Money Musings Personal Finance Blog

I Hate Overdraft Whiners

Posted by Michael • June 4, 2007 @ 11:07 am

51 Comments
I simply cannot convey the level of contempt I hold for 99% of Overdraft Whiners. Seriously.

Who are Overdraft Whiners? Well, these are the hapless, woe-is-me folks you see commenting IN DROVES on articles like these two:

Red Tape Chrons.: “Bank Overdraft Fees: Help May Be on the Way”

Red Tape Chrons.: “Double Trouble for ID Theft Victim”

Rarely will a card-carrying, finger-pointing Overdraft Whiner miss an opportunity to lament how “ridiculous” or “unfair” or “egregious” his or her bank’s overdraft policies are. The astounding number of comments attached to the butt ends of those two articles will attest to this undying truth.

For about ten or fifteen seconds there, as I read through way too many of those comments, I considered leaving a comment of my own. But then I realized I’d have lots more space to piss off the Overdraft Whiners by simply creating a blog post about them. So here goes.

Sympathy? Sorry. I’m Already Overdrawn.

Let me state here, early and unequivocally, that I have ZERO sympathy for folks who endure overdraft charges in circumstances where:
- …the bank processed a high-amount transaction first so that the deluge of smaller-amount transactions behind it would all garner overdraft fees. Whiners love to trumpet this one. You know what? It sounds fine to me. Check your bank’s charter and what you’ll find is that they don’t exist to give you a blankee, back rub, and hold your cuddly little hand while you muddle through Financial Life. The Overdraft Whiners here were, no matter how you slice it, spending money they didn’t have. And now they have even less. Those red numbers in your account? They’re the marks left by Reality when it smacked you across the face. Were you paying attention?Balancing a checkbook properly, coupled with not spending money that isn’t there, would fix this.
- …an overdraft of $.07 resulted in “ridiculous” bank charges in excess of $35. Excellent news. I’m all for it. Sure, if you were to figure what a fee like this equates to in, say, APR terms, then you’d have a calculator that’d probably run out of spaces for all the zeros. But I’ll conveniently disregard this fact since Overdraft Whiners so often (apparently) conveniently forget to use their calculators to see what their real-life account balances are.Again: This is easy to fix with a properly-maintained check register and some attention to detail. Of course, not everyone’s willing to undertake this sort of slave labor.
- …the Overdraft Whiner thought the balance the [ATM machine / phone teller / online-account screen] showed them was the REAL balance. No, silly. You can find your REAL account balance in only one place: your diligently-utilized check register. Have I mentioned how much I adore Quicken and programs of that ilk? Avoiding overdraft charges FOREVER is just one of the many things your computer can help you accomplish.
- …the bank “should have” denied the debit-card charge because it was beyond the available balance. Nope. You screwed the pooch first. You should’ve known your real-life balance and then NOT swiped or handed your debit card to the cashier.
- …your bank didn’t “warn” you that you were already overdrawn, and continued to let purchases go through. Blankee, back rub, hold cuddly little hand, and so on. Not the bank’s responsibility. Knowing your account’s true balance, and not spending money you don’t have? Your responsibility.
- …the bank’s service charge caused you to overdraft. Then you’re just not good at paying attention, are you? Or at finding a bank or credit union that doesn’t suck?
- …the Whiner deposited a check from a known perpetually-broke friend. The check bounced, and overdraft charges ensued. Surprise, surprise, surprise. The Whiner rolled the dice, and he lost. Time to pay the house.
- …the only excuse left is the hallowed one: “I can’t help it. I live paycheck-to-paycheck.” If this is the case, then those thirty-plus-dollar fees are truly a financial head-wound for you. Even more reason to pay attention to what you’re doing and not count on someone else to pick up the slack. I was a broke college student once, too. And after that, a broke young adult. Know how many times I overdrafted? Zero. Even then, I knew how to use a paper check register (and later, Quicken).
Now that I think about it, this post goes keyboard-in-keyboard with my previous post about the stuff you hear from people who suck with money. So here’s #13: “Can you believe what my bank charged me for this three-cent overdraft?”

But There Are Times When…

In what situations might I exhibit a wee bit of compassion? If you deposited a paycheck, it bounced, and you then incurred overdrafts because of it, I’d echo the chorus: “Yeah, that sucks.”

Hmmm. There are probably other scenarios, but I can’t come up with them just now.

Public Service Message to Overdraft Whiners:
Get A Free Excel Check Register

That’s right. I said free.

I’m quite aware that not everyone has the cash to run out and purchase Quicken or MS Money. So what we have — yeah, I’m reaching here — is a vicious circle: You could avoid all those nasty overdraft charges if only you had Quicken to help you do it. But you need money to buy Quicken. And of course you’ll never have any money, because The Nasty Bank makes you keep paying Nasty Overdraft Charges. Sounds good, right? (We’re still deflecting at least some of the fault.)

Tough situation. Someone Really Should Do Something.

So please — allow me to intervene. Today, right now, I will help folks take that monumental first step toward Overdraft Whiner recovery. This is where I point you toward my 100% free Check Register spreadsheet.

All you have to do is log your transactions when you make them. All that troublesome math afterward? Figuring your current balance? The spreadsheet handles it. You’re golden.

What’s that you say? You don’t have Excel, nor the financial resources to acquire it? Okay. That’s understandable. So here’s what you do. Right now, once and for all, you are going to finally stick it to The Man:
1. Download my free Check Register spreadsheet.
2. Get your free (there’s that word again) office suite at OpenOffice.org. This suite will include Calc, a free (every time I use this word, see, an Overdraft Whiner excuse bites the proverbial dust) spreadsheeting program which somehow, some way, manages to run my free Check Register spreadsheet pretty much every time I fire it up. Weird, ain’t it?
3. Use the spreadsheet diligently. Enter all transactions when you make them. Pound it through your head that “float,” where checks and debit cards are concerned, does not exist. Forget about any “account balance” that you found anywhere other than what’s in your register.
4. Spend less than you make.
No more $35 bank overdraft fees for you. Just imagine, Mr. Overdraft Whiner, how much it’s going to piss off your banker when he figures out that you can suddenly go more than a week without dropping $30 or $40 in pure-profit fees in his lap. I bet it makes him so mad he drops his morning raspberry danish on the floor. And then, just to vent a little frustration, he’ll fire the first teller he sees.

There. Someone else is out of a job, and you’re all the happier for it. And all without the slightest need for government intervention. (Which is what that first article above pointed toward, by the way.)

Okay, I’m done.

Money Musings: Overdrafting Again (Related Post)
Filed In: Banking, Spending

Permalink: I Hate Overdraft Whiners

51 Comments
12 Things Said By People Who Suck With Money

Posted by Michael • May 21, 2007 @ 10:14 am

17 Comments
Pardon me, folks, whilst I take a moment for myself. I’m going to vent right now, mostly because it feels like a great time to Go Soapbox on the world.

I don’t know exactly what set me off this evening (it’s late Sunday as I write this). But I’m pretty sure that the NY Times article “Couple Learn the High Price of Easy Credit” didn’t help. Thanks to Tricia at Blogging Away Debt for linking it. But after reading it, I don’t feel at all that this couple has what it takes to climb out of their hole. From the article:

… and $13,680 on a CashBuilder Elite Visa, including a monthly finance charge of $200.

A “CashBuilder Elite” Visa? Finance charges of $200? That’s the great thing about credit cards and the credit-card industry: Sometimes the irony is Just. So. Thick.

Anyhow, let’s get to the show. Let me find my trusty ol’ cynical soapbox…

12 Things You Hear From People
Who (Probably) Suck With Money
1. “Don’t look at me. It’s my [wife/husband] who spends it all.”
  Of course. And if you blame them long enough, it’ll all work itself out in the end, right? Or at least the judge will make it so it does. (“Work itself out,” and “end,” I mean.)
2. “Who has time to budget? Not me.”
  This one’s pretty universal. The convenient thing is that they’ll have plenty of time to budget when they hit retirement and stop workin—
  
  Oh, wait. Never mind.
3. “We refinanced last week and paid off our credit cards.”
  No, you didn’t “pay off” your debt, Maureen. You just moved it. And you’ll be moving again when the bank forecloses on your house. But first things first: You need to get those cards maxed-out again.
  
  Then . . . just give it time.
4. “I wanted to pay off the cards, but my husband says his investments are doing better than the interest.”
  If your cards are charging you today’s standard rates — say, 14 to 18 percent interest — then I have news for you:
  
  Your husband is either lying, or he can’t do math.
  
  Just sayin’.
  
  (Note: Pfbloggers and FatWalleters are exempt from this one.)
5. “Yeah, it was a lot of money. But you only live once, right?”
  I’m not sure. But as long you’re alive, you might as well be making payments.
6. “Of course I need the new Dodge Behemoth SUV. It’s safer for our child, and my show poodles need more space.”
  Which is precisely why I can only dream of watching folks like this filling up in a world of four-bucks-a-gallon gas—
  
  Oh, wait. Never mind.
7. “I couldn’t save money even if I wanted to.”
  No, what you probably mean is that you couldn’t sacrifice even if you wanted to. Which you don’t.
  
  But that’s okay. The folks at Crate ‘n’ Barrel love you.
8. “I could pay all my bills off if they’d just give me that [raise/promotion/bonus] at work.”
  Yeah, you and everyone else. Except that when more money comes in, it just means that more money goes out, and you’re right back at #7 (above) again. That’s why they call it the Rat Race.
9. “Man, if I won the lottery, all my money problems would be history.”
  No, what you mean is that all your money problems would be historic. As in of epic proportions. Because if you can’t manage thirty grand a year, you can’t manage three hundred grand, either. Mark it down.
  
  The line of lottery winners who’ve gone broke starts right over there. And it stretches all the way back to . . . oh, I don’t know. Maybe Miami.
10. “I put it on my Worst Buy card, so I have six months to pay it off before there’s any interest. We’ll have it paid off by then.”
  Sure you will. You, again, and everybody else. You could’ve paid for it with cash if you’d wanted to, right?
  
  (Another instance where most money-bloggers and FatWalleters are probably exempt.)
11. “But it’s my wedding! I dreamed about it forever, I want to remember it forever, and I want for that day to be fabulous!”
  Okay. So I heard this from someone doing an interview on TV. It might’ve been a put-on for all I know. But there are ladies out there who feel this way, right? I just got exceedingly lucky and met one who didn’t, right?
  Worth noting: It’s easy to remember your “fabulous wedding” forever when forever is how long you (and/or your parents) will be paying for it.
12. “Hello there. I’m Joe Smith. I’m a U.S. Congressman. How are you today?”
  Fine, thanks. So . . . you, uh . . . you deficit much, Mr. Smith? How’s that darn federal-budget-thing working out for you? Tell me: Do you guys ever actually use those calculators we taxpayers paid twelve grand for?
Okay. That’s about all I can come up with right now. What sorts of things have you heard uttered from the mouths of financial slackers? What little snippets tip you off that someone’s stuck on the First Rule of Holes, figuratively speaking?
Filed In: Budgeting, Debt, Saving, Spending

Permalink: 12 Things Said By People Who Suck With Money

17 Comments
Try Paying $2,950 for Dave Ramsey

Posted by Michael • February 14, 2007 @ 2:24 pm

52 Comments

There’s a nice little snippet from JLP at All Financial Matters that’s been quite the comment-magnet:

AFM: “Dave Ramsey Gets on My Nerves”

I wholeheartedly agree with JLP on this. I appreciate most of what Dave Ramsey espouses, but Dave and chunks of his website do have the occasional infomercial feel to them, and I could do just fine without that. But he’s doing what he’s doing because it makes him money — and folks could find lots of worse things to spend their cash on, I imagine.

I’ve purchased three of Dave’s books (Total Money Makeover in audiobook and hardback, and Financial Peace), and I’ve attended a Dave Ramsey Live Event. So I’ve given my share of change to Dave. But Dave’s writing, ideas, and energy helped me get to where I am today, financially, which is to say that he played a significant role in making my life better. What money I’ve spent has, in my opinion, been well spent.

Three-Dime Dave

Now, for those who might not be so well versed in Dave Ramsey Financial Paraphernalia, it’s worth pointing out that Dave also sells “Counselor Certification.” The price tag? A mere ~~$3,750~~ ~~$3,950~~ $2,950 as of this writing [Source]. (You can add your spouse to the class for another $1,500.)

Why do I know these figures? Because I’ve strongly considered plunking down the cash (and the time) for the training.

You’re kidding, right?

Look: I love personal finance, and I’m all about most of what Dave has to say. I love helping people, and seeing people grow and improve their lives. Financial counseling of this sort is right up my alley. What I’ve done of it so far, I’ve enjoyed tremendously.

However, while I’ve gotten a ton of value from Dave’s stuff, I just can’t see $2,950 worth of substance in re-learning what I (mostly) already know. And I don’t know that a link from daveramsey.com, or referrals from his group, is worth that kind of coin.

For comparison’s sake, I could take the six CFP-prep courses at Florida State University (I’ve done the Intro to Financial Planning one already) and be out less than $2,950 with books and all. And I’d practically guarantee that I’d learn tons more useful-to-me stuff from FSU than from Dave Ramsey U.

So you won’t do Dave Training, right?

I dunno. Maybe.

Someday.

I just love this stuff that much.

Admittedly, attaching a 3.9-dime price tag to his counselor-training gig is a fine way for Dave to screen out the riff-raff. And the multi-day session can’t be a blow-off thing, as it can earn CPA attendees just over 34 CPE credits. Not bad … I think. (Although, for all I know, you might be able to earn 2 or 3 CPE credits just for punching yourself through a self-serve checkout at Wal-Mart. )

In the end, Dave’s in this to make money, and that much is obvious. He’s constantly finding new angles by which to sell his schtick, at price tags that range from $5 all the way to $2,950. This is a businessman in action, folks. And a successful one, at that. I don’t know that it’s good … or bad.

It just is.

Filed In: Dave Ramsey, Gurus

Permalink: Try Paying $2,950 for Dave Ramsey

52 Comments
Suze Orman: How to Split the Bills

Posted by Michael • January 14, 2007 @ 10:04 am

118 Comments

“How should we split the bills?”

Suze says (on the Suze Orman Show which aired 2007/01/13) this is the most common question she gets from couples. (I’d have thought she’d hear “Should we have separate accounts, or joint?” more, but what do I know.)

For most folks, the default answer to the bill-splitting quandary is 50/50. But Suze suggests that it’s almost never this easy (no kidding!). And that for couples where the two spouses earn significantly different amounts (which would be most couples, probably), splitting the bills 50/50 will almost always lead to resentment and frustration.

Here’s the fictional household setup that Suze presented as an example:

Partner #1 makes $7k/month.
Partner #2 makes $3k/month.
Household expenses total $3k/month.

In the case above, Suze would suggest that the bills be split 70/30, rather than 50/50. This way, each partner/spouse is responsible for an equal percentage of the bills rather than an equal dollar amount. They don’t earn equal dollar amounts, so they shouldn’t pay equal dollar amounts.

After all, paying $1,500 worth of bills (a 50/50 split) drains the $3k earner a lot more, percentage-wise, than it does the $7k earner.

My first thought, of course, is that there are roughly four couples out there making $10k per month and spending only $3k/month, so the example is kind of flimsy in that regard. Numbers like that just ain’t happening for Joe and Jane Sixpack. Still, I recognize that it’s the math that matters.

I’m all for fairness in relationships and finances, and Suze’s idea makes sense to me: Pay the bills in the same percentage that the household income is split. Still, I can already hear the uproar from the “But we’re married, and we’re ONE now!” crowd. “What’s hers is mine, and what’s mine is hers! The only percentage that matters is the one we’re paying on our Discover card!”

And they have a valid case. Really, I think Suze’s point was meant more for non-married couples, but she wasn’t really clear on this. My advice, in any case, would be this:

Just do what works.

And if what you’re doing isn’t working, change it.

Filed In: Budgeting, Gurus, Suze Orman

Permalink: Suze Orman: How to Split the Bills

118 Comments
How I Manage My Money

Posted by Michael • October 15, 2006 @ 4:35 pm

10 Comments

Note: There’s a newer version of this post here.

Getting (and keeping) a grip on your finances isn’t an easy task. Every so often (like yesterday) a frazzled reader will ask, “How do you do it?”

Well, I’ll tell you. My system works like this:

The Grand Overview

I track all accounts, balances, and financial transactions in Quicken 2006 Premier Home & Small Business. This is also where I categorize my past and current spending, as well as monitor my net worth, assets and liabilities, and investments. I also use it to track all my small-business (namingly, this website and my wife’s jewelry/craft business) inflows, outflows, and accounts. Quicken is also a tremendous tool for handling all tax-related items and accounts. I use the heck out of it for this. Is Quicken pricey? Yes, the fancier versions can be. Does it require a fair bit of learning time? Yes, though this also depends on what version you get and what you want to use it for. Would I give it up? No way. Not a chance.

Monthly Spending Plan / Budget

For all that I love about Quicken, I absolutely despise its budgeting setup. It’s cluttered, nonsensical, and useless to me. So, to budget (as well as monitor in real time) my spending for each month, I use a slightly-modified version of my Excel Spending Plan (v2.0). You can download it from the near-bottom of my Excel financial spreadsheets page. And more details can be found at my Spending Plan page.

Emergency Fund

I don’t have a specific spreadsheet that I use to track my Emergency Fund. However, I do keep most of my E-fund (say, 90% of it) in its own account at Emigrant Direct (review). Any transactions that affect my Emergency Fund get logged/tracked in Quicken, as noted above, and I can always see its balance right there in my Quicken toolbar.

Freedom Account

I use ExcelGeek’s Freedom Account spreadsheet to track my Freedom Account and all its subaccounts and balances. I keep my Freedom Account funds at ING DIRECT (review), in an account that’s separate from everything else. If you’ve never heard of Freedom Accounts before, or if you’re just not sure what exactly they can do for you, head over and check out my Freedom Account page.

What combination of software (and/or notebook paper!) do you use?

Filed In: Banking, Budgeting, Quicken, Saving, Spending

Permalink: How I Manage My Money

10 Comments
Debit Card Fraud Interview

Posted by Michael • July 2, 2006 @ 6:30 pm

8 Comments

Bank debit cards are a topic that I seem to return to quite often.

My opinion, I think, has been pretty well documented: Financial gurus (namely, Dave Ramsey) who suggest that people should entirely shun credit cards and use only debit/ATM cards for purchases are flat-out wrong.

Debit cards bring great convenience, yes. But the benefit they offer that’s so fabulous for consumers — immediate access to available funds — is also their greatest liability. That immediate access is available to anyone who gets their hands on your info, too. And your Hometown National Bank almost certainly does NOT maintain the same security measures for card usage as do the large banks who manage your credit-card accounts.

Anyhow, I had the opportunity recently to interview a young couple whose checking account was compromised, thanks to debit-card fraud, to the tune of roughly $500. If you’re interested, you can read the interview here:

Interview with Bob and Sue Smith, Debit-Card Fraud Victims

Filed In: Banking

Permalink: Debit Card Fraud Interview

8 Comments
Alternatives to Quicken and Money

Posted by Michael • January 19, 2006 @ 12:47 pm

13 Comments

Over on the main site, I just posted a new article regarding some alternatives to Quicken and Money (the two most popular personal-finance programs out there):

IYM Article: “Alternatives to Quicken and Money”

I would like input from readers who’ve had experience — both good and bad — with any personal-finance software outside of the biggies named above. And if you know of any other money software out there that I’ve missed, please let me know, so I can add it to the list!

Filed In: Quicken, Software

Permalink: Alternatives to Quicken and Money

13 Comments
Debit Card Danger … Again!

Posted by Michael • November 20, 2005 @ 6:16 pm

12 Comments

It’s a topic I’ve touched on several times: Debit cards have their uses, but high-dollar (“Death of a Debit Card”) and online purchases (“Debit Card Peril”) aren’t among them.

This morning my wife received an email from one of her online acquaintances — I’ll call her Barbara. Barbara’s letter read like this:

Unfortunately, I have become the latest victim of internet fraud. Even though I thought I was taking enough precautions to make online shopping safe — I use McAfee Firewall Protection, VirusScan, Ad-Aware, and ZoneAlarm to protect myself from viruses and hackers and made sure I was using “secure” sites — somehow the crooks still managed to steal my information.

It happened this week when I purchased theater tickets from telecharge.com using my Visa CheckCard. I ordered the tickets on the 16th – total $353.50. Yesterday, I saw the purchase posted to my account, but I also noticed a pending transaction for the same amount on the same date for an “Oliver and Wildgoose,” a company I never heard of. After spending hours on the phone with the bank and with Telecharge, I discovered that Oliver and Wildgoose is the name of a liquor store in the Bahamas.

I thought that since the transaction was listed as “pending,” I’d caught it in time to “stop payment,” like you can do with a check. It doesn’t work that way with a check card. “Pending” means the funds have already been extracted — they are just not officially posted to the account yet. So, the money is gone. Today I have to go to the bank to file claims, open a new account, order checks, etc. — I’ve been told it could be up to 90 days for the investigation to be processed. Hopefully, I will be able to recoup the $350. I also need to file a police report and put a fraud alert on my credit report in case this individual (who is evidently partying it up right now in the Bahamas) plans to steal my identity, too.

Ain’t online life grand? I consider stories like this — and it isn’t the first debit-card disaster I’ve heard — just more ammunition to strafe away at Dave Ramsey’s admonitions that “All you need is a debit card.” Here’s a little tidbit from DaveRamsey.com, in fact:

If you “have to” use plastic, I suggest a debit card. I use them for travel and the occasional convenience of ordering something over the Internet or phone. Other than that, I use cash.

Knowing what I do, I’ll state here and now that preaching “debit card exclusivity” is stupid advice. It’s horribly naive, in my opinion, and laughably unrealistic.

The last part of Barbara’s email also bears repeating here, I think:

The lessons I’ve learned that I’m passing on:

1. Don’t use a check card for any online purchases!!!

2. Don’t use a check card anywhere where you can’t physically watch the salesperson swipe the card — restaurants and gas stations included.

3. If you’re going to make an online purchase, find out if your credit card company offers a “disposable” number designed for one-time use. If you’re a Visa customer, sign up for Verified by Visa.

4. Monitor your accounts closely (luckily I do) and keep all receipts in a safe place.

5. Make sure you have up-to-date hacker protection!

6. Find out the privacy policies and security measures of any online merchant you use. Know that even “secure” sites can be hacked.

7. If you use a check card, find out what your bank’s policies are when it comes to filing fraud claims.

Filed In: Banking

Permalink: Debit Card Danger … Again!

12 Comments
Dave Ramsey Live Event

Posted by Michael • February 13, 2005 @ 1:06 pm

14 Comments

Well, today was the day. I attended a Dave Ramsey Total Money Makeover Live! event this afternoon.

Actually, I attended only half of it.

Thanks to a searing headache that became unbearable around the halfway-point of the show, I most certainly did NOT get my money’s worth ($20 per seat) out of the deal. But that wasn’t Dave’s fault. Stupid me forgot to have painkillers handy for just such an emergency. That’s what I get for not planning ahead, right?

I will say this: Dave Ramsey (talk-radio host, creator of “The Baby Steps”, and author of Total Money Makeover, among others) is an energetic guy, a great communicator, and a salesman of notable ability.

“The world we live in today is pretty strange,” he told the audience early on. “It is one where common sense has become a marketable commodity. I’ve simply packaged it better than anyone else in my generation.”

He may be right. The auditorium was wall-to-wall full, with extra fold-out seats crowding all aisles. Lines at his book- and media-product-sales tables outside the auditorium were heavily populated, too. Most of the people around me seemed excited to be in attendance. I got the distinct feeling that most folks were there due to ties with churches and other religious groups. No big surprise, as Dave leans heavily upon these groups for readership and networking of sales. And readers of Ramsey’s books know he does not shy away from outright religious overtones and missives in his financial advice. (“God’s and Grandma’s system of managing money,” as he describes it.)

If you’re willing to look a bit beyond all that, you get to hear a pretty good and entertaining fiscal sermon delivered by a guy who’s obviously had lots of practice. Much of his live message duplicated the content of Total Money Makeover, but there was enough fresh material thrown in to make the hours of sitting in not-so-comfortable pews a little more bearable. Would it have been worth the $20 if I’d have been able to stay for the duration? Yes, probably so.

One anecdote of Dave’s that I found rather interesting:

Ramsey offered the following what-if to the audience: Suppose your young child at home has been diagnosed with a terminally ill condition. She will die in exactly one year unless a $5,000 vaccine can be purchased and administered. Your insurance does not cover this vaccine in any portion. You must pay for it yourself, but you cannot under any circumstances use any funds which you already have. You may not borrow the money for it; you may not pay for it with credit in any way. You may use only what cash you can raise over the next year.

“How many of you,” Dave then asked the audience, “would find a way — somehow, some way — to raise that five thousand dollars?”

As you might imagine, the number of arms raised was … extremely high.

The point behind this macabre scenario? According to Ramsey, one reason for why debt has become such an out-of-control problem in this country is that people have become almost entirely ambivalent to the ramifications of it. Debt, he said, obviously causes consumers varying degrees of financial discomfort for years and years. Yet until things get so painful that drastic change is the only way out, people simply do not care about paying off their debts, because it doesn’t matter enough to them on a personal level.

“If the end result matters enough to you,” Ramsey said, “then you will do whatever it takes to get it accomplished. Failure will not be an option. You would take any action necessary to save your daughter’s life. Yet people will not do the same to save their financial lives.”

There is significant truth in that, I think. If it matters enough to you, you will do it.

Unless, of course, your headache is just too bad. 🙂

Filed In: Dave Ramsey, Gurus

Permalink: Dave Ramsey Live Event

14 Comments
OKC Total Money Makeover

Posted by Michael • November 27, 2004 @ 12:31 am

No Comments

I feel a bit guilty.

This afternoon I put in my order for two tickets to see Dave Ramsey at his OKC “Total Money Makeover” live event in February 2005.

Dollar cost for The Wife and I to attend: $38.

Cost per event hour per person: $3.80.

Driving time to get there: 30 minutes, tops.

Amount of credit-card debt I’ll have by then: $0.

Amount of student-loan debt I’ll have by then: $2,100.

So why guilty? Dunno. But that’s how I feel. Folks who’ve been reading my stuff for awhile know that of all the broad-base financial gurus out there, I respect Ramsey and his plan far more than anything anybody else has put forth. (I’m talking media-centric types here, like Suze Orman, Jean Chatzky, and David Bach. Those people, IMO, have a penchant for serving up mediocre advice, sound-byte aphorisms, and a hearty helping of fluff.)

Now, I can get hardnosed with Dave, too, as I did in my review of his latest book. But he tends to dispense sharp, to-the-point advice, with little room for whiners or “woe is me” types. That’s what I like about him, mostly, and that’s why bits of Dave are all over this site. And I guess that’s why I’m looking forward to hearing him in person. Hearing him, that is, probably regurgitate everything I’ve ever heard from his radio show and everything I’ve heard from my 25+ readings of his Total Money Makeover audiobook. (Look, the guy is a great motivator. He keeps me on point. And local radio sucks.)

Filed In: Dave Ramsey, Gurus

Permalink: OKC Total Money Makeover

No Comments