The Ramsey Show - App - I’m Still Freaked Out by the Real Estate Market (Hour 1)

Episode Date: October 25, 2022

Dave Ramsey & Kristina Ellis discuss: Being freaked out by the housing market, How to figure out what baby step you're on, Paying off student loans with retirement funds, Student loan forgiveness updates. Have a question for the show? Call 888-825-5225 Weekdays from 2-5pm ET 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

Live from the headquarters of Ramsey Solutions, broadcasting from the Pods Moving and Storage Studio, it's the Ramsey Show, where debt is dumb, cash is king, and the paid-off home mortgage has taken the place of the BMW as the status symbol of choice. We help people build wealth, do work that they love, and create actual amazing relationships. Christina Ellis, number one best-selling author and Ramsey personality, is my co-host today as we answer your questions about your life and your money.

Open phones at 888-825-5225. If you are just joining us this week, yesterday we launched the Gazelle debit card brought to you by Ramsey. Thank you to the thousands and thousands and thousands of you that have already registered and already gone and gotten the app and applied. And we're getting your Gazelle cards printed and out to you immediately. This is the debit card that helps you spend and save the Ramsey way. No, we're not becoming a bank. Believe me, I don't want all those regulations, but there is a bank that does this, and we're the front-end skin of it, marketing, so to speak.

And, hey, it comes with a debit card, a spending account, a mobile app, and it connects seamlessly with every dollar. Be sure and check it out. Already got people in the lobby holding theirs up. It is by far the coolest-looking debit card ever made, and that's really not an exaggeration. It's really sharp. It's very sharp.

I mean, the gazelle looks pretty intense. We told the audience yesterday, we talked about putting a red eye in him, but he looked like a devil dog then, so we didn't do the red eye because we didn about putting a red eye in him, but he looked like a devil dog then, so we didn't do the red eye because we didn't want a devil dog, we wanted a gazelle. But it's made for you guys. And, you know, some of these cards are, they got more fees than a French poodle. I mean, it's fee, fee, fee, fee, fee, fee, fee everywhere. And we don't have all those fees, okay?

We don't fee you to death. We're not going to try to make money off of you selling you debt. We don't run a nice commercial with pretty little people and then get you 22 in debt like sofi does we're just really going to just help you handle your money with a debit card it's real simple so go to ramsey solutions.com slash gazelle you can get started it's certainly free to start your account and uh it we're not going to hit you with so many fees that you think you're a french poodle so just be ready you're going to love it you not going to hit you with so many fees that you think you're a French poodle. So just be ready.

You're going to love it. You're going to love it. It's pretty incredible. And, you know, kind of when you do your groceries with this or you're out in public, you're kind of making a statement. You know, like, I am in control of my money. I am not spending like I'm in Congress, you know? I mean, it's just like your little gazelle card just says i'm i'm part of the tribe man and it's all free that's you'd electronically transfer your stuff in it's fdic insured so

be sure you don't mess out ramsey solutions.com slash gazelle you can get started the big public launch was yesterday and so you're seeing it everywhere including the front page of the fox website from an interview george and i did yesterday morning that they've already popped up there thank you fox and fox business we appreciate the coverage so tons of good things going on all right let's jump to the phones nick is with us in virginia hi nick welcome to the ramsey show uh thank you day thank christina i'm uh i got my gazelle card a few weeks ago i'm holding up it up high right now. All right. We need to put like a light on it so you can hold it up like a cell phone, right? Have a concert. All right. What's up, man? How can we help? Yeah, Dave. So I'm moving from D.C. to

Greenville, South Carolina. We're looking to buy a home in December and then selling our current home in D.C. in February. I've listened to the real estate reality check. I read the blog post that Vicky put out a month after that. I'm just still worried. It might sound ridiculous, but I'm just still worried about housing prices crashing, getting stuck in between two houses, everything like that. I'd love to hear some more of your thoughts on that and some more reassurance well i mean since washington continues to layer stupid upon stupid there's a lot of reason for us to uh be a little worried i

mean it's you know you just keep watching them i mean how many more dumb things can you people do up there um and so i not you personally but i'm just saying dc you know the the politicians the freaking white house has lost its mind economically it's the worst economy inflation wise in 40 years so yeah i can understand you being concerned i mean i kind of look over my shoulder and i know the data and i'm real comfortable with the facts but your emotions do creep up on you i don't blame you for that i I can understand that. I went and talked to one of my friends that's a custom home builder this weekend, and he goes, yeah, it changed. He goes, I got no customers.

They were lined up around the block, and he's got no customers. So, yeah, it's changed. And he's talking about building stuff next summer, you know you know that kind of a thing a year from now and so that which is not far from your time frame so but all that to say yeah i emotionally agree with you but the facts are still there there is still four buyers for every house that's up for sale uh the facts recent data as you know i started i read two articles on the air yesterday george and i did that um that are coming out with fresh data even out of california which is really experiencing some problems because of the mass exodus um and we've got a california refugee problem in tennessee and so um uh but the uh uh you know this still is affecting things but the uh uh the data nationwide for greenville south carolina and for uh arlington virginia is still that there's about four buyers

for every house that's for sale uh now that they're not as active and they're not as frenzied as they were but that was an unusual frenzy for about two and a half years we went through there. I've been in the real estate business since 1978. I've never seen people act like that before. Usually it takes about 90 days to sell a house, and you're going to get a couple of offers, and none of them are full price. And that's a normal house selling process over the last 40 or 50 years. You're going to experience that and you don't have to rush over and overpay for something when you get to greenville south

carolina you're going to be able to walk around look at houses and make an offer and think about it and you know use a normal buying process too now what i would do and i would do this in any economy is i would not buy a house until yours is sold. Yeah, that's what I was wondering. What is the, what's the reasoning for buying in December and selling in February? Just the slow process of moving. My wife's wrapping up her job. So it's that's really, she's from Greenville, South Carolina. So we know it very well. I mean, I've been there probably once or twice every year, once or twice a year for the last 10 years. So I just kind of wanted to do it. If you end up with two house payments,

you're going to become what's called a motivated seller. Well, the other house has almost paid off, so I could do the writing check today and pay it off. Okay, well, if you want to pay it off and sit on it. But here's the thing. Even that, with it sitting up there empty, and you're paying taxes and insurance and utilities and you got to keep it all nice and proper so it can be shown uh you're going to reach a point emotionally that you become a motivated seller i want that i want rid of this thing i want that chapter of my life

closed so be real careful with that because you i don't want you to give it away because you create a situation for yourself. So I personally would rethink that and say, I'm not buying until mine sells. And if that means you rent for six months in Greenville or you do some other plan, you do some corporate housing in Arlington because you sell the house out from under yourself in December and your wife has some things to close up then that's fine but I'm gonna change the logistics to flip-flop on that where I buy 90 days after I sell or at least nine days after I sell and that'll take a lot of stress off of this hey good question man thanks for letting us discuss it. This is The Ramsey personality number one best-selling author is my co-host today

JW is with us in Atlanta hi JW how are you hey., how are you? Hey, how are y'all? Better than we deserve, sir. How can we help? So, I just started listening to you about a month ago. I've never really known about you or anything, and I'm trying to figure out how much of a stupid butt millennial I am and what baby step that I'm on, which way I should be focusing my gazelle intensity. I'm kind of lost at the moment and I don't really know which way to go. Well, tell us about your situation right now. How much debt do you have? The only debt that I have is my house. I've never owned a credit card, and I've never bought anything that I couldn't pay for. Well, that sounds like a good start.

Well, you may know a stupid butt millennial, but you're not one of them. Okay, so we've already got that ahead. But I am curious, why do you think you're making stupid decisions well i mean some of what you guys say is you know i've always just kind of done it off of common sense or what i believe was common sense um i'm not the smartest guy in the world so i'm trying to figure out well the only difference is i sell it i know that you guys normally promote paying off all your debt before you start putting money into your 401k or not counting your house college funds yeah i'm not counting your house your debt free except your house you said right yes sir okay that's great and i bought my house about five years ago um i owe about another five years and it'll be paid off how old are you um 32 way to go dude you're killing it yeah that's that's excellent so you would be in baby steps four through six right now which um it sounds

like you're investing right now how much are are you investing into retirement? I put 30% of my paycheck into my IRA. Okay. Well, we typically recommend 15% of your income and then baby step five is paying for your kids' college. Do you have kids? Yes, ma'am. Okay. So we'd want you saving in a 529 plan and then paying off your house early early which it sounds like you're already really motivated in doing that you could you could just increase that a bit take some of that 30 take 15 of that and throw that towards your house but you're doing awesome okay yeah the only fine tune we might do is turn down your retirement a little bit down to 15 make sure you're doing something for your kids if you're not already and dumping all

it on the house so the house might be done in like three years. Oh, that'd be great because it stresses me out big time. And then if it was done in like three years instead of five years because you're only putting 15% in retirement instead of 30, you following me? If that happened, then you would be at what we call baby step seven. And when you're there, that's the last baby step. That's just build wealth and give.

And you max out all retirement and you pile up cash and you're outrageously generous and you and you know you've lived like no one else and now you're ready to live and give like no one else man i will say jw you surprised me when you said stupid bet decisions i was ready for something juicy we were thinking you might be the caller of the week. But no, no, you're just a smart guy. I mean, you're way ahead of the curve. Yeah, the stuff we teach is common sense. It's God's and Grandma's ways of handling money. It lines up with what the scriptures teach about money and what Grandma, or these days

Great Grandma, because some grandmas today ain't getting common sense but great-grandma uh for sure used to be called common sense to live on less than you make always have some money set aside for an emergency always being you know planning for the future called retirement and kids college always be avoiding debt if you can't pay for something that means you don't need to buy it um it keeps you it keeps you out of debt. It's a different mentality than 90-something percent of the public has today. And so Christina and I got a big job. Right, but the thing is, is it's not complicated.

I think part of the reason that he thought he wasn't winning with money is because he's like, this is simple. Like, I've been following these principles and it's common sense and it's simple. I must be doing something wrong, but it really is simple. It's not easy, but it's simple. I must be doing something wrong, but it really is simple. It's not easy, but it's simple.

There is this thing out there, and it's been there for the whole 30 years I've been on the air, I've noticed it, is that people, there's, and I actually have fallen prey to it in the past, not in a long, long time, but there's this thing that if it's not complicated, it must not be good when it comes to money. Like if it's real simple, it must be wrong. Because, I mean, it has to be complicated if it's money. It has to be hard to understand if it's money. If it's not sophisticated, you know, it must be wrong.

And the truth is the stuff we teach and the stuff that works the best is very easy to understand but hard to do because you have to control the idiot in your mirror and the guy in my mirror is my problem if i can get that guy to behave he can be skinny and rich but he's got issues and you know that's a problem i like donuts you know it's a problem it's a problem and so um you know we all have this and you know rachel likes amazon prime, click, click. The stuff keeps showing up on her porch. You know, it's like, turn that thing off. And so we all do this stuff, right? And if we can control our behaviors, personal finance is 80% behavior.

That's why it feels like it should be harder. It should be more complicated. But when you actually face the demons, it is hard. Because it's the demons that are the problem it's not the math the math's easy right and uh but yeah jw we always say around here that uh common sense is so rare if you get it it's like having a superpower all right noah is with us in chicago hey noah what's up hey thanks for taking my call. Just have a quick question. My wife and I, we have some student loans.

We have a Roth IRA with an amount that could just about pay off all of the student loans. Would you recommend that we cash that out and just pay off the student loans and be done with it? Nope. Okay. Nope. How much is in your student loans? About $ thousand and what's your household income um six figures well what's six figures nine hundred thousand or a hundred and five thousand uh 120 000. okay good good for you well how old are you guys uh we are 25. good for you okay i would stop adding to your roth ira because you've been aggressively investing while Good for you. Well done. How old are you guys? We are 25. Good for you.

Okay. I would stop adding to your Roth IRA because you've been aggressively investing while not paying off your student loan. Okay. And if you stop adding to your IRA and stop adding to anything except attacking these student loans, they become your singular mathematical focus. Do nothing but attack those things with a freaking vengeance. Like, ah! Right? Yeah. And you're going to have those things paid off in about 18 months if you do that.

Okay. $2,500 a month, you're done in a year. Well, and that feeling that you feel right now, that desire to quickly get it all paid off, that's a good feeling. Just use that to turn it into gazelle intensity, to use that motivation to do the work day in, day out, to knock out baby step two and pay off those loans. But the fact that you feel that kind of gross feeling where you're like, ugh, I want whatever feelings you've got, negative or positive, and point them at these loans. And that's, you know, it's like anything where you're feeling real positive, but anything where you're pissed off or scared, you know, aim it at that. And just, and then get it. Get it. Get after it.

Stop all the stupid. No going out to eat. No vacations. We're cleaning this mess up. These aren't pets. Get after it. Stop all the stupid. No going out to eat. No vacations. We're cleaning this mess up. These aren't pets. They're loans. Get rid of them. Well, y'all make good money, so you can knock this out pretty quick.

And the sacrifices, the not going out to eat, the not going on vacation, it's just for a season. And once these are gone, you're 25 years old. You're going to have such freedom after that and time to really invest i was cracking up we've got these glass boards that are like three feet by two feet that we have outside the studio when people do their debt-free screams in the studio here are in the lobby they sign you know there's how much debt they paid their name the date that kind of stuff and i was walking and then we every time they get full we move the glass boards and they're all over the building from all the years of the debt-free scream so i get people get to walk around i walked past one of them that we just put up the other day and a guy you know he paid off 93 000 in student

loans and the note was suck it sally may i was cracking up. That's it. Give old Sally Mae the old eviction notice. Put the old woman in the street. She ain't paying her rent. She needs to go. This is the sell the car. But it's important to sell the smart way by using CarWiser. CarWiser is a completely free service that gets you offers from all the top online dealerships instantly.

Just enter your vehicle information and boom, you're ready to pick up an offer and get paid. CarWiser saves you hours of time and hassle. So go to carwiser.com slash Ramsey. That's carwiser.com slash Ramsey personality is my co-host today open phones this hour at 888-825-5225 in the lobby of Ramsey Solutions on the debt free stage Greg and Amber are with us hi Greg and Amber how are you? Hey, we're doing great. Thank you. Good to have you guys. Where do y'all live? Fort Wayne, Indiana. Oh, cool. Welcome to Nashville. And all the way here to do a debt-free

scream. How much have you paid off? $134,000. Excellent. How long did that take? 30 months. Good for you. And your range of income during that two and a half years? We started about $100,000 and we'll be at about $180,000 this year. Whoa! What do y'all do for a living? So I'm a sales engineer. I'm a registered nurse. Ah, okay. All the work you want, huh? Pretty much. Oh, and some more. Yeah. Wow. Way to go, guys. Okay. What kind of debt was the $134,000? Well, the majority student loans, about $80,000 in student loans, and we had a van payment in there. Basement.

Yeah, we had to fix our basement. We bought a new house, had to fix the basement. Dog surgery, medical bills, a little bit of credit card. Wow, good for you guys. So what was the wake-up call? What got you going on this? Well, we really got intense about two and a half years ago. But it all started, I think, in 2008. We were married. We'd been married a few years. I had a good job. I got laid off.

When the recession hit, I got laid off. And that was a really scary moment for us. Right after I got laid off, we found out we were having our first child. Oh, that's perfect timing. So it was really scary. It was really terrifying. So after that, I mean, I worked any job I could. I worked night shift remodeling a Walmart store. And we really worked for the next

10 years to kind of get back to where we were. We lost everything. We almost lost our house to foreclosure. Luckily we didn't. And then in 2015, we took the Ramsey Solutions course at a church. Financial Peace University. Yeah, Financial Peace University. Okay. We were kind of Dave-ish for a while. We would be on board and something would happen and we would fall off the wagon. But what happened 30 months ago?

Because you turned it up, man. You went in. You went game on. Yep. What happened? So January 2020, we decided we're going to do it. Oh, perfect. We got the EveryDollar app.

We were going forward. And then COVID hit. And it felt an awful lot like 2008. And we did not want to do that again. So Amber went back to work. We worked as hard as we could. And we just kicked it into high gear and said no more. So not this time. Not this time.

This time when it comes around we're gonna kick it yes and uh and it resulted in everything being cleared out in 30 months yes yes okay so the income jump was that you amber working during covid just picking up shifts like crazy yeah i essentially took a weekend but i work every weekend every weekend night um and that was really the only thing that worked with we also homeschool so that was the best way to work with our schedule yeah i can homeschool the kids and then greg travels a lot for his job so it kind of keeps some stability and then i go into work friday night and come back yeah with six kids with six kids you can't do it any other way so yeah that's that's

very real good for you guys well done y'all well done are you tired yes yeah especially with six kids but it was all worth it okay so what did we ever go back in debt no never i'm done yeah i'm done are you gonna play on through now and become wealthy oh yeah good yep good i want you to be baby steps millionaires i'm proud of y'all that's our goal yeah well done you guys i love that you took the fear that you felt in 2008 you saw 2020 coming and you took that fear and you just went to action instead of curling back instead of living in the fear you used it to push you forward and really push ahead yeah that's just incredible what other things did y'all do to get out of debt so you worked like crazy did you just buckle down i mean having six kids that's that's a lot of groceries it is yeah grocery pills astounding yeah uh yeah we yeah we have we have a lot of groceries um but yeah i mean it was really we

worked she worked every weekend so we didn't see each other very much um i didn't have i mean go anywhere we didn't really do anything so it kind i didn't have i mean go anywhere we didn't really do anything so it kind of worked out and we just yeah we buckled down cut the budget as much as we could yeah it's very exciting y'all y'all are awesome did people think you were crazy in the midst of this like in the midst of everybody hunkering down and hiding you guys are out there just going for it did did people think you were nuts i think there's already a stigma attached when you have as many children as we do and homeschooling. It's just like, we don't care.

It comes with the package. You're used to stigma. We do stigma. We do it a lot. Yeah, I like it. That's funny. That's good. I like that.

We already did stigma. Who were your biggest cheerleaders? Well, each other, our kids for sure um and then our parents our parents helped out a lot watching when we did have something on the weekends you know the helping out watch the kids yeah when i was working during the week and amber needed help so yeah that's good good moms and dads that's good stuff good moms and dads. That's good stuff. Good grandparents. Excellent job, you guys. Well done. Well done. We've got a copy of the Total Money Makeover for you,

of the Baby Steps Millionaires book for you, both number one bestsellers. If you've read them, give them away. If you haven't read them, read them and then give them away. And also a one-year subscription to Financial Peace University, the new version with the new videos in it. And if you want to go through it, that's fine. If you want to give it away, that's's fine so it's all for you guys it's the live and give bundle

there for you and let's bring the kiddos up give us their names and ages okay so we have noah who's 13 uh we have jack who's nine sam is eight david six esther's four, Andrew's two. And then we have a new one due in March. So we'll have a bigger family. Wow. That's fun. Good for you guys. Well done. Well done.

I do. I do want you to speak really quick to the parents who have several kids who are drowning in debt and feel like they can't do it. What would you say to them? You can do it. You can do it. It just takes, you just work hard and get sick and tired of being sick and tired i guess that's it's tiring but you can do it yeah you guys are walking proof of that

yeah just continue to be faithful even in the small things that's where it adds up yeah that's so good well done you guys good work good work all right greg and amber and the crew from fort wayne i love it 134 000 paid off in 30 months making 100 to 180 count it down let's hear a debt-free scream you guys ready all right three two one i love it wow so good we do hear that from time to time well the ramsey stuff doesn't work for large families and then we often have large families on the debt-free stage doing their screams so it is completely possible it is a different dynamic but so is everything when you have a large family yeah i mean supper is a different dynamic grocery store is a different

dynamic car ride is a different dynamic so that that but you learn to live with that and you learn to live life well with that because that's a life of abundance you've got an abundance of children you have to have a life of abundance in the other areas of your life as well and you have to view it that way instead of like uh well large families are cursed because sometimes it's almost like a under the undertone is like well you know you can't build wealth and you can't be debt free and you can't be on a budget if you have a lot you know it's always this whiny thing when people are saying you know they're hating on us on ramsey saying you can't do this stuff and so you're I appreciate you pointing that out that this is a family that did do this and they did

it I mean in 30 freaking months that's amazing they have worked a lot of hours a lot of hours and I love that she actually embraced it it was it wasn't a bad thing it was actually like this is part of our weird this is part of like it's the opposite of making us feel weird it's we've embraced stigma we've embraced people we tell people not to be normal to be weird and she's like we already were we're doing it you know i mean i like that that's perfect that's a you know weird is a good thing because you don't want to be normal in this culture look around look what normal is you don't want to be normal normal sucks and those guys are weird in the best possible way the best way the best possible way some The best way. The best possible way. Some beautiful kiddos there.

And $134,000 paid off in 30 months. Mic drop, baby. Very well done. This is The Ramsey Show. សូវាប់ពីបានប់ពីបានប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពីប់ពី Christina Ellis Ramsey personality is my co-host today open phones this hour 888-825-5225 a federal appeals court has temporarily blocked president Biden's student loan forgiveness plan halting any debt from being erased but the administration is encouraging people to continue submitting their applications the friday evening ruling comes less than a week since the application portal went live already nearly 22 million people more than half of qualifying buyers have signed up

the administration could have begun processing applications and changing loan balances beginning sunday the order does not reverse the trial court's dismissal of the case or suggest that the case has merit. The White House press secretary said in a statement, the block was issued by the U.S. 8th Circuit Court of Appeals, which is considering a motion from six Republican-led states to stop the forgiveness program. It's one of several lawsuits that have aimed to challenge the program. Six states, Arkansas, Missouri, Nebraska, Iowa, Kansas, and South Carolina,

filed a lawsuit arguing the federal relief program would hurt state-based loan companies that manage some of the loans themselves. Earlier this week, a federal judge dismissed the case, saying it has no standing. The group then appealed and asked the federal appeals court to place a temporary hold on the program while the appeals court reviews the case. One of two things can happen in the upcoming days. court to place a temporary hold on the program while the appeals court reviews the case. One of two things can happen in the upcoming days. Either the court can issue an injunction and the pause will last longer or can dismiss the case and the program can carry on.

The federal appeals court is expected to announce a ruling as early as next week. Man, I've been saying for a while, buckle up, y'all. This is going to get interesting. And it is interesting right now. There's a lot'all, this is going to get interesting. And it is interesting right now. There's a lot of feelings, a lot of emotions out there. I mean, 22 million people have already applied and are counting on it. But at the same time, there's this block and the pause is coming to an end January 1st. So people are really wondering what's going to happen. I would be very curious to know your thoughts, Dave. Well, it's not a conspiracy theory. It's just a political

chessboard. Playing with people's real lives. People's lives are always on the end of the political chessboard. But the political chessboard is this. I told you last spring in March to expect President Biden to issue some kind of student loan forgiveness just in time for the midterms yep to prop his little political butt up because he's a failed president by any standards you have to be extremely left wing to think that weekend at bernie is working up there okay it's you just got to be off your rocker now it's gotten out the cat's out of the bag it's a mess and uh you know most polls are showing that these midterms are going to be a bloodbath but aside from that i'm not a political analyst but if i were doing politics if i were in biden's

shoes i would have done exactly what he's doing i think it's brilliant um one of the few brilliant things he's actually done but um, absolutely brilliant to issue a student loan forgiveness program, knowing that it's going to be challenged, knowing that there's some question of the constitutionality, that the president has the power to do this without Congress approving a half a trillion dollar forgiveness program without Congress's approval. Unprecedented for a president to be able to pull this off. Many scholars say unconstitutional, but I've yet to see a constitutional challenge come through. This is not a constitutional challenge.

This is a challenge on the other basis. So what am I? Not a legal scholar, obviously. So, you know know but from a political chessboard standpoint he issued it and here's his here's what was going to happen either it was going to just sail on through and he gets the credit for having the political cred for having forgiven people's loans and buys their votes which is his game plan or the mean old republicans stop him and these are republican governors at these

states these are republican states that have gone against him and so if it gets blocked and people don't get the forgiveness he's in a perfect seat to blame the republicans see i tried to help you people but the republicans hate the working man and that's all he's you know he set this up so perfectly in the timing i mean now the circuit court has to rule on it the week before the midterm elections i mean the week of midterm elections like maybe you know it's uh two weeks from today november 8th yeah so uh as we're doing this show live at this moment that's that's situation. So as a political chessboard, his timing was perfect, and his play was perfect because the Republicans had no upside to this.

They come off looking like the old meanie that doesn't want their student loans forgiven, or they let this slide through, and we have another half a trillion dollars hit the books because you can't forgive loans. You have to pay them off the money comes from somewhere these banks have to get their money they're going to get their money that means the federal government is paying off the loans that's that paying off the ten thousand dollars with loans so that means national debt is going up again by another half a trillion dollars in an inflationary economy we continue to suck cash

out of the money supply and uh so it's it's a political like you said buckle up it's a political ride now you can disagree with my uh political ascertainment or whatever you want but you got to admit whether you love biden or whether you don't in terms of political chessboard it was it was brilliantly played yeah and his timing was perfect and i also said expect whatever he does to look like it's a big deal but it won't be a big deal i said that in march you said it i remember and guess what it's not a big deal it's a big deal because of the total amount of money but to an individual that has ninety thousand dollars in student loan debt forgiving ten thousand dollars in student loan debt does not fix your life.

On the contrary, it makes you want to sit on your butt again and wait on Washington to forgive the rest of it. That's what you're trying to do. Meanwhile, the bozos up there keep making these loans that are so evil that we must forgive them, and yet we keep making them. That's intellectually dishonest as it can be so how do you keep a student loan program in place that's harming the american public so much so that it must be forgiven and keep making the loans that's completely

intellectually dishonest and that tells you that this is politics odd infinitum and see here's the they still have not answered the questions okay you could file an application and this idea that they're going to forgive the loans by sunday is absolutely bullcrap because the at the the loan forgiveness program announced by the white house says that you have to make less than 125 000 what year last year well that's a good question and they're not even requiring additional how are you how are they proving like I I promise I promise I didn't make more than 125,000 you don't have to turn in tax returns you don't I mean how are you proving your income. They're taking your word for it? Dang. I don't think so.

So I think there's some other stuff. This is not the last we've heard from this. It's going to continue on. It is a bit of a mess. It's a mess, but what would you tell all the people who, in their minds, this is already a done deal, who are counting on this and I mean they don't they don't see any chance that this could not happen well these would be these people would fall into two categories naive people that are young and unbelievably naive people that are old because if you're young I can appreciate that you've not been screwed by your government yet

and so this is your first time on this trip. When you're old like me, you've been like, they've promised me stuff before, you know. And so far, none of the success in old Dave Ramsey's life has come as a result of anything Washington has done. As a matter of fact, it's been all in spite of everything Washington has done. And that's both freaking parties. So never, Santa Claus don't live in dc i know the old guy he lives in the north pole and he ain't there and so you're waiting on the government to fix your life darling your life's gonna suck when the government says we're here

to help that's like saying hey the dmv line is short you know i mean come on really seriously dumber than crud so yeah, it just means you're naive. You're sweet. That's nice of you. And, you know, I don't mind, actually, if your $10,000 is forgiven. It's not the end of the world. I hate that it's all a political thing, and it's obvious political chessboard work. It's obvious.

It's no question. Well, and I think it's a good wake-up call for people who are counting on this forgiveness to still think about controlling the controllables and think about your budget what you control if these payments happen again in january if forgiveness doesn't go through how are you going to pay off your loans think about that now don't wait till the last minute don't wait till it's due start thinking about that now there's also the moral aspect like, hey, you borrowed the money. And now a guy who's a welder, he owes the money because it got moved over. He didn't have student loans and it got moved over to the national debt. And we all owe that as a people. This is just immoral. This is The Ramsey Show.

Dave here. You can find all of our shows with the Ramsey Network app on your smartphone. It's the only place to listen to the entire back catalog of episodes. Download the Ramsey Network app in your favorite app store today.