The Ramsey Show - App - Don’t Borrow Money for School! (Hour 3)

Episode Date: September 29, 2022

Ken Coleman & George Kamel discuss: An ethical dilemma over selling whole life insurance, Paying for medical school, Buying a house with a bad credit score, Leasing a vehicle, Cashing out a 401(k). Want a plan for your money? Find out where to start: https://bit.ly/3nInETX Listen to all The Ramsey Network podcasts: https://bit.ly/3GxiXm6 Learn more about your ad choices. https://www.megaphone.fm/adchoices Ramsey Solutions Privacy Policy

Девочка-пай Live from the headquarters of Ramsey Solutions, broadcasting from the pods moving and storage studios, this is The Ramsey Show. It's where America hangs out to have a conversation about your life and your money, specifically your budgets, your debt, your work, your opportunities to maybe get that dream job and truly live and give like no one else. How about your relationships?

We talk about life, whatever you want to talk about America. We're here for you. I'm Ken Coleman. George Campbell joins me this hour. 888-825-5225 is the phone number. That's 888-825-5225 is the phone number. That's 888-825-5225. Terry is up in Temecula, California. Terry, how can we help?

Hey, can you guys hear me okay? Loud and clear. Awesome. Pleasure speaking to you guys today. Got a quick question regarding kind of a difficult work conversation I'm going to have to have. I'm an insurance agent. I sell property and casualty, so auto home, umbrella, that type stuff. And I just recently got my life insurance license last week. And so it's time for me to talk to my boss about, you know, I don't believe in a whole life or a universal life in line with what you guys,

you know, kind of preach here. And so how should I have that conversation with my boss and just kind of looking for some wisdom there? Yeah. So before we talk about how, what's the point that you're going to be making? What's the very clear thing you want your boss to hear? Don't worry about how to wordsmith it. Just tell me point blank, go. Yeah. I just want to make it clear that I have no intention on ever promoting or selling universal or whole life insurance. Okay, great. And are you required to offer or to sell it in a, and if you're talking to somebody, are you required? Is that something that they? And if you're talking to somebody, are you required? Is that something that they're making sure you do,

or is it just one product in a buffet, if you will? Yeah, it's just one product in a buffet, I would say. So you're not required to sell it? We offer term insurance as well. I'm not required at all to sell it, no. But, I mean, the expectation is there that I'm asking about life insurance and pushing that, which, obviously obviously I believe in life insurance, you know, term insurance, but I understand the expectation is there. And I'm leading to answering your question directly,

but I'm trying to get true context here. I understand the expectation is there because it's one of the products on the buffet, if you will. But are they actively checking up on this and monitoring this? Is this something that you're going to have to confront sooner or later? I think I will have to confront it sooner or later. All right, so that's all I wanted to know. To the point that it's not an aggressive thing that you have to do, I wouldn't bring it up right now. But if you're going to have to deal with it sooner or later, then that's fine. But what do you think the reaction is going to be? I'm honestly not sure. I've got a really good relationship with the

agency owner and it's a fairly small agency that I work at. There's four of us in the office and I am the top producer in the office as far as selling auto and home. Great. And so I'm not, I'm not worried about like losing my job per se, but, um, you know, I just, I just want to make sure I'm going about the conversation. No, I got an opinion. I got an opinion, but I, but, but I want to know one other question. So are the other products, so everything but whole life, are they as profitable for the agency

as whole life or is whole life more profitable? Whole life is certainly the most profitable. That's what I thought. All right. So you're going to have to make a business case on this. And when you go in, and I think you got to go in not with a posture of being indignant, but just go in and be humble and very clear. Hey, listen, just want you to know, I don't believe in this product. I'm not knocking you or anybody, but I just want to be up and up because I'm a number one producer right now. And I just want to be very clear because it's going to come up eventually why I'm not selling this. And I'm going to make the company a bunch of money.

I'm going to make a lot of people very happy and take good care of them. But I can in good conscience sell whole life. And now what you can't do is get sucked into a debate. But if you've got a couple of key reasons as to why, you'd lay that out very clearly and then sit back, and it's almost like you're just gently pushing that plate across that plate across the table and go this is how it's going to be if you feel like you got to confront it now that's the only way to do this and let's just you know i think the fact that you're a number one producer and the fact that you've got clear convictions as to why you won't

sell it i think i think it's uh that's all you can do i don't know that there's any other way that you can handle that. Got it. Got it. How does that sit with you, Terry? I mean, you said this may go very smoothly. And he goes, all right, it's understood. You're not going to sell a whole life. And if someone's adamant about wanting it,

you might pass it off to a different sales guy who goes, oh my gosh, thank you so much. This is great. Thanks for the lead. But I love that you're sticking to your convictions and your values. And thank you for the insider tip. Now we can announce to America that the reason they push whole life is because it's way more profitable than term life. That's what I was. Right, Terry? Can you confirm that for all of us listening? Yes, that is correct. But Terry, now that I answered your question, I'm now going to challenge you. You okay with that? Sure. While we do not like whole life insurance at Ramsey solutions and we're very very clear on our stance on that the fact of the matter is you

have chosen to work for an agency that sells that product and they're not going to stop selling that product i doubt that you're going to lay this out and he's going to go terry you're right as of today we're getting rid of whole life as a product. We're not going to sell it anymore. We're going to talk everybody out of it. That's not going to happen, right? Right, right. So at some point, you probably need to be prepared to go out on your own or go with somebody else who doesn't sell this product. I'm just telling you. I'm not knocking you. I'm just saying this is a conflict here.

It's like working in retail, and they push the store credit card, and that's part of your job is you've got to do it. And you have to say, listen, I'm not going to push the store credit card. Yeah, it's like, hey, I'm working for you, but I don't want to sell your number one product. See, you're laughing because part of me would go, well, then go work somewhere else. This is our number one problem.

So I don't know how it's going to go. I hope it goes well. But at some point, you probably need to go somewhere else is what I'm getting at. That's what I think. Right, exactly. And that is something that I have thought about eventually, like you said, either striking out on my own or going to, you know, a, you know, an agency or somewhere else that, that doesn't promote it or with people who are more in line

with, with my values. But, you know, I mean, I've only been insurance for, been in insurance for about a year now. And this is, I mean, this is the first agency I've worked at. And so now that I have my life license, the expectation is that I'm going to be selling life insurance. And so I just wanted to have that conversation on the front end and get ahead of it. Yeah, again, I love your integrity. But what you laughed at is the point that you're going to have to deal with, which is it's like going to work for an automotive dealer. They sell one thing and you go, listen, I'm not going to sell this one. I'm only going to sell the used cars of the other make.

You're like, what the crap are you doing here? Leave. So, I mean, understand that that's what you're going to be met with. And I understand that. As much as I disagree with Whole Life, I understand why they would react that way. There's other insurance fish in the sea. And our friends at Zander Insurance, for example, don't sell Whole Life. And so there are companies out there who aren't going to push these products.

So there's other options for you if this doesn't work out. But I hope the conversation goes great and you're there for a long time and you're very happy. Yeah. There you go. That simple. But, hey, be prepared to move on. Great reminder that whole life is a ripoff from the inside. You heard it here first.

George, you're so spicy. Thank you. Wow. Hey, more of that coming right up. This is The Ramsey Show. welcome back to the ramsey show i'm ken coleman joined by george camel coming to you from our ramsey solutions world headquarters and i gotta tell you, a great crowd in the audience today in the studio audience area, our lobby. It's a lovely

place, and we give you free food. Free cold and hot beverages. Baked goods. It's a lovely cafe when you come in. It's our gift to you because we love when people come see us. So it's a reminder that we love when people stop by. Just go to ramsaysolutions.com,

and you can check the schedule, and we'd love to see you. And so we love to gift our audience with that. That's something Dave has made a staple here. And then sometimes people, nice people, give us stuff. We go out, and twice an hour, we take pictures, we sign books. And there was a lovely couple earlier today, George, missionaries from the Dominican Republic. And the team came in and they gave us some coffee. They gave you and I a bag each of some Dominican coffee. And you love coffee and I love coffee. How many cups a day?

I'm a two. Yeah. I'm about four. Wow. Oh, yeah. All before 11 a.m. If I'm not caffeinated, I'm irritated. I'll tell you that much.

So anyway, this is very nice. I'm holding a bag of Cafe Santo Domingo. And we teach generosity around here, and sometimes we're the beneficiaries of that, and it gives us great joy. So there you go. It's very kind. Very nice people. They did not tell us their names, so we're thanking them publicly.

There we go. They were very humble about it, so thank you. Come visit us. You don't have to bring us anything. We promise. You don't have to, but I'll receive you don't have to but people do that for like for showers and birthdays they go guys no gifts no gifts yeah right but then you're the one guy who didn't bring the gift because everyone else you're the one saying no gifts i say hey i'll take your gifts ken will take it i know this you bring food if george won't eat it james will that guy's never turned down free food. Like ever.

So there you go. All right, to the phones we go. 888-825-5225. Drew is on the line in Phoenix. Drew, how can we help? Hey, good afternoon, guys. I applaud your hearts and your ministry. Thank you very much for what you do.

Thank you, sir. Quick question. My daughter just got into med school. It's one of the more expensive ones that accepted her, so it's $90,000 a year. She's worked real hard for the last couple years while she was making applications, and so far this is the only one that accepted her, so of course she said yes. She has about $25,000 in the bank. She has no debt. She lives at home.

She drives a car that my wife and I have provided for her as well as insurance and gas, and we give her a credit card for spending money. We're doing everything we can to help her out. So I've encouraged her to not use her 25k towards her school but just to use it towards de-stressing wherever she needs to and I just was kind of wanting to throw that at you to make sure I'm not giving her horrible advice here well I heard you mention that you've got a credit card for her to cover expenses. What's that about? Okay. So, so I, I, like I said, I applaud your ministry and I agree with, with every bit of it,

the credit card thing. My wife and I have a credit card. We pay all of our bills with our credit card and get the airline miles out of it. And every month we have a zero balance on our credit card. So I don't know if that's considered double dipping. And I understand why you can't encourage people to do it who can't keep a zero balance, but that's just the way it works for us. Okay. Well, you can do your plan. That's fine. You don't have to agree with every bit of what we teach. But for your daughter to give an 18-year-old a line of credit who is already broke and say, just use it when you need it, that turns into $5,000 of credit card debt real quickly. And I say that because I was that guy. Okay. And so that's my worry for her. She is not that guy. She's 25 at this point. Like I said, it's taken her a while to get in. She has no debt that we've paid for her whole undergrad.

She's about to have a whole lot of debt, isn't she? Yes, she is. $360,000. Yes, she is. Yes. Have you run that number, Dad, through your head? Have you really thought through the amount of that debt and how crushing that is and how long that's going to take her to pay that back?

I don't know what the other option is if her passion is to be a doctor. But this passion didn't start today. The last seven to 10 years were there conversations about, hey, I want to go to med school. What's that going to cost? Coming up with a plan of how we're going to try to pay for that. Have you guys saved up at all to help with that? Has she been working to save? It sounds like this is just, you woke up overnight and went, all right, we're going to go 360 grand in debt for med school, and it's the only option. That's a valid criticism. But can I push back too? So here's the deal. There's really no answer to that. So the issue is, is that this is the only school that she's gotten into for a variety of reasons.

Correct. Correct. But it's not the only med school, and I can guarantee you it's not the best option for her because of the sheer cost. Do you remember the last time you went to the doctor? You got a ballpark idea what that was? Remember that? Yes. Okay.

Did you at any point before the doctor examined you ask him or her to show you their diploma where they went to school yeah nope why uh they they pre-qualified with credentials just by having a place what but you trusted that just because they have a doctor's office? You just went in there and you trusted your body to them? Well, obviously with consent to everything they were saying, yes. Right, okay. But you see where I'm going here? Nobody cares, Drew, where your daughter gets her medical degree from. So I would say if she can get into the most expensive, most prestigious

med school, then she can certainly get into the other ones. And it's time to redial up and go, okay, I'm not going to spend $90,000. I'm not going to go into debt $90,000. I'm going to go to a place and I'm going to see if I can get it for half that. And then I'm 25. I'm a grown woman and I'm supposedly so responsible that she can make the money and cash flow her way through it. She's already got 25 in the bank. So while she's in this med school, your recommendation would be for her to keep applying to other med schools? No, I'm telling her not to go to this med school. I'm telling her to reapply and bust her tail and buy the truth,

not the myth that the medical school that you go to is any indicator of your success? Yeah, again, that is not part of the equation. The equation, as you said earlier, was just that. Why is it not part of the equation? Why wouldn't she apply to? Because it's the only one that accepted her. Yeah, but my point is why? I want to dig into why was that the only place that would take her.

Was it because of her scores? Her scores were average and above. So the most expensive school takes her, but the other schools won't? You know what? It was a shock to all of us. I just don't think it's the whole story, Dad, but I'm just giving you real advice. I just don't think it's the whole story, dad, but I'm just giving you real advice. I, I, I, I just don't buy it. I, let me, let me, let me give you another perspective on this. I've

got some friends who, um, had to take the LSAT. I've got multiple friends who had to take the LSAT to get into law school multiple times, multiple times. And, and where there's a will, there's a way. And they finally got in and they did it. And I just, I don't buy the narrative that this is the only option for her to go into $360,000 worth of debt. So I'm challenging that, George. Yeah. It just still feels like we haven't talked about this enough. And I want you to sit down with her. You said she lives at home, right? Yes. Okay. I'm going to help start this conversation and gift you guys Borrowed Future, the documentary. So hang on the line.

Austin's going to pick up, and we'll get you a link to watch that and a code. And here's all I'm asking you to do. Sit down with her this weekend. It's 88 minutes. Watch this documentary and have it spark a conversation. And you don't have to hope. It's going to spark a

lot of questions because there are some heartbreaking, real stories. There's some inspiring stories. We uncover how the college system really works, and it really puts a bad taste in your mouth about the whole education system. And there's a lot of villains in the story from the student loan companies to guidance counselors to parents who are out of control, but it breaks it down in such a way that it's hard to argue that going $360,000 into debt is the right path for anyone or the only path. And what happens if she doesn't graduate? What happens when she's in residency and can't pay the bills? And all of a sudden the dream becomes the nightmare and she can't buy a house. She can't start a family. She can't have kids. That's where we're leaving this generation when we're putting

them hundreds of thousands of dollars in the student loan debt to reach the dream. Which becomes a nightmare is the irony. And well said, George. Bar of Future will show you the scary part of the back end of this. Every parent needs to watch this with their kids. So true. Required reading and watching. Thanks for the call, Drew. Hang on. Hang on. This is The Ramsey Show America. I'm Ken Coleman, joined by my colleague, George Camel. We are thrilled that you are here with us. We want you to find out for yourself why Blinds.com is the number one online retailer of custom window coverings.

You get free samples, free shipping, and with the new promos they run every month, you'll save even more. Make sure that you use the promo code Ramsey to get the best deal. Today's question comes from Brian in Texas. I'm 21 years old, and I make 60K. I've been informed that if I stay in my current position for just under two years, I'll get a raise and make 80K. Should I stick it out here and continue for the two years to get the raise or should I continue to look for a better paying position from a different employer? I'm saving for a home and I'm trying to figure out the fastest way to reach that goal. It's a good question. And in a trade like this,

as a technician of some type... He just said he'll be a master technician. Yeah, he mentions that in the bigger question. And so this is some type of a trade. And so what you've got to make sure of, Brian, is that you don't leave an opportunity to move up long term. If you go somewhere else, and let's say that you're making 60 now, and you go somewhere else, George, and he makes 70. But it's not as good a long term prognosis by staying with his current company, if they're going to help him be that master tech, and then he's going to make that money, and he sets himself up to even run his own business one day is what we hope. So I'm okay with him leaving to get more money faster if he's qualified to do so, and it still sets him up for his long-term goals to be that master technician. So that's the answer there. And you see this a lot. Young people, they really want that house, and they want to try to do

it as soon as possible, but sometimes we can try to do something too soon, and it hurts us in other areas. Yeah, and you can't microwave this experience, and so if this company is paying for this training for him to become a master tech, and he loves this company, I would stay there, and the kind of part of the bonus there is after two years, you'll get this nice raise. Yeah. So it's not a bad deal. Yeah. Have you ever wanted to hear the most popular calls that we take here on The Ramsey Show? Or do you love a good rant from Dave? Yes. We all love that.

Those are all rhetorical so far. Yes. If you want to listen to our take on current events, if you want to see and hear the best debt free screams that people love the most, we've got a new limited series titled The Best of The Ramsey Show, where you can get all those things and more. We hit on the current real estate market, investing, and how to take control of your life and money and your work in these crazy times. You can find these special episodes on the Ramsey Show YouTube channels or on Spotify. Just search for The Best of the Ramsey Show, The Best of the Ramsey Show on YouTube or Spotify. You won't regret it. Check it out now.

All right, to the phones we go, 888-825-5225. John joins us in Phoenix. John, how can we help? Yes, how are you doing today? We are having a blast. What's going on? Well, I'm looking to purchase my first home on minimal credit history. Okay. George is your guy. I love these conversations. It's what wakes me up in the morning. Oh, really? That and coffee. We'll give you some advice here. What do you mean by minimal credit history? Well, I've only had two credit cards. I'm 42 years old. I've only had two Fortin credit cards. One, unfortunately, is on my credit right now as a negative for about $600. And the other one I opened up in April as a secured credit card for $300. And since I've had that, I have paid half my balance off 15 days prior to my due date, and then the remaining balance three days prior to my due date.

Okay. And where does that leave you with a score? Have you been checking your score? I'm at about a 585 right now. Okay. How much debt are you in total? Probably about, I'd say probably about $1,600 total, not including medical bills. Okay. How much are the medical bills? Medical bills is probably about five, 6,000. Are you current on those or are they in collections? They're in collections. Okay, because we're going to have to clean those up too, because all of this is dinging your credit history, which is not going to be fun going to a mortgage lender saying, hey, will you please lend me money? Okay.

And so I'm less concerned about getting your credit score up. Is that kind of your question? How do I get my score up so that I can qualify for a mortgage? Not necessarily. I mean, I want to kind of avoid the sharks out there that just want to eat people up and try to sell them something that they can't afford. And me and my wife's a cancer patient, so I take care of the family on my own and I make about $88,000 a year with my bonus included. So I'm just trying to find something because our lease is up in March of next year. And if I go rent, I'm going to be paying over $2,000 a year with my bonus included. So I'm just trying to find something because our lease is up in March of next year. And if I go rent, I'm going to be paying over $2,000 a month and paying for somebody else's mortgage instead of paying for my own. And I'm kind of tired of doing

Well, I don't buy into that mantra. I think renting is buying patience. I think it's really wise to do. And clearly you've already been bitten by the sharks because you're sitting here at a pile of debt that's affecting your credit history. And so my A1 for you is to pay off all of the debt. And that means negotiating with the medical bills. If they're older, if not, we just got to find them, scrape the money together to pay those off and get the 1600. I mean, you make 88,000 and you're telling me your total debt comes out to about six or 7,000? thousand correct so we can pay this off in a few months if we're on a budget we're pausing investing we're getting gazelle intense we're doing whatever it takes to get this debt out of our lives for good and george i've got a question on behalf of

john uh if he doesn't clean this up he's not going to have the option of a no you're not going to qualify renting is all he's got or if he, it would be such a horrible rate and horrible terms. So I just want to make that clear. Renting is his only option until he gets his cleaned up. If I'm in your shoes, John, here's what I'm doing. I'm going to pay off all of my debt within the next three or four months. Does that sound reasonable? Yes.

Okay. After that, you are completely debt-free. We're going to get a fully funded emergency fund in place. Do you have any money in the bank right now? Right now, I have about $14,000 saved, and within the next couple weeks, I'll have another $11,000 to add on to that. John, why aren't we paying off the debt today? Because I was saving up for a down payment on the house. We're not ready for that. That would come later on after we're completely debt-free and have the fully funded emergency fund in place. So I know we're excited about the home, but right now we're trying to do seven

things at once and we're not making progress. And on top of that, the down payment money is no good if you can't get a loan. Correct. And so follow the plan to a T. Here's what we're doing. We're paying off all the debt today. You have the money in the bank, and you're going to have some left over. Then we're going to restock that emergency fund to be three to six months of expenses. And then your credit score over time, over the next six, nine, 12, maybe 18 months, worst case, will become indeterminable to where the mortgage company is going to try to pull the score, and they're going to say, we can't find one. John is invisible, just like Ken was in high school to girls.

There you go. Well played, George. Got him. Well played. And so this may be a longer-term game, but guess what? That 18 months that you're sitting there gives you a lot of time to save up that down payment, doesn't it? Yes, it does. And now this home can be a

blessing instead of a curse when you get into it. Okay. So we have to reset our vision for what that future looks like. Cause you were excited to get into a home, you know, by March once this lease is up, but now it's looking like, okay, we're looking at end of 23 before we're even close to ready. And so I want you to walk into this with wisdom. Obviously, you guys have been through a lot. You guys are warriors, man. I'm proud of you guys. But I want you to focus on one thing at a time so that you feel the progress and so that when you do get into this house, you breathe easy and you can afford the mortgage very easily. It's a quarter of your take-home pay on a 15-year fix because you had the diligence to get rid of

your debt so that you had your greatest wealth building tool back in your life, your income. Do you feel the peace that that brings you? Definitely. Definitely. Okay. And you can go check out my episodes of The Fine Print. We did one on the credit score. We did one on the housing market and what that looks like. And I talked to an actual mortgage loan officer who talks us through what it looks like to get a house without a credit score. And I speak from experience, John, because I've done this myself. No score, and I got a mortgage. It's possible, and it didn't kill me.

Ken, I'll tell you, a lot of people go, it's so much harder, and your interest rate is going to be... Nope, ran those numbers too. And if you put at least 10% down, you do a 15-year fix like we teach, your mortgage interest rate is just as good as someone with an excellent credit score. So let's put that one to bed, too, while we're at it. And to bring your jab full circle. Can you tell them a little fired up about this, Ken?

I matured. I developed into a small-sized man. Wow. And married a beautiful woman. You did. And he's going to have a beautiful house. It turned out great for Ken. It did.

So you've got to sell the end of the story. You've got to go through the desert, baby. Wow. There was some silver lining on that one. Well, I had to bring it full circle, George. It did. I saw you had to, you gotta sell the end of the story. You gotta go through the desert, baby. Wow. Some silver lining on that one. Well, I had to bring it full circle, George. Thank you. I'm still wincing in pain from that jab. I'm sorry. Usually I make fun of myself, but I thought, let's try Ken today. You can take it. I can handle it. I thought it was well placed, sir. Thank you.

Well placed. Hey, John, you got this, man. You can do it. The best is yet to be. Don't move. More Ramsey Show coming right up so so Welcome back to the Ramsey Show America. I'm Ken Coleman, joined by George Campbell. Thrilled that you are with us. Our scripture of the day comes from 1 Thessalonians. George, you've got to say that one slow.

You can't rush into that. Thess-a-lo-ny-ans. There it is. 1 Thessalonians 5.11. Therefore, encourage one another and build one another up just as you were doing. We were doing that during the break. We were saying nice things about each other. We were.

After I ribbed you in the last segment. It was all good. We came back. Good, good, good natured ribbing. Our quote from Tony Dungy, look for opportunities to share a word of comfort and grace with someone today. Perhaps through a story of what God has done in your life. Hey, I want to remind you, if you enjoy the show, please consider subscribing, leaving

a review, and sharing it with a friend. The show's growing, bringing in new people all the time, and that helps us. So thank you, thank you, thank you if you would do that. Subscribe, review, and share, and we will be grateful for it. All right, 888-825-5225. Joe is up in Oklahoma City, Oklahoma. Joe, how can we help? Hey there, guys.

My dad recently offered to buy me and my wife a new car, but he would be leasing it. I'm just really calling in to see, should we accept it? And if we did, how do we go about that? I don't like almost anything about the situation. That's a weird form of generosity because you're putting him into debt. Is it in his name and you're just driving it? Is the title in your name and the loans in his? So the title would be in his name. no he would just be giving it to us and we wouldn't have to make any payments oh no this is just no haywire man i would not accept this i'd say hey appreciate the

generosity uh it's very kind of you but this is going to put you in a precarious situation and we want to own whatever we are driving and we want it to be in our name. And I appreciate that. If you want to gift us, if you want to write a check to help us purchase a new car in cash or a used car in cash, we would love that, but we don't want you going into debt and robbing your future for this gift. That's how I would put it as nicely as possible. Yeah. Okay. What would he say to that? Well, I told him that and he, he, he just replied back, um, to accept it and to, uh, uh, yeah, just to accept it. So me and my wife have just been talking about it. There's nothing, it's more of just in the talks to know my dad, uh, it's very possible it could happen. And so, yeah.

How's he doing financially? Is he, like, in an amazing spot? Would you say, eh? He is, I think he's in a good spot, but now managing his finances is another thing. So I think that's why it makes me worried. Yeah, listen, how old are you? I'm 22.

Dude, you're a grown man yeah like that whole knowing my dad it's gonna happen and you're just resigning yourself to it and i if you called us for permission we're not going to give you the permission if you called us for verification that what you were feeling is correct that he shouldn't do this you don't want to do this then you are in fact right and you it's time for you to man up and say, Pop, I don't want it. I'm not going to take it. And here's the reason why. Thank you. I'm very grateful. This is not a good financial move for you. And I don't want to be a part of it. I don't need it. Yeah. Do you have a car right now? Yeah. Me and my wife both have two cars paid off. And they're fine. Are you needing to upgrade one?

No, I would love a truck, but we don't need one. Now, let me just say this, Joe. You can't stop your dad. If he goes out and puts a lease in his name, but you don't have to drive him and say, Hey, I told you not to do this. I'm begging you not to do it. I'm not going to drive him. And then tell him, you're going to have to pay the stupid tax hey, I told you not to do this. I'm begging you not to do it. I'm not going to drive. And then tell them, you're going to have to pay the stupid tax because you're going to lose money on this deal after you have to get out of the lease. Right.

And I don't want that for you. What do you think is motivating this, Joe? I think a little bit of it is that whenever I was growing up, him and my family weren't at the place that they're at now financially. And so I think now one of the things that plays into it is he wants to, you know, kind of, I guess, give me something we didn't have growing up. Yeah. Even though I wouldn't have had a truck growing up. Okay. But, yeah.

I would acknowledge that when you tell him. Say, hey, I appreciate what you're doing. It's awesome. But I don't regret anything. I don't resent you. You know, like I would add some of that to this conversation, you know. And if he wants to do something smaller for you, say, hey, there's other ways that you could bless us that I think are, you know,

much more financially responsible. Maybe Jell-O of the Month Club. I don't know. Is that a real thing? The gift that keeps on giving. Isn't that from Christmas vacation? Nobody wants that gift.

No, nobody does. It's my point. You don't need to bless us, Dad. You don't have to give us something. Do you know what I mean? You raised me to be independent, and I'm a grown man now, and I want to do this on my own and own it and really feel the ownership. And I feel like if you gift it to us, we're not going to be able to do that. And so if you want to write us a check later on in life that can help go towards that truck, I'd love that, but

no pressure. Yeah, just take the, like, you don't have to do this, Dad, you know? Yeah. And that, I think, hopefully comes from a spirit of gratitude and humility and hopefully that'll work so tough stuff though yeah appreciate the call yeah thank you that's uh a dad who means well and but creates a really awkward situation and then obviously a bad financial situation for himself how many calls do we get where the kids are going hey my parents didn't take care of themselves financially, and now we have to. Right. And that's what I see in the next 20 years for this guy. Absolutely. Let's go to Jacksonville, Florida. Gary is there. Gary, how can we help? Yes, sir. Hi. This is a first-time caller.

Thank you. I'm just on the back patio right now, working on generator, getting it ready just in case the power goes off. Hey, me and Ken have been there, man. Yeah. We just don't know exactly what this storm is going to do yet. Well, I hope you guys stay safe. Is it in your path? Yes, sir. Yes, yes.

It's supposed to be up in this area sometime tomorrow. All right. How can we help? We don't want to take you away this area sometime tomorrow. All right. How can we help? We don't want to take you away from that generator. Yes, sir. I'm 61 years old, and I'm actually going to a financial advisor next Friday. But I'm wondering if I should just – I'm thinking about retiring in the next year and a half, two years.

And I'm wondering if I should just go ahead and take the money out, go ahead and pay my taxes up front and be done with it and be done with the stock market. What should I do? And that's a great plan if you plan on running out of money in the next 10 years. Do you plan to live past 70? I hope so. I hope so, yes, sir. I would leave that money in there growing.

Gary, don't do that. You're afraid because you see the stock market news every day. Gary, let's say you live to 90, right? That's a high possibility. Yes, sir. Over the next 30 years, do you think the stock market is going to be in a better place than it is today? 30 years from now, looking at the track record of the last 30 years. It should be.

The answer is yes, unequivocally. Yes, yes, yes, yes. And so what happens is if you stay invested in the stock market, that money is going to grow and you won't drain the principal. Because what happens is when you cash out today and you start withdrawing to create an income for yourself, that money is just sitting there flat instead of growing. And that's how people run out of money in retirement. So I don't want you to be fearful. I would contact a smart investor pro. Don't just meet with any old financial advisor and they will help talk you off the ledge, show you the charts and graphs and show you what the next 30 years will look like if you leave your money in. Gary, here's the deal. You haven't lost any money. I know that you're looking at your statement and the value has dropped, but

you haven't lost it because you haven't pulled it out. And let me just tell you, the stock market, as you know, is a big money game. And I'm telling you that there's a lot of money on the sidelines right now because of recessionary issues, inflationary issues, all the stuff that's going on, and the people that are big money in the stock market that drive the price, the ups and the downs, they've pulled their money out for a season. They're going to put it back in. And every month when you are contributing your 401K,

you are buying stocks and everything you've had so far at a great discount. And when it goes up, you are going to cash in, Gary. So hang on. Don't jump off. Stay on the roller coaster. Nobody gets hurt unless they jump off. Hang in there. Be safe.

Take care of that generator. Hope the storm doesn't hit you too hard. Hey, George Campbell, great stuff. Good stuff. Oh, we're shaking against that. First handshake ever on air. I love it. To James and the crew behind the glass, you guys rock.

To you, America, we do the show for you. This is The Ramsey Show. Hey, folks, Ken Coleman here. Did you know The ramsey show is one of the most popular podcasts in the world it's your daily dose of advice on life and money check out all of our shows from the ramsey network wherever you listen to podcasts