re: Dave Ramsey's advice to pay off a car loan, rather than invest

Maybe it’s just me, but the people I’ve steered toward’s Dave Ramsey’s advice are people who will likely never make it past step 1. One has filed bankruptcy at least twice that I know of.

It’s not my hope that they pay off debt the fastest. It’s my hope that they read testimonials from people who were in impossible situations and managed to get out and that they finally come to a decision to change their lives. I lose a lot of sleep when I have a family member that calls and tells me if I don’t pay their utility bill they’ll be in the dark.

I come off as an a-hole but I will never give them a dime. I have an open offer that whenever they are ready I will sit down and help them manage their finances. My offer has never been accepted. I’d consider it a great success if I could help them just live paycheck to paycheck and I could live without the guilt of watching someone live miserably.

I want them to be afraid of debt, to not take it on, but they love it. Credit to them is free money that they don’t plan on paying back. Can you imagine how difficult it is to deal with someone like that? They’re not used to seeing a positive account balance.

They’d be rich beyond their wildest dreams if they could only save $1,000 and complete step 1. I would hope that would be enough motivation to continue the steps.

Lastly, these types of people are not trying to make the decisions of paying off a car note at 3% vs a student loan at 5%. They’re dealing with late fees and reconnect fee payday loans with three digit interest rates. That’s where starting small to get your head above water can give you room to breathe.