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Live from the headquarters of Ramsey Solutions, broadcasting from the car rental studios at the Dave Ramsey Show, debt is dumb. Cash is king in the paid off home mortgage has taken the place of the BMW as a status symbol of choice. Anthony O'Neal, number one best selling author, Ramsey Personality, is my co-host today here on the air as we answer your questions about your life and about your money, it is a free call. The phone numbers, triple eight eight two five five two two five.

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You jump in and we will talk triple eight eight two five five two two five.

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Starting off this hour is going to be Donovan in Louisville, Kentucky. Hey, Donovan, how are you? Hey, Dave, I'm doing good. You better than I deserve. What's up? OK, so my wife and I are coming to we have paid off thirty two thousand dollars this year alone and consumer debt way to go down. We're completely free of consumer debt in a pandemic at that. And we now have just her student loan. She's about to graduate and has one hundred and seventy five thousand dollars worth of student loan debt.

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And it's in forbearance. And we're trying to figure out if it's best to just start paying on it now are going to maybe consolidating those like eight to ten months.

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Don't only ask this are you are still working right now? Yeah, I have never lost my job. I had an essential job. She just accepted her first job offer as a P.A..

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So what's your household income? And it will be about one hundred and fifty K now. But she just got her job before that. It was around like. Yeah, yeah, so I mean, clearly, you know what we're going to say, yes, we want to start attacking these right now, man, I mean, literally right now and do not trust the government. I want to talk about that little bit later on with Dave, but I want to go ahead and just line up your student loans.

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And here's what you can do, is break down the student loans into another debt and into another debt snowball. So break down all of our student loans and get the smallest when go all the way to the largest as well. And then even to look into the interest rate, because right now you probably could save some money on interest if you refinance student loans. But yes, I want you to attack those right now, Donovan. Yeah, here's the math.

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I heard you paid off 32 this year on 80 income. Then your income went up by 70. Right. That's 100 a year, 70 plus 30 that you might be able to put on 170. You could be done in two years.

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That's definitely the plan. Just to keep rolling. Don't stop.

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So the only reason to refinance, the only reason to refinance would be to get a lower interest rate than you have across the board on all these the weighted average interest rate. Yeah.

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And so if you were to add up all the interest, it'd be a little bit of a how many student loans are there.

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I believe I want to say is like eight total.

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Is there eight different interest rates. Yeah, they all vary, but I think the average is like six point five. OK, so if you could beat six point five on average, if that's actually the weighted average is a technical way to do it. But doesn't matter if you could get a five point five across the board, it would be worth talking to like Splash Financial and getting a refinance done doesn't cost anything to refinance with them.

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You don't need to refinance to get rid of the number of loans. Right, because eight loans totaling 170 will pay off. Exactly. At the same time, that 171 loan, a single loan at 170 will pay off. It's still 170000 dollars. It doesn't change that. Right. And so, you know, I like the smaller ones broken out unless you can save on interest.

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And then I would go to splash and start talking about doing that. Yeah. And Anthony, you brought up something the it's the same subject matter that we've been seeing out there.

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One more time, the Kazaks Act didn't care. It's an oxymoron. It had so many unintended consequences and so such poor.

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Implementation, but when you hear Ronald Reagan used to say it was one of the scariest words on the planet is I'm from the government and I'm here to help. Right. If that doesn't scare your socks off, nothing will because they're going to screw up Christmas. I mean, they're unbelievable, the island of misfit toys up there.

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So the Keres Act, of course, was supposed to stop student loan interest and collection of student loan payments until September to give people a break due to coronavirus suppression and economic shutdowns and all that kind of stuff.

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And it has not worked out that way.

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It hasn't worked out. So they've stopped interest, but they're still reporting to the credit reporting agencies that people are delinquent and that this is not every single company, but a lot of the companies out there are still reporting negative. And on top of that, Dave, they're still pulling money from their checks, from their bank accounts.

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So if you had a deal set up where you were having your your account drafted because you were in default, they didn't stop that. Nope, no. They were supposed to stop that. And if you didn't pay because you weren't supposed to pay under Keres Act, there's a chance that a reasonably good chance that you're being reported as not as being delinquent. Yes. You're getting negative dings on your credit bureau report.

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So if you have a federal student loan, check your credit. Yeah. And call your loan provider and confirm that you're in good standing so you don't get penalized.

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And all of this might lead you to go ahead and get whiplash financial and go ahead and get refinanced now. Yeah, this advertiser that we've got does a great job.

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But again, you don't need to do that if you're not if you don't have a problem and unless you can get a cheaper interest rate. But there's no closing costs on this and they can run the refinance or splash financial. And, you know, we're big proponents of these guys are one of our advertisers. And that's a reason we put them on the air. Was this you know, this is episode number.

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But, Jilian, of why you cannot trust the government. You can't trust the government, Dave. And we we saw that when it came to the student loan forgiveness. You know, I did a deep dive, deep dive and deep study into that. The government failed that only one. They only approved one percent of the people to forgive. But look at all of them in to this particular field or go out to this particular school or do this particular career and we'll forgive.

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But only one percent were forgiven. And so, of course, when this came in, I was like, something's going to happen.

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Well, I mean, the problem is that you they put in place or law and then expected people who were incompetent to become competent. Right. When you look Navigant up in the Greek, it means incompetent.

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I mean, you're just not dealing with intelligent life when you call over there. Yeah. It's like people's parents or cousins or something. It's unbelievable.

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Yeah.

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So, you know, you just if you assume that a group of people who have misbehaved and have didn't give a rip and, you know, trash your credit, we're going to stop doing that because of the Keres Act, that would have been a wrong assumption.

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Absolutely.

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And you know what, Dave? Here's why. Splash Financial, if you can verify their lowest interest rate right now, it's right around three point twenty five. So the national average is right around four, four and a half. And so and up to about six, six and a half. So if they got Donovans, six and a half.

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So you think you think you could get what, three is three and a quarter. Oh, really? During the quarter splats financial. That's their lowest. So of course, you know, they it's assuming everything lines up perfect. Exactly. Exactly.

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So it's like if you can, if it does save you money, last financial is a great project.

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Yeah. 170 grand. Three percent savings is significant. Yes, sir. Yes, sir. It is even over two years. Absolutely.

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That doesn't get him out of debt or gets him out of debt. Is the 100k a year going towards it. But the a little bit of savings on the interest and no closing costs. That's known as a no brainer, folks. Once again, what happens at your house is more important than what happens in the White House. It has more to do with whether you become successful in this life, perhaps. I have never met a multimillionaire who said, you know, it's all because of Washington.

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Never once. This is the Dave Ramsey Show. Well, we all have enough on our plates, right? The last thing we need is to not get a good night's sleep. Think about how effective you're going to be during the day if you can't even think clearly because you didn't actually rest. That's one of the reasons I've been recommending Tufte and Neidl. My family has their mattresses and they start as low as three hundred fifty dollars plus you can try it out 100 nights risk free, go to Taesan Dotcom to pick yours out.

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They ship it to your door for free. That's T in dotcom.

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My name is. Anthony O'Neal Ramsey personality is my co-host today here on the air, I am Dave Ramsey, your host open phones, a triple eight eight two five five two two five. Matthew is in Oklahoma City. Hey, Matthew, how are you doing today? How are you?

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Better than I deserve. How can I help? So my dad passed away here three weeks ago. Oh, my goodness, what happened? Yeah, he died of cancer, liver failure and kidney failure.

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Oh, man, how old is he?

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He was 59.

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Oh, young. Oh, my goodness. I'm so sorry. Tough times. He left me an inheritance of roughly seventy two thousand dollars. OK. Wow. And I just got started and Financial Peace University here about three weeks ago. OK. Right about the time. Right around the time it happened. Yeah.

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So he had been sick for a while. He'd been sick for about a year and a half. I'm so sorry. Well, so what's your plan? My plan is to pay off all my debt by a single wide trailer. And move into it. And then try and make sure I don't lose the rest of it. OK, how much debt do you have? In debt right now with the pay off on my car, which I just did with Zain last night, was like twelve thousand seventy five for the car.

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Three hundred on the new phone and 300 to my roommate.

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OK, so like 13000 bucks makes your debt free, right? Yes, sir. All right. Which leaves us about 60 grand to work with that sound. Right. Yes, sir. How old are you? I am 28. OK, well, I like to get out of that part of the plan. I don't like the single wide trailer part of the plan.

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Yeah, me too. You want to know why, but. Yes, sir, because that is going to go down in value, right? Instead of up in value, you said you're 28. Yes. OK. All right. Why would you not buy a home? I've been looking around and most of the homes that I'm seeing are 100000 or more. Are you working right now? Matthew? I work for a subcontracted company through Amazon called Southern Star, and I deliver Amazon packages to customers around the state.

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OK, right. Well, I'm with you till paying off the debt down to 60000. From there, I would start to wonder what your career goals are. And do we need to spend some of this money getting tooled up to go be what Matthew wants to be when he's 49? Because I suspect it's not driving that same truck.

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Right. Yeah, that's the other thing I discussed with them last night was I eventually want to. Franchise out of Papa John's close to where I live. Mm hmm. And I've done the research on that and the money required for that's about one hundred and fifty thousand. Mm hmm. Mm hmm. Roughly. And in order for me to do that, I'm also wanting to go to college for business management.

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OK, well, let's take the first step and let's spend some of that money on college. Yeah. And just stay a renter if you want to stay a renter until you get your career up and going. If you want to wait to buy a little bit. But let's spend some money on that and just rent something inexpensively. But no, I would not and I would not put money in something that's going down in value like a single one. What do you think?

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And Anthony, I'm thinking the exact same thing. And Matthew, I really want you to hear what Dave said. I spent some time investing into yourself. The number one thing you can do, especially with an inheritance check, is to be wise with it. You know, how does it benefit you in the long run? How do you be a good steward of that? So I love the fact if you're going to maybe a community college at first just to get your feet back into the college game so that when you're not spending a lot of money, then transfer to a four four, four year university.

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And then after that, I heard you say you want to eventually buy something as far as and by business. I like that as a young person, but start small, start growing, and then from there we can go ahead and look into big goals.

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Yeah. Set this up to where you're not going to set the money aside in an investment where you're not going to be touching it. I'd sit down with one of the smart VESTER pros parked 10 grand for education and an account and just a money market account. I'd park 10 grand for an emergency fund over in an account and I'd set the other 40 aside for an investment and let that be growing while you're going to school and.

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You know, I think that'll get you there and, you know, let's get the career up and running and then decide what you're going to do by then, it may or may not be a Papa John's franchise. You may want to open your own thing with the money that the 40000 grows into. Yeah, I mean, you can open a pretty fine pizza place if you watch what you're doing. So very cool. Good for you. Very well done.

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Dave, I wonder for somebody in their 20s who who is debt free, who has a fully funded emergency fund, would you recommend them looking into a Papa John's like franchise? I get that question asked to me a lot, and I'm kind of like 50/50 like, well, if you pay cash for it, OK.

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But I wouldn't I wouldn't open a business with that. No, no, absolutely not. But he doesn't have the money to do the Papa John's franchise. Right. Just like I don't have the money to pay cash for a house at this stage of the game. Right. So and someone who has zero business experience and you go from delivering Amazon packages to running a business and running a whole pizza operation, Papa John's does a good job training their new owners, but that's a pretty high risk play.

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I would want to take some baby steps in between there and get my feet wet and business. And he's very wise to say he wants to get some classes under his belt on how to run a business.

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I'd love to just have him manage a Papa John's for a while, OK? And just get in there and run one. Go run one for somebody else. Yeah.

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And meanwhile, continue to pile up your cash and pile up your cash and then someday become a franchisee. There's nothing wrong with that idea. We're going to pay cash for it. And that's all I would take some interim steps between delivering packages for Amazon and becoming a business owner.

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Oh man. I hope millennials are hearing you because, you know, that's what millennials want in today. They want to be the owner.

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Well, I don't care if you're the owner, but don't start something of that scale. Yes.

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Start something on your living room. Yes, OK. And off your card table. Like I started this business. That's way. Right.

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And so, yeah, it's. The thing is. Well, where where you can crash in business faster than anything is what is what you do when you don't know what you don't know.

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Gotcha. And there's a lot of things about running a a two billion dollar business that I don't know. Yeah, yeah. I don't know. And I don't know what I don't know. But going from our business is about 250 million a year.

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OK, and going from that to a five billion dollar business in one jump, I couldn't I would mess it up because I don't know what I don't know. There's a different skill set level required than what I have today to make that leap. And you can just shave off some zeros and it's still the same thing. So if you know, you start something in your living room, you screw it up, you stub your toe, it's 10 grand, you start a 200000 hour franchise and cold.

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Yeah. And you don't know what to flip your doing and you stub your toe. It's a 200000 dollar mistake. Yeah, OK.

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And so you do the incremental steps because, you know and by the way, when I started this business, I didn't know how to run 250 million dollar business. So I did the incremental steps. As the business has grown or as I've grown, the business has grown. Yes. As I've gotten better and more sophisticated, more knowledgeable in leadership, business acumen and so on, strategic thought, whatever, then I've been able to run a larger and larger and more multilayered business than when it was me selling books on the trunk of my car and running counseling operation out of my living room.

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Yes. You know, and so there's no shame.

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We we got a big Saana here says don't despise small beginnings. Yes, sir. Because, you know, but then, you know, take the next step up and the next step up in the next step up.

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But when you try to reach past your abilities, you you pretty much ensure you're going to get your nose bloodied. You're going to crash.

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Yes. And so, you know, we don't put a six year old into the NFL, you know, that's what we're talking about. And so you grow physically, you grow in stature, you grow in skill, you grow in speed, you grow and everything, and then you're in the NFL. And so but it's not like we go from there to there. So it just some wisdom in the incremental growth. Yes, sir. This is the Dave Ramsey Show.

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Open phones this hour, this is The Dave Ramsey Show, Anthony O'Neal is my co-host and Ramsey personality number one bestselling author, answering your questions today. We're going to talk to Darryl.

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Darryl is in Washington, D.C., says on my screen, Darryl, you're debt free. Why? To go, dude?

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Yes, sir. Thank you very much. Dave, how much have you paid off? Pay off about forty seven thousand four hundred dollars. Cool, how long did this take? About 13 months.

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Good for you and your range of income during that time. I started the program, I was about 70 EC, and I am about 125 K right now. Wow, 50000 bump in 12 months.

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What do you do? Well, it was kind of a long story, but to make a long story this long, I pretty much was about to take another job and they messed that up for me. And it all happened while I was taking your program and it was just a huge blessing. They had been good for you.

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It's so funny when you start paying attention, I need more money to get out of debt that more money tends to come.

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That was the most craziest part of it, Dave, I think. Right, right. Right there.

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So how much what kind of debt was the 47000? I had about 30 K in student loans, about 4000 on a car, about seven thousand on one credit card, 4000. Another credit card. I had had to fix my car a bunch of times. I was about five hundred and my AC van in my house went out during the debt, the debt snowball. So I was another seven hundred dollars. So that was pretty much it.

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So you just kind of normal. Pretty much, yeah. I mean you are now you're where. Yeah. Now what, what happened, what happened 13 months ago.

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Got you jacked up. This is awesome. Well, pretty much the thing my mom, she's the one that kind of was the catalyst in all this. She's been trying to get me to read your book for years. And I always just said I'll get to it. But about 13 months ago, I went ahead and she got me maybe can a book and I'll never forget David. I don't know when I'm going to buy a ranch with a credit card, and I'll never forget sitting in the parking lot thinking I got all this guy.

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And I remember a piece in your book where you just said it's not your mom's fault, not your dad's fault. It's your fault that you're in this mess. And I remember getting so defensive and I was like, who is this guy yelling at me about?

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I mean, I think he's right.

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I kind of need to take ownership of what I put myself into. And then literally, that was the last time I use my credit card when I bought that ranch. Wow. Put together my little homerooms and that was it. The game on.

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I'm proud of you, man. Congratulations. Absolutely. This is Anthony, man. How old are you from Miami asking.

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I'm 31, 31, Anthony, 31 years old. So what's next?

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I did get actually, I did see you here a few months ago, back in February at Church of the Redeemer. Oh, yeah. Financial people. Yeah. Me and my mom went to go see you and Chris Hogan was real cool. I just want to say you did a great job at the event.

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Oh man. Thank you, man. Feels good. Feels good. Let's back when we had events there, we haven't had we haven't had one since then. I'm hurting right now. But hey man, what's next bro? I mean, you're 31 years old, young, sharp guy. What's next for you?

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Right now, just focusing on my career, I'm a cyber security consultant right now in the area, just me manager last year, so I'm just trying to stay on path with that. Also just trying to focus on paying down my house because I kind of bought the house before I discovered the program. So right now, I'm just trying to pay down my house faster and just stack up my money right now. So that's that's the goal right now. So how does the.

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Today, you feel different than the 14 month ago you. Oh, I'm just less stressed day, like I was just floating along with my credit card debt, my student loan debt, thinking that it was fine, I had a roommate at the time and I was making a little less money to help supplement my mortgage payment. So it was just kind of just walking on ice for a long time. I would say. And then once I started making a little bit more money.

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But I found your program first. So honest, honestly, I think. It was a mixture of just a huge influence of this guy saying, hey, I'm not going to bless you with this income until you learn to start managing your money, right?

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Yeah. He goes, oh, that's a smart one.

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There's one I can trust. I'm going to give him a little more. Exactly. So if I can manage 78, I can manage one hundred and so on and so forth. So, hey, man, I feel like once once I got that peace down the first couple months, then I got the boost in income. And, you know, the rest is history. I was just game on. It was just extra extra money throughout the day.

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Yeah. Very well done, sir.

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Very well done.

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What do you tell people? The key to getting out of debt is you paid off 47000 in 13 months. What's the key? I would say there were three that I really hung on to, and it was just to stay disciplined and stay focused and to stay on the budget. Those are my big three. The first two were kind of I've already been kind of keen on those things because I'm very active. I love being in the gym. I love sticking to my diet, my openness, lifestyle.

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So I just had to apply those principles of being focused and disciplined to my money. And that really helped get me over that hump. But the budget was, oh, my gosh, that was like the number one thing that changed my life because I had no idea how much money was going out. So once I finally got my hands around that, it was just an amazing feeling just to know that I was in control for a change. Yeah.

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When you're in a situation like you were in emotionally and you start doing a budget because you're real serious all of a sudden about getting this done, that budget makes you feel like you got a raise, doesn't it?

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Yeah. Oh, it did. Oh, for sure. I was like, I can't believe all my money's going here. And I actually have more than I thought. And then it was a, you know, life changing at that point.

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I was like, all right, I can do this, you single Darryl. I am. Oh, yeah.

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Oh, well done, sir. Very well done.

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I love it. I'll let Anthony talk to you about all that often. I'm just worried about whether I'm worried about where this is going. Right. Or something like just start man. Debt free day. Yeah. Gibble now he's. Oh man. Ladies, ladies. He can, he can, she can take him home and show dad she. Sure. But the question need to be can he take her home and show my.

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Oh. There we go, because because my mom is a financial piece, mom, she is. There we go. That you have. I do you for my son. Oh, you're hard.

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I'm just telling you, I'm on the left right now.

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We got we got a copy of Chris Hogan's book for you every everyday millionaires, because I certainly the next chapter in your story, Hero. We're very proud of you. Sorry you took control of your life and you proved that you can do anything you want to do when you set your mind to it.

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I'm so proud of you. Very, very, very well done.

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Darrell in Washington, D.C.. Forty seven thousand paid off in 13 months, making seventy eight to one twenty five. Count it down. Let's hear a debt free scream. Three to one are debt free. That is what it sounds like when you're free. Amazing. Very well done. You know, the best way to get control of your money is with a budget and Rachel Cruise talks about this to where we can't get her up about talking about all the time.

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But but she's like the budget queen.

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She really is. And which is hilarious because she's the spender among my kids.

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But you can you can even be a spender if you have a plan. Yeah. And so you have to have a budget, give every dollar a name. And he said it, the budget was key and you jump on the every dollar budget gap it's free to download every single month.

[00:28:10]

The best way to do it is with the new Ramsey plus membership, which gives you all the money products you go through Financial Peace University, you get the every dollar app upgrade which syncs with your bank, syncs with your spouse, syncs with whoever you need it to, and that's where you make your budget. And then you track your spending. And then, of course, you got the Baby Steps app in there as well, where you track your progress as you go.

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If you're in a position, you say never again, never again am I going to be back here.

[00:28:39]

We can help you do all of it with a free trial of Ramsey. Plus all you do is text the word begin to 33 789 text to begin two three three seven, eight, nine. This is the Dave Ramsey Show. Anthony O'Neal is my co-host today here on the air, I am Dave Ramsey, your host open phones, a triple eight eight two five five two two five. That's triple eight eight two five five two two five.

[00:29:49]

Lisa is going to be up next. And Lisa is in San Antonio. Hi, Lisa. How are you? Hi, I'm great, how are you? Better than I deserve. What's up? I have to ask about my daughter. She's a senior in college and she's going for a bachelor's in music and she's talented. And we encourage her to do what she wanted to do and to make a decision about what she wanted to major in. But she came home at spring break this year and of course, didn't go back because, of course, they did online classes and she started having an identity crisis and, you know, thinking maybe I shouldn't be majoring in music because during all of this Cosied, nobody's performing.

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There's no other shows. You know, all of the people that she looks up to are out of work. And so she's like, well, what should I major in? Who should I do? And, you know, I don't know what to tell her. She's a smart girl. She can do anything. And I just thought maybe you can.

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OK, so let me let me clarify. Make sure I understand what you're saying is going through her head because of covid.

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She doesn't think she needs to be a music major or just covid made her stop and rethink the whole career.

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Track that, because I don't I don't think that.

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I think if you make the assumption there's never going to be performances again, then that's an unwise assumption.

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I'm not I'm not making that up. And she's not either. No. She and I told her, I said I will always have the answers, because that's what I mean. People love the art. It's going to come back, you know, and that's. She thought, you know, so many of the, you know, music performers that she looks up to, they're unemployed and they don't know when they're going to be able to work again.

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Welcome to the music business.

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Yeah, and she knows that it's you know, it's not, you know, so he's not going to get a paycheck every week. Yeah, she what does she want to do?

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Can you keep saying music people she looks up to does she want to be an artist as far as a performer. A singer.

[00:32:28]

So she wants to actually say yes, she is actually she sings opera right now. I'm not sure that that's what she wants to do as a career, but that's what she's trained as these last two years at college. And and, you know, she could do anything. She you know, she's played musical instruments, too, and and has done some gigs, like at a restaurant in town.

[00:33:00]

So if she's within a stone's throw of finishing her degree, you know, if she was a freshman, it'd be one thing. But she's you know, she's now into her senior year now.

[00:33:10]

She's a junior. Oh, a junior. All right. Well, that's two whole years of doing the wrong thing then, if you want to.

[00:33:18]

So I think yeah, I think what she needs to ask herself is, you know, what do I want to be when I grow up? And is this degree getting me there? If it's not, it is time to change your major. Yeah, yeah.

[00:33:29]

And if it's music, then I would say, what's the backup plan to that? Because if if they say the world was going regular right now, it still would. It took her a few years to really get established in that particular field, especially in the music industry. I know personally my brother's a hip hop artist and he's still somewhat growing and he's been in it for three or four years. So I would say don't give up on your dreams, but what is what's another field that can fuel and fund my lifestyle while I'm building on that dream?

[00:34:01]

OK, so what do you suggest she's double major in something you wouldn't it wouldn't be bad if she wants to continue on the music.

[00:34:09]

But I think the thing is the purpose of school is not to discover yourself.

[00:34:13]

The purpose, of course, to dadgum right.

[00:34:17]

The purpose of school would be to tool put tools in your belt to execute a career path.

[00:34:24]

And so if she's determined that I don't want to be an opera singer and I'm being trained over a four year degree to be an opera singer, then that's probably a bad track.

[00:34:32]

I mean, you know, she's getting tools to do something that she doesn't intend to do or doesn't think this is viable for her. And so, you know, I think you need to figure out what it is you want to you know, Ken Coleman talks about, get clear about where you want to go and then get qualified.

[00:34:50]

And I think what happened was, was she wasn't super clear on exactly where she wanted to go other than she like music. Yeah. So I'm a music major, just that simple. And then the the the realities of the music business were just highlighted during covid and it shook her up a little bit and made her realize she wasn't sure. That's exactly what the details of that business wasn't sure exactly where she wanted to go. So she's grown up a little bit.

[00:35:14]

Yeah. So you to stop and pause and say, OK, what do I want to do when I'm 39 years old, when I want to be doing and as best I can determine right now and then let's get qualified to do that thing.

[00:35:27]

Yes.

[00:35:28]

If it is music and this music degree qualifies you to do it, then fine. Yes.

[00:35:33]

Yeah, yeah. And then also, too, she got to also realize, Dave, we need to figure out she's a junior rising junior this year. So now is the time she begins to identify what is am I going that route or do I need to change today.

[00:35:45]

This is the time. Yeah. You don't want to you don't go into the year, into this and then negative and you don't wanna finish the degree and then figure it out. So while while she's all shook up.

[00:35:53]

Yeah. Let's reset.

[00:35:55]

Stephen is in Helena, Montana. Hi, Steven. Welcome to the Dave Ramsey Show.

[00:36:00]

Hey, guys, thanks for taking my call. Sure. What's up? So my wife and I are twenty two years old, we just got married last month and she came into the marriage with about twenty five thousand that was paid to her by her parents because she had worked for them her whole life and she was never allowed to manage her own finances until now. So now we've been in the process of buying a house and combining our finances, which led to the discovery that that twenty five thousand she had turned into thirteen thousand because her mother says she doesn't deserve that much.

[00:36:37]

And now we're at a point where we're about ten thousand dollars short on a home down payment on a place you've been looking at. And so now I'm just looking at options we have. What's that, a place you've been looking at? So right now, we have an offer in place and we're about 10000 short for the down payment because now we have thirteen thousand less than what we thought since you've been married too much.

[00:37:04]

Why is the money not moved to your name before now? Well, with the whole covid stuff, I live outside of that town and where her bank is, it's the local bank where she's from. So we just got there, know we went on the honeymoon and everything. So by the time we went there, we've actually been married about five weeks. So cancel your contract.

[00:37:25]

Yeah. OK, you shouldn't be buying a house for money, you don't have a right, you know, the money in your hand and you jump the gun and now you're trying to be mad at her mother. Her mother's obviously a headcase. Right, OK. Didn't she? Well, you had 25000 dollars, but I'm not going to give it to you because you don't deserve it. What? Yeah, who says that, right, so so, for example, if her father would lend us ten dollars no.

[00:37:54]

That no work. No, no, no. Are they married?

[00:37:59]

The parents, yes. Well, why would he loan you 10000 when his wife won't give you 10000? It's already supposed to be yours, right? That's dumber than a rock. Wasn't aware.

[00:38:09]

Yes, he well, he needs to do if he's got 10000 alone and he's just give you the money that you're due.

[00:38:15]

And he can deal with his head case water. OK, and then another option is obviously, if we can go like an sat on that question, you don't have enough or that you don't need to buy a house right now, OK?

[00:38:27]

You need to get married, calm down and get this family debacle straightened out. And next spring, talk about buying a house, OK?

[00:38:37]

And you don't need to be borrowing money from daddy. And we've got to get headcase mother figured out here.

[00:38:43]

So and get whatever money you're going to get without a loan into your name. Settle down, rent for a little while, make sure you're out of debt. You have your emergency fund in place. And then and only then we talk about buying a house. But you're going so freakin fast.

[00:38:57]

You just got home from the honeymoon. Calm down. Just slow down a little bit, dude. This is the Dave Ramsey Show.

[00:39:12]

This is James Childs, producer of The Dave Ramsey Show. On your smart speaker, you can add our skill by saying, Alexa, open the Ramsey network skill. From there, you can listen to all our shows. Ask Dave money questions like How do I invest my money for what is the debt snowball? Find out more about Dave Ramsey Dotcom.

[00:39:30]

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[00:40:04]

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[00:40:10]

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