedding yet. We are having the cultural wedding later this year. So yes, he's my husband but it just didn't feel right to say it without the official wedding happening first.
Annie Margarita Yang i lay my bill every couple days or 1x a week....
Are you fimilar with Robert kiyosaki?
Yeah, travelling with nothing but cash and a debit card is a royal pain. Sure, Dave does, but he's also a multimillionaire and probably has staff who make all his travel arrangements in advance and can afford to lay down big deposits.
Renting a car? Forget it. Or, you're just stuck with that one company who will do it, so you pay more *and* they put a hold on your cash balance. Showing up at a hotel with a debit card? Maybe, maybe not. When I'm thousands of miles away from home (often out of the country), I just don't want to BS around trying to find someone to take my stupid debit mastercard. I want to get off the plane, get my car, go to my hotel. I just hand them a card and it's done. I don't have secretaries to arrange for them to accept a debit card in advance for me.
As for mortgages, you're just not going to get the best rate having to rely on manual underwriting. You know who does manual underwriting? Hardly anybody. So there's very little competition, and you _will_ pay for that. Just a half-point in your mortgage rate makes a huuuuge difference in the life of the loan. And you want to get it right on the first mortgage. The terms and protections on refis aren't as good for the consumers as they are on first, purchase-money mortgages.
And I love Dave by the way. I think he's great. I do all the stuff he says - budget, save, don't buy new cars, all that. For his audience, which is people who are swamped in debt and possibly have little self-control, his advice on credit cards is spot on. You can really screw yourself up getting into credit card debt. And there are guys on his show who are $60K in debt because they bought their "dream truck" lol which is now worth less than half that. But I live below my means, drive a paid-for Subaru, and use my credit cards just like he says to use debit cards - Pay In Full. The cash back is just a bonus!
Great information you've added to the discussion. I'm pinning this to the top.
Dave Ramsey is good if you are in debt and need to develop some type of discipline with your finances. But, it is basic and really doesn't focus on investing too much. So, if you listen to him for a while, he repeats himself. Still, he has some good, basic advice that most Americans need.
Agreed, now that I'm older and more advanced, I realized his advice is basic but there is a need for it
I think Dave is saying that it's too easy to hand over a card. Much harder to pay cash thus cutting down on purchases.
Dave Ramsey gives great advice for "bootcamping" people into better financial situations.
But once you get into a good flow and you're responsible, you can alter the course a bit I figure
Yup
Common sense just isn't common anymore!
Nope
Totally agree!! Thanks for sharing Annie
As for me, paying all my credit cards in full every month is a YES! Cannot afford all those interests.
Assuming you are able to pay your credit cards in full on time each month, credit cards do offer benefits such as establishing a credit history; some offer rewards or discounts for travel or dining...and it comes in very handy in case of emergency... .
The other thing is for me security is a worry. Your wallet can be stolen and cash isn't recoverable, your debit card is tied to your actual money and while you can file a claim and MAYBE get the money back, tha could take time and you might have bills that need to be paid NOW. I've always had good luck with credit cards when it came to freezing my account, or disputing fraudulent charges, and I MUCH prefer to buy it on credit and pay it off at the end of the month. I do have a budget so that I know how much I've spent so far and how much I CAN still spend for the rest of the month on a certain category so that helps with impulsive spending for me. Plus i like having a good credit history so that later if I need to take out a loan for a mortgage or car, I'm more likely to be approved for a lower interest loan.
Excellent point on the security and fraudulent charges that could hold up your actual money. That's something I didn't mention.
I love your content!!!! I appreciate how detailed your examples are and that they’re based on your own experiences! Much love from the Philippines! 🥰
Good ideas! But I personally would never merge my bank account with anyone lol. My fiancé wants to but I don’t
Omg wait until you get married, not when you're engaged. Now is the time to talk about it but not actually do it.
Haha same here. Luckily my partner is on the same page with me so there are no conflicts. The way I see it, whether to merge your finances or not is a unique decision to each couple - there is no hard and fast rule. Having our finances separate Doesn't affect our shared spending or goals at all. We use splitwise to record all the shard expenses and have other goals tracked down separately and we each put in our contributions to each goal in separate bank accounts. By the time it's time to make that big purchase or whatsoever, we just pull the money out and get it done and dealt with. For a person like myself who have always been way too financially independent where sharing reigns is neigh impossible to imagine, this works out perfectly
I enjoy watching your videos as they are informative and well thought out. Beyond that, your sincerity is refreshing as it's exceedingly rare. I also do listen to Dave Ramsey, but I don't listen to him. My biggest beef with his show is that it is one big infomercial for stuff he sells. Listen to him and try the following. See how quickly he will sneak in a plug for a book, a product, a show or whatever else. It is literally every call and every segment.
I think that your advice about credit cards was far more pragmatic. Like anything, they can be abused. But, if you pay them off every month, you are getting an interest free loan. Additionally, they give you convenience t hat other products just don't.
Keep up the great work. I look forward to your next video.
We all know that Dave Ramsey is right about credit cards.
Dave is right about credit cards. When a recession hit and you lose your job or something happens when you are unable to work and cannot pay your debts that’s when you will know that credit cards are bad. These companies will torment you to the core .
You're right in that regard, but credit cards can be used as a budgeting tool itself, as in you plan out how much you will spend on it just like your regular debit card and pay it off every month. If you use it like this, there's no such thing as not being able to pay the debt as you never carry a revolving balance to begin with. See my video that came after this on how to budget using credit cards method.
I spend all the things I need with my credit card. No different than cash. Idk why he says not to use credit. I have the Amex gold. 4x on dining and groceries which is a norm spend for all Americans. With that I get free travel every year or two lol no brainer! only 24 y/o with 1 years salary saved. And about 20k in retirement. Saving for house in 2 years
Exactly. And WOW you are doing very well at 24.
Well said i enjoyed your insight.
A lot of great information 🙌🏾 thank you so much for sharing with us
I really love your videos thank you for your time and advice! 😊
I have not been paying off my credit card bill in full since I was not working, but now that I'm back in work I am planning to pay in full, so I can start to buildup my emergency fund as well as a savings account
It's so true to pay with cash and cut your credit cards but you also need credit to buy a house a car or other things to get approved.
You two are definitely go-getters.
I wish you all the best!
Edit: Credit cards can be risky, but they're like anything else. They're a benefit or a liability depending on how you use them.
The sort of thing you are talking about in RUclips videos should be mandatory courses in high school.
The envelope method has worked well for so many n I still use it to this day
So glad I find ur channel im 34 and no kids no husband ans don't plan to til after I buy my home praying by 38 I have my home injave no bills live home q my Asian parents I did leave for 11 years
Hey I wish you the best of luck buying a home in four years time
I totally agree you have to find what works for you 👍
Good vid - you have a good head for finances. It's likely that so many people get in over their head with CC debt, that Dave likely though it's better just to say no to CC's rather than qualify it, as likely most people would think they would be good with them.
The reality of life is the world revolves around credit, and owning/using a CC is the best way to establish your credit history. When it comes to getting loans and getting qualified from a bank, they want to see you have a history of having credit lines open and paying off your balances in time. To them having zero history of having credit is a big negative. That surprised me when I first learned that early on. They look at it like hiring someone that has no prior work experience- in these cases no info means they assume the worst.
Next when you rent, they look at your credit history, and if you're competing against another person who wants that apt, and they have a good history and you have none- it's easy to guess which one will be getting the apt. Getting a mortgage when the time comes to buy a home is the same way. A sterling credit rating will make a big difference in getting the lowest interest rate on the loan available.
I like your work ethic and they you're willing to work multiple jobs. Your guy is fortunate to have someone as financially savvy and hard working as you. ❤ Just remember that it's better to work smarter, not harder- I'm sure in time you'll be able to find an entrepreneurial venture or job that will negate the need for several jobs.
I was alarmed when I saw on the vid that you had pooled your finances together and was going to list the dangers, but I saw your edited comment that explained it- so no worries...haha! I would recommend that both of you still have separate accounts where a portion of your money goes. That way you have the main fund that takes care of bills and household expenses, and you can use the separate accounts for personal things. Suze Orman has some good advice in recommending both people put in "equal percentages" into the combined fund based on their income. Some couples do a 50/50 split which is a mistake and unfair if there is a dramatic difference in incomes between the two. But it's pretty simple math to figure out how to split the bill so that both are paying the same percentage with two different income levels....the one time algebra comes in handy. ;-)
Loved your comment. What you said about renting an apartment is true. I work in a real estate office now and landlords routinely deny applicants with no credit history when there are other applicants with similar incomes + great credit. Our clients with great credit also have negotiating power in lowering the rent, or avoid paying last month rent upfront because they have a history of paying on time and are likely good tenants. The Facebook group for landlords that I'm in, there are tons of posts from landlords asking whether they should accept someone with good income but no credit history, and many landlords said they would deny because it's a risk they don't want to take.
I'm in a better place in my life now because I finally have a steady middle class job as an accountant, being able to take a holiday or leave early for errands without affecting my pay because I'm salaried. I can finally focus on working smarter and exploring entrepreneurial opportunities. Would have never been able to do this on low income, working multiple jobs, when we were struggling to save to move here. I don't think people who graduated college and went straight into a middle class job appreciate what the advantages and opportunities they have. :)
I always tell my friends that I paid off my credit card in full monthly but sometimes I lied.
What makes you tell that lie?
It sounds cumbersome juggling all those financial situations. I pay for everything via my credit card. This prevents anyone from locking up my actual back acct from any type of fraud. I am very similar, I pay my credit cards in full. Good video! :)
Annie, credit card makes tracking expenses very easy and I pay down my credit card balance every day with the app on my IPhone plus it is vital to track your expenses every day on an excel spreadsheet I even have a column for money found EVERY PENNY is accounted for which makes it very easy to stay in our monthly budget.....great video I am a fan already
Agreed, so true
Really appreciate the way you think about finances. Love that you explain the why of a particular action. Great vid.
There are some times that only a credit card is acceptable for payment, eg renewing email accounts, renting cars on trips, etc...
I'd love to see more videos on investing from you as well, love your finances related content
I also have 2 card's. I just use to finance a large item. I pay that off
Before I use it again. I live on fixed income. So it helps me. Where else am I going to get a large amount of money?
I'm better with credit cards now. I listen to Dave but only his advice about saving a $1000 cash
I agree with Dave Ramsey on car loans but I disagree with Ramsay on never having credit card.. for the financially competent credit cards are a great for a lot of people credit cards can be too much of a temptation for them
Thanks
I tried using just cash for a month and ended up spending MORE money. Why? I started giving out larger tips, handing money to people on the street, and finding myself short of money when I happened on a sale bargain. Also forgot what's it's like to spill loose change under my car seat and the endless chore of constantly counting and resorting bills. It's easier to budget with debit and credit cards. Just set the alerts on the card banking webpage and never exceed your selected monthly spend amount.
You just showed that everyone is different and different methods work, depending on the individual. :)
Use these credit cards for investing and repay before your 45 days no fee period expired
Get a cash back rewards card and essentially get a small discount on all purchases. I get 2.5% on every purchase and all my bills. Also get 6% for groceries. Cashback reward is deposited right into my savings every month.
I find this video quite funny actually. The only reasons you posed for why say yes to a credit card is it’s easier and getting a good interest rate on a mortgage. You have to face the fact that you simply are just bad with money. You claimed to be working 4-5 jobs ranging from $7.50-$13 per hour with a rent of only $420 a month and you were living with another person (although I don’t remember you mentioning him having a specific income you did say you merged resources.) if you really worked an average of 50 hours that would put your salary between $1,500-$2,600 a month. It was likely closer to $2,000 a month. That doesn’t include overtime and it doesn’t include any contribution from your significant other. Your whole thing about paychecks and bills not lining up proves that you weren’t following Dave Ramsey’s plan and that you were living paycheck to paycheck or that you are very bad at math. If you did have a savings and rent was due but your paycheck wasn’t coming in for another day or two take it out of saving then use the paycheck to bring it back up. The problem with the trip isn’t that it’s harder to do with cash/debit it’s that the trip itself was impulsive or if not impulsive poorly planned at best without actually looking into the cost of expenses and preparing your bank accounts ahead of time. Also if the $5,000 or whatever that you had to pay ruined you then you didn’t have much in savings and probably shouldn’t have been buying that expensive of an apartment. It’s not Dave Ramsey’s fault that 1. You’re impulsive, 2. You don’t have self control, and 3. You didn’t actually follow his plan. And none of these three things are valid arguments for him being wrong. I’ve done just fine living off of $26,000 a year (just slightly above what you alone were making when you worked 50 hours a week). The difference between you and I is that I recognize that being 21 and making so little I don’t have the money to go on expensive unplanned road trips and live in super expensive apartments. In a few years my income will likely double and I’ll have much more money to do those things. I guess I just have self control and patience.
Edit: Since you took the time to write this and you make only $26k, I do want to hear more of your feedback and what kind of topics you would like to watch in the future. I would also be happy to get on a phone call to get to know you more. Please feel free to email me at hello@anniemargaritayang.com
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Thanks very much for taking the time to write a comment that equals the length of an essay. It shows you really care and not many people will do that. I was definitely gazelle intense back then. Why else would I work 4-5 jobs and also take on graphic design freelance work whenever possible?
Unfortunately, $13/hr was the job with the least amount of hours. And I didn't get overtime from ANY of those jobs because I didn't work full-time at any of them (full-time hours not available), so I developed a system of doing it so that I tried to maximize my hours at the higher paying ones. I would be glad to make a video on how that was done. I worked on average 50 days per week, and never took a day off. My husband, friends, and family were complaining that I was working too much! People from church thought I was sinning for choosing to work on the holy day, the day where everyone is supposed to rest. I clearly felt guilty.
I'm sorry I can't disclose too much about my expenses, but I can tell you that I definitely shoulder a lot of responsibility. I save as much as I can and do not spend out of impulsiveness. I am 24 now and have been supporting my sister-in-law through college in Indonesia since I've been married, despite being low-income myself for most of that time. It is very normal for immigrants to send money back home to support
family after coming here. My mom did the same for her parents and I am doing what is morally right. I also have to support my husband through college (a lot of the money we earned went toward paying M.A. tuition) because he needs the degree to become a professor... and he won't be one until he finishes his PhD 5 years from now. So now that it's more transparent what my situation is, I hope you can see who I am in a new light.
If you like, you can check out the video I uploaded after this one, which is on how I manage my credit cards. Over there, I discuss how you can use credit cards so that you only have to worry about one date, rather than multiple due dates for bills. It is definitely a simple system that anyone can follow.
I am extremely familiar with Dave Ramsey's system and know he has a form available called the Allocated Income Planning for people with more than 1 paycheck per month. Again, I had 10 paychecks + my husband's fellowship from master's degree. There is no way I'm going to divvy up one month's budget into 11 pay periods. There are many ways to skin a cat. So in my next video, I also show people how to use credit cards to simplify their cash flow, and even earn interest doing it! :) You might want to check that out.
I listen to Dave's radio show and so many people call in drowning in credit card debt, I was one of them. It is SOOOOOO easy to get caught up in credit card debt HAVING A CREDIT CARD! lol. I, along with millions of other people, was STUPID with my money. Having a credit card made it so easy to purchase things on a whim and "pay later". I was irresponsible and dumb. Something these credit card companies thrive on. Taking Dave's advice, I paid all my credit card debt and cut 'em up. Having no credit cards, I now spend WAY less then half of what I normally would spent with a credit card. I highly advise anyone (ESPECIALLY students and financially irresponsible people) to stay away from the credit cards. I've paid so much more down on my debt without one then if I were to have one. I dont get the urge to use it ;)
I understand there are some people here who are good and responsible with money, good for you. You know how to handle money and can limit yourself using the card. Do what you want. But know there are waaaaaay more people who impulse on spending. Heck, I would have a $2000 credit card debt at the end of the month and say "what did I buy to accumulate that?" Not even realizing how much I was spending because I felt no pain "departing from the cash" as Dave points out.
Credit card companies HOUND the college and university campuses. There are horror stories of students committing suicide because they've accumulated so much credit card debt.
You did mention towards the end that people who dont pay off their credit card should not have one, SPOT ON! But to have a phony title like "DAVE RAMSEY IS WRONG ABOUT CREDIT CARDS..." You have seriously got to be kidding yourself. Or using it as a click-bait-ish tactic :P
Talk about how to be responsible with credit cards or have a title related to that instead. Dave helped myself and millions of others get out of some dark times with his teachings. He is preventing young, financially uneducated students and teens from getting into debt and learning the hard way. Dave Ramsey is NOT wrong about credit cards. :D
Thanks for sharing your experiences. I just uploaded a new video today on how I manage my credit card (I mostly charge only recurring bills on there... not like you can get impulsive on those), but I guess I just grew up with frugal parents so I never truly felt the urge to spend so I just don't know how it feels to spend like you describe. Some people think the title is click bait, but it's not because I'm not deceiving anyone. I talked exactly about why he's wrong about credit cards, not a bait-and-switch, so that's the title I have. I think the word to describe it is more "attention grabbing" than "click bait."
@@AnnieMargaritaYang That is nice to have parents who taught you how to deal with money, mine haven't. But I have learnt the importance of that now haha. I can say my kids will (hopefully) have a good understanding and self control as yourself and my new self in the future :D
Blessings in your future!
@@AcousticHills lol nope, parents never sat down and taught me about money. had a dad yell at me for things like, being extra careful with the feathered shuttlecock in badminton, because it was "really expensive" only to find out that it cost $1 each. or a friend giving me $5 to spend without having to pay it back and my mom got really mad because it was "debt" even though she said I could have it!
Perhaps he does not want anyone to be in debt at anytime. If purchases are made on a credit card and for an unforeseen reason he/she cannot pay, then the person could be in a dire situation. Also, I believe Dave's principles are biblically based meaning that we should not owe anyone.
I try to pay my cards off before the closing date. I dont like paying interest. I'll save for a big purchase use a card then pay it off as long as it isnt more than 8% of that cards max. I think one can use a bit of both concepts.
Why do you pay before the closing date instead of before the due date?
I pay before the closing date for cards to avoid having a balance when the card company looks at the account. I got in that habit because my bank transfers money to other accounts too slowly for my taste. If I wait until the due date I risk carrying a balance forward. It means I juggle cards because they all have different dates but I'm used to it.
I am 21 I don't have a credit card yet but want to star building my credit score? What I am understanding is to NOT get a credit card?!?
Hey Mary! Get the credit card and charge around 10% of your credit limit to the card every month. Just keep it very simple... put things like your internet bill, cell phone bill, gas, groceries on the card. Pay it in full and you'll be fine building your credit. I have zero debts so I could only use credit cards to build my credit starting from two years ago. Credit was over 740+ when I applied for a mortgage in June.
@@AnnieMargaritaYang Thank you so much subscribed!
I travel with cash and the investor checking debit card from Charles Schwab Bank and I love it! I'm not ready for a credit card, but one day maybe, as for now I don't need it!
Charles Schwab is a great bank!
I gotta disagree with what you say about Dave Ramsey. It's great if you can control your credit card spending and can pay it off every month, but Dave recommends cash only because most people can't. Don't say he is wrong just because you disagree.
Well the thing is, he acts as if people should be following his advice all the way, not partial, and that's where I think he is wrong. I believe he needs to qualify his statements, but I guess he wouldn't have as many followers if he gave more complex advice because it would require critical thinking.
It's easy to follow a leader who thinks in dichotomy, like it's either X or Y and nothing in between. We see this everyday in all contexts. (ex. You're either with us or against us. You're either racist or not. You're either feminist or not. You're either Democrat or Republican.) But I think people should be given options when it comes to money (my channel is all about freedom of choice).
When I saw that I paid over $500 in interest for the year, I began paying off my card every month. I thought my cc debt was so low that interest wouldn’t be much. I was wrong. CC companies charge huge amounts in interest.
That's a lot! I bet you weren't getting $500 in cash back.
I actually did get quite a bit back but I no longer want to pay any interest. Then, as you know, I will be making more money rather than paying money 🤓
I still don't trust myself with a credit card. I agree with you they make life easier for you if you want are can control your finances. I got my prepaid credit card. I put money aside each payday and every change I make from purchases that I put on my card.
I don’t use credit cards and never had but Ive heard from many ppl that it’s the easiest way to build your credit ..but I’d rather pay cash...if I can’t afford it right away than I’ll wait lol
Credit cards r super needed for emergency I go vegas a lot mt wz husband there they need resort fees and my smallest cars at the time was 300 which was more enough. Needed SEE OF U HAD credOT CARD u can put the 3 months down getting a card 5 to 10k limit isn't to hard. But is ok girl u live we learn . I do want a large card like 25k 20k
Dave Ramsey... Oh man lmaooo. My spending is so low and I have two authorized users on one of my credit cards (I have 4 atm). I made a lot of profit on 3 of them due to learning about credit card churning .
What is credit card churning?
@@AnnieMargaritaYang Credit card churning is a way to make profit off of credit cards by taking advantage of point redemptions, cashback and travel rewards. By taking advantage of signup bonuses, you can essentially "profit" from purchases that you would make anyway. Let's say you need to pay off some bills, but want to meet the minimum spend of a credit card. For example, the Chase Freedom credit card. It requires a minimum spend of $500 to earn $150 back. You can just use the cards to pay your bills and have some cashback so that you "profit". You won't become rich from doing this, but it will make things a lot easier for you. If you end up having to make a big purchase, doing it on a credit card will reap some nice rewards. If you want to learn more, you should check out AskSebby's youtube channel or ThePointsGuy's blog.
There is also bank account churning which have recently become popular. It's a lot less risker to do because it doesn't affect your credit profile. A lot of checkings/savings accounts require direct deposits/minimum deposits to earn on average a few hundred dollars. It's something that I have been looking into recently and it's quite interesting. If done right, you can make a few hundred dollars a year from bank account churning.
@@getsugatenshoFTW To this comment and the comment above - that makes sense. Thanks for introducing this idea.
@@AnnieMargaritaYang No prob! I hope things work out for you and thank you for always making great content!
No credit cards os what im not a fan off making ot hard to build credit easier way and who can buy homw cash besides all thst hes smart
dave ramsey debit
keeping track of good credit
millionaires said it
I order cash envelopes
i pay in full each month and get 2% cash back
Sigh...You're missing out on all those sign up bonuses and points. Hopefully you signed up for the hotel programs before you went cross country. Learn to churn - it pays in perks.
Keep paying ur gonna have a nice nice limit in 3 years really nice
Yes u needed the card
Ue going do great w a credit score 👏 i don't agree w his credit card no xauaw how my brother 29 bought house needed my mom n taught him.no credit n he had none ao mom for him 30k card n cosigner for him im 34 learning too I meases up my credit earlier but all has fell off and defaulted the last 10 years has been hard but no rebuild im at 620 fr 490 in 14 months
Dave Ramsey is a bit of a hard head. I also disagree with his advice on paying all of your debt first and as soon as possible, it does sound good to be debt free, but there can be better usage of your money at times while paying more interest on debt.
Like a low interest mortgage?
@@AnnieMargaritaYang Yes, any sort of low interest debt, like a student loan, or car loan. If you have good credit and the interest on your loans is low enough then there is no need to pay it off quickly because whatever you may lose by paying those interest could be significantly less than what you can make by investing those same extra-payments towards some profitable venture. But Dave R is very closed on his advice about putting every extra penny towards paying off loans. In my opinion that is not the best advice.
He "forgets" to bring home receipts? Hmmmm.
hahaha he still forgets and it's been years. i require him to give me gas receipts so i can keep track of how fuel efficient our car really is. i will even remind him an hour before he fills the gas. and he forgets!!!!!
Tell him to take photo of receipts and upload to cloud that you have access to.
Please keep making videos
Try YNAB budgeting program, to help manage your income and expenses. It really helps.
Just curious why didn't u investigate the state u wanted to live in and the rental properties and their policies why didn't u account for the road trip move and check out the hotels on yr route to Boston maybe take out a.special debit card earmarked road trip expenses so yr card is not tied up. It sound like u did much planning after u worked so hard to save for the move.
For the road trip, we stayed with friends that were along the route. For the hotels, I only looked at the total price for the night ~70/night, but I never know about the temporary holds until I get there.
Because of my husband's PhD program, we thought we could get the graduate student housing offered by his school (only required first month and 1 month security--no last month or broker fee) so that is how I planned for it and thought we would have enough left over for furniture. Then we got there and saw how small the studio was ($1650 for a 396sqft studio). We decided to find an apartment on our own, one that was bigger (600sqft) but further away... and that is how the "4x the rent" to secure an apartment came about.
I actually work in a real estate office now. MANY people coming from out of state are surprised about the norm here to pay 4x the rent. The landlords can get away with it because there are tons of rich college students who have parents paying it without batting an eye.
100%%$ yep easier life w credit card
I dare you to call into Dave Ramsey's show and say to him what you said in this video. I'd be surprised if you make it out of there alive.
LOL he is VERY black and white about his views, like my way or the highway. The guy who wrote to him about paying off his card in full every month did not make it out alive. xD
U t lucky to find someone who trust u n follows lead 🙏 ppl have no idea or care how to share save combined ur lucky
I have never had a credit card!!
What’s the story behind that?
@@AnnieMargaritaYang Never needed one and have never been in debt. I am very disciplined when it comes to finances(thanks to my mum) but after hearing a lot of horror stories from people with credit card debt I knew I WOULD NEVER be in that position
I have 7
You should get married first before combining finances haha
You need to go back to Dave school
I agree. I'm just choosing not to publicly announce my marital status on the Internet ;)
I love you ambitious but don’t work so hard..simplify for life ..don’t work all those jobs can be more complicated ..sometimes less is better and know your worth. But i understand you were a student and your jobs paid low..😉
Well it was a temporary situation in my life--glad it's over because I can't work 4-5 jobs forever. I feel like wages are geographical. I know my worth but in a small city in Texas where I was, there weren't that many white collar jobs. Workers who had them held their jobs at least 10 years so there was low turnover. LOTS of food service jobs though, which explains the low wages. I moved here to Boston and immediately landed jobs that paid 2-3x what I used to make, so I know it wasn't about knowing my worth--it was the location.
Real life situations. I use for gasoline pumps.
Nope 👎, Annie Yang is wrong !
LOL dislike !!!