DEAR DAVE: I just got married and my husband and I want to book a combination honeymoon and New Year’s trip to celebrate. We don’t have all the money for it right now, but will have in a few weeks. We were thinking about booking the trip on a zero-interest credit card, and paying it off when we have all the money. I know you hate debt, but would this be OK since it would be a very short-term debt?
— Laura
DEAR LAURA: I know you guys are excited and happy about being married. And I wish you all the happiness in the world. But I don’t recommend credit cards of any kind, for any reason, whatsoever.
I don’t want to burst your bubble, but if you can’t pay for this trip up front you can’t afford it. Believe it or not, lots of people postpone wedding trips until they’ve had a chance to save up a little bit of money. Some folks have never even gone on a honeymoon trip, and they have great, loving marriages.
My advice to you and your new husband is to work, and save up a little bit more. Maybe one or both of you could pick up extra jobs for a little while, and make it happen sooner. Then, when you can pay cash for the trip, go have a blast on a honeymoon you can afford.
Monday, December 29, 2014
Monday, December 22, 2014
What to do if lost job and have debt
Question:
My husband and I both lost our jobs over a month ago. I’ve been interviewing, and he started a two-week training program for a new job the other day, but right now we’re in survival mode. We just cashed in an annuity, and were wondering if we should pay down debt and reduce the money going out each month, or just live on it?
Right now, it’s raining and you need an umbrella. If it were me, I’d just sit on the money for the time being.
Dave Says:
Don’t misunderstand me. You need to be honorable and pay your debts, but you may have to put that on hold for a while. Right now, it’s more important to have food in the house and keep the heat on. This kind of situation is scary and can be really stressful, so make sure you hug and hold on to each other a lot, too.
It’s been rough for you guys, especially right here during the holidays. But it sounds like things may be taking a turn for the better. Your husband is about to start making money again, and you may have some possibilities on the horizon.
Through this stretch, honest communication can make a huge difference. Make sure your creditors know what’s happening. Let them know that you want to make things right, and that you will make things right as soon as you can.
My husband and I both lost our jobs over a month ago. I’ve been interviewing, and he started a two-week training program for a new job the other day, but right now we’re in survival mode. We just cashed in an annuity, and were wondering if we should pay down debt and reduce the money going out each month, or just live on it?
Right now, it’s raining and you need an umbrella. If it were me, I’d just sit on the money for the time being.
Dave Says:
Don’t misunderstand me. You need to be honorable and pay your debts, but you may have to put that on hold for a while. Right now, it’s more important to have food in the house and keep the heat on. This kind of situation is scary and can be really stressful, so make sure you hug and hold on to each other a lot, too.
It’s been rough for you guys, especially right here during the holidays. But it sounds like things may be taking a turn for the better. Your husband is about to start making money again, and you may have some possibilities on the horizon.
Through this stretch, honest communication can make a huge difference. Make sure your creditors know what’s happening. Let them know that you want to make things right, and that you will make things right as soon as you can.
Thursday, December 18, 2014
How to deal with Child stealing from parents
Dear Dave,
I gave my wife $350 for Christmas shopping at Walmart. While she was there with our six-year-old daughter, she cashed her bonus check to put with the Christmas money.
When she tried to check out, the money was gone. My wife even asked our daughter if she took the money out of mommy’s purse, and she said no. Later, we found the money in our daughter’s coat, and she didn’t seem sorry at all for having taken it. How should we address this?
Jonathan
Dear Jonathan,
Most children that age really have no idea something like this is such a big deal. But this is more than just a money thing. It’s something of great value, and it’s someone else’s stuff. Not only that, but she took it, lied about it and then showed no remorse. I’ve got a really short fuse when it comes to lying, but the lack of repentance and sorrow associated with something like this are my biggest problems.
First of all, you and your wife have to present a united front when you talk about this with your child. This is an incredible example of a teachable moment, but you two have to be on the same side and treat it with appropriate seriousness. You have to make your daughter understand that what she did was wrong and why it was wrong.
Perhaps you could also use an example of someone taking something from her — something that was very valuable to her — and ask how she would feel in that situation.
Lots of times this approach, especially with little kids, will touch their hearts and help them realize the magnitude of their actions. In a case like this, I think I’d hand out very little in the way of punishment. Regardless, you have to nip this kind of thing in the bud immediately.
This is the kind of violation you cannot allow to happen unaddressed. And whatever the consequences of her actions end up being, you must make sure she clearly understands why she’s being punished and why what she did was wrong.
Dave
- See more at: http://greertoday.com/greer-sc/dave-ramsey-this-is-an-incredible-example-of-a-teachable-moment-with-a-child/2014/12/17
I gave my wife $350 for Christmas shopping at Walmart. While she was there with our six-year-old daughter, she cashed her bonus check to put with the Christmas money.
When she tried to check out, the money was gone. My wife even asked our daughter if she took the money out of mommy’s purse, and she said no. Later, we found the money in our daughter’s coat, and she didn’t seem sorry at all for having taken it. How should we address this?
Jonathan
Dear Jonathan,
Most children that age really have no idea something like this is such a big deal. But this is more than just a money thing. It’s something of great value, and it’s someone else’s stuff. Not only that, but she took it, lied about it and then showed no remorse. I’ve got a really short fuse when it comes to lying, but the lack of repentance and sorrow associated with something like this are my biggest problems.
First of all, you and your wife have to present a united front when you talk about this with your child. This is an incredible example of a teachable moment, but you two have to be on the same side and treat it with appropriate seriousness. You have to make your daughter understand that what she did was wrong and why it was wrong.
Perhaps you could also use an example of someone taking something from her — something that was very valuable to her — and ask how she would feel in that situation.
Lots of times this approach, especially with little kids, will touch their hearts and help them realize the magnitude of their actions. In a case like this, I think I’d hand out very little in the way of punishment. Regardless, you have to nip this kind of thing in the bud immediately.
This is the kind of violation you cannot allow to happen unaddressed. And whatever the consequences of her actions end up being, you must make sure she clearly understands why she’s being punished and why what she did was wrong.
Dave
- See more at: http://greertoday.com/greer-sc/dave-ramsey-this-is-an-incredible-example-of-a-teachable-moment-with-a-child/2014/12/17
Monday, December 8, 2014
Dave Ramsey on how to negotiate a car purchase
Dear Dave,
My husband and I are looking at getting a second vehicle. We found one we like, and it’s in great shape, but they’re asking more than we can afford to pay. How do you make a low offer without making someone angry or insulting them?
Angela
Dear Angela,
It’s always a smart move to try and stay on the seller’s good side. You want to be classy and diplomatic, and never point out the bad things about an item someone’s selling just to drive down the price.
If you insult their merchandise or insinuate the price is unfair, you’re likely to blow the whole deal right off the bat.
How about this? Tell them it’s a fine vehicle, and their price is fair, but the amount they’re asking is outside your budget. Let them know how much you want to work out a deal, but, in order for it to fit into your lifestyle, you can only pay a certain amount. You might throw in that a lot of people are selling things right now because of the economy, and you’re just looking for the very best deal.
Maybe that, and letting them know you’re standing there with money in hand, will help swing this thing in your favor. Good luck, Angela!
— Dave
VIA http://www.timesreporter.com/article/20141203/NEWS/141209956/1378/FRONTPAGE
My husband and I are looking at getting a second vehicle. We found one we like, and it’s in great shape, but they’re asking more than we can afford to pay. How do you make a low offer without making someone angry or insulting them?
Angela
Dear Angela,
It’s always a smart move to try and stay on the seller’s good side. You want to be classy and diplomatic, and never point out the bad things about an item someone’s selling just to drive down the price.
If you insult their merchandise or insinuate the price is unfair, you’re likely to blow the whole deal right off the bat.
How about this? Tell them it’s a fine vehicle, and their price is fair, but the amount they’re asking is outside your budget. Let them know how much you want to work out a deal, but, in order for it to fit into your lifestyle, you can only pay a certain amount. You might throw in that a lot of people are selling things right now because of the economy, and you’re just looking for the very best deal.
Maybe that, and letting them know you’re standing there with money in hand, will help swing this thing in your favor. Good luck, Angela!
— Dave
VIA http://www.timesreporter.com/article/20141203/NEWS/141209956/1378/FRONTPAGE
Monday, December 1, 2014
Going to school Debt Free is better
DEAR DAVE: My husband and I both work two jobs. Together we make about $53,000 a year, and we’re trying to get out of debt. We have $35,000 in debt, and most of that is on our truck. I’d like to go back to school and become an ultrasound technician, so we’ll have more money. Do you think this is a good idea?
— Sarah
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| Dave Ramsey |
DEAR SARAH: Getting more education is always a good idea. For starters, I’d begin doing some research to find out what ultrasound technicians in your area are earning. Then, look into the cost of training at a nearby school.
But I would only recommend starting school after you guys have done some work and cleaned up your finances.
You’ve got a bunch of debt hanging over your heads, and the truck you mentioned is a big part of the problem.
Sell the truck and move down to something very inexpensive to drive for a little while.
Then tear into the remainder of the debt and get it paid off as fast as you can. After that, save up a bunch of money so you can go to school debt-free.
I know that may seem like a long time before you can start school, but chances are you can get this done in less than two years.
And trust me, going to school debt-free will feel a whole lot better than having another bunch of payments buzzing around your heads for years to come.
VIA http://newsok.com/article/5371256
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