Live from the headquarters of Ramsey Solutions, it's the Ramsey Show, where we help people build wealth, do work that they love, and create actual amazing relationships. Relationships. George Campbell, Ramsey personality, number one best-selling author, Breaking Free from Broke. He's my co-host today. Open phones at 888-825-5225. You jump in. We'll talk about you right in front of you. Josh is in Charlotte, North Carolina. That's urgentcarekit. Com/ramsey, promo code Ramsey. George Campbell-Ramsey personality is my co-host. Open phones at 888-825-5225. It's a free call, and some say the advice is worth exactly what you pay Dave is in Orlando. Hi, Dave. How are you?Dave, I'm wonderful. How are you?Better than I deserve. How can I help?Well, so first thing I want to say is thank you so much because my wife and I followed your steps and we were debt free and have been debt free for quite a while. The reason I'm calling is I live in the villages. I'm widowed, unfortunately. Two years ago, my wife passed away. I'm sorry. I have no children. So when I go, everything's basically going to going to get liquidated and given away as donations and things like that. My house is paid off. It's worth about 410, 420. I want to get your opinion on, in my situation, if you think I could I had a reverse mortgage to go out and have some fun with that money.You have any other money?Yeah, I'm good, yes.What's good? How much money do you have?Well, I've probably got about 1.2..In your mutual funds, in your retirement accounts?Mutual funds, retirement accounts.How old are you?I'm 65. Okay.Why would we not use 1.2 million for a fund?Well, I'm just saying I hate to see a lump sum of $410,000 just get liquidated and donated out there. If there is an opportunity to go maybe grab a little bit of that cash and go on a long trip or something like that, I just want to find out if not a reverse mortgage, do you have any other advice as to how I would be able to get my hands on some of those funds? Just for enjoying me because it's just sitting out there.Well, you got 1.2 sitting there, too. Yeah, I know. You got a lot of enjoyment ahead of you. Congratulations, by the way. You've done very well. Thank you. Okay, number one, let's just state up front, reverse mortgages are a very bad product. Okay. They have higher interest, higher fees, and a higher foreclosure rate than any other type of mortgage. Of course, there isn't an end to it. They'll only go to about 60, 65%, George?Yes, I believe so.Loan to value on it. You really can't get that much of this out. But I understand the basis for your question. Here's the problem with your question. You're 65 over the next 20 years if you live to be 85, which if you're healthy, actually, there's a fairly good statistical case to be made that you would live that long. Do you have any major health problems?Just a little bit of high blood pressure as with all this little overweight, but nothing other than that.Yeah, okay. Nothing 20 pounds dropped wouldn't fix. Okay. I don't know a guy like that, but anyway. But people like A, but I think you need more than that.Yeah, we need an actual sustainable career that she can sink her teeth into and get out of this debt fast. Because if she can even create 30 grand extra in income, well, we can knock this debt out in under a year.Yeah. Now, I'm going to send you a book by Ken Coleman called Find the Work You're Wired to Do, and it has the get clear assessment in it. It'll give you a code and you'll jump onlinefree?Yes.Why are you hanging on to the investment property?Because for my kids, I imagine, that's Because I don't have a 401k, and I figured that would be my money that I could give to the kids. Okay. Then you call me and you're broke, so this is not working. Yeah, so I'm looking for a plan. Basically, you borrowed a HLAA and SBA loan and kept a home mortgage in order to buy an investment property. That's in essence what has happened, or in order to keep an investment property, to keep from selling it. See, if you had sold it, you wouldn't have the HLAA, and you wouldn't have the SBA loan, and you wouldn't have the mortgage. Now you can still sell it and not have all of those things. That's a good start. That's probably where I'm starting. Is that the only debt you've got? I believe.Actually, I probably have 20,000 in credit cards.Okay. Then we need to sit down and start living on a plan, a budget, so that you and your wife sitting together with the Every Dollar app. You go through Financial Peace University. I'll give you both as my gift. If you'll do it, go through the class, sit down, start writing out a plan. What do you build with your construction business? What buildings do you do? It's a waterproofing company, . The old supper club. Exactly.Never It goes out of style.It's wonderful, though. There's an idea for you, Wolfgang. You get to spend time with friends, and it's way cheaper than going out to eat. You got a lot better quality atmosphere. Everything's better.That's right.Everything. There's all kinds of ways to say yes. But I think it's an interesting philosophical discussion.One of the best skills you can have is learning to say no.The Power of No. That's my next book.I like that.Ramsey said no. There it is. This is the Ramsey show. Listen, tickets for the Live Like No One Else Cruise are selling fast. This is the ultimate debt-free vacation, and I can't wait to celebrate with all the folks who've worked their butts off and changed their family trees. We will be sailing through the blue waters of the Caribbean with the Ramsey personalities and other special guests. A bunch of cabin options are already sold out, so hurry and reserve yours with a $600 deposit today at ramsey solutions. Com/events. George Campbell-Ramsey, personality number one best-selling author of the book Breaking Free from Broke, is my co-host today. Selling a house in this weird Real estate market, buying a house in this weird real estate market is weird. It's hard. It's different. It adds a level of uncertainty to the whole process that It really shouldn't be there but is there. If you want to get rid of that, get with a pro. Now, the problem with a real estate business is it's fairly easy to get in. You got to pass a little test. It's not much. It's fairly easy to get out. When times get tough, all the people that are half-butt doing the business, they bail.As soon as it gets jumping again, they jump right back in. What you want to do when you're selling your largest asset or buying your largest asset, hundreds of thousands of dollars or millions of dollars, whatever your case is, you definitely want a pro. You want somebody that's... They're not... Aunt Sally, who got her license three weeks ago because she thought it'd be fun. That's not a good idea right there. You really want to get somebody that sells 30 to 300 houses a year, and they know what they're doing. Well, that's what the Ramsey the trusted real estate agents are. They're people that we have vetted for their level of performance. We coach them. They understand the Ramsey advice and systems. You're going to have an experience unlike you will get anywhere else, and you're going to get the house sold or the house bought or whatever it is you're trying to do, because the Ramsey trusted real estate agents are freaking amazing. They're the best. If you want to know who the Ramsey trusted real estate agent is in your area, you can find out for free. Just go to ramsey solutions. Com/agent. Ramsey solutions.Com/agent. Monica is in New Orleans. Hi, Monica. How are you?Hi, I'm well, sir. How are you all?Better than we deserve. What's up?Okay, so my employer matched 401k uses Vanguard. I scheduled a phone consultation with a Vanguard representative because I couldn't tell.Where'd you go?I wanted to to make sure that I had 25%- Whoa, did you drive under a bridge or something?Okay, you scheduled a phone call with a Vanguard representative, and then what happened?I wanted to make sure that I had 25% going into each of those four types of mutual funds that you guys recommend, the growth, aggressive growth, growth and income international. Well, I couldn't tell, based on the names that Vanguard gives their mutual funds, what types they were. They're very confusing names. I wanted clarity on that. Well, while I had the Vanguard representative on the phone, and he's going through and explaining which types of mutual funds are which, he kept impressing on me that I needed to maintain 15 to 20% in bonds. I said, Well, bonds aren't really what I'm looking for.That's dumber than a rock.He said, Well, you have to have a certain percentage of bonds. He seemed rather insistent on it. I said, No, I want 25% in each of these four types of mutual funds. I was just wondering, why did he find it so important that I have some percentage of bonds?Well, the theory in the... How old are you?Fifty-two.Okay. The theory in the financial world is that the bonds are lower risk than stocks. The problem with the theory is it's not true. Okay, so if you go pull up the bond market volatility and lay that beside a growth and income stock mutual fund volatility, you'll see they're about the same. If If you looked at a chart of the volatility, the price is going up and down, the market volatility. They're not less. Here's the other problem. Bond prices are dictated by the interest rate environment, and they work on an inverse of interest rate, meaning if interest rates go down, bond prices go up. If interest rates go up, bond prices and values go down. This guy's an idiot. Interest rates have been increasing. In an increasing interest rate environment, if you buy bonds, you're going to lose your butt. But what he's going on is the overarching theory that you need some bonds in your portfolio to have a lower risk profile. The problem is that the theory is absolute hogwash, and he's just a kid on the phone that they train to read a script.Right.Yeah. Okay. It's just sad. But that's where it's coming from. Again, here's how bad the theory is. The financial planning world also adopts a process that I don't agree with, or a theory I don't agree with, called asset Allocation. Let's just talk aboutdefinitely clear that then with this 75 when it comes in. But let's get about the business of getting your house paid off. When the house and the rentals are clear, you'll have tremendous cash flow to buy your other rentals with that cash flow.No more rentals, though, until we start clearing these debts.Until we clear all the debts, including your personal residence. That's what I would do if I were in your shoes. It's a good question, Laura, and you're thinking clearly with a horrible, sad situation, but I'm glad you got a great, bright future. That puts us hour of the Ramsey Show on the Books. We'll be back with you before you know it. In the meantime, remember, there's ultimately only one way to financial peace, and that's to walk daily with the Prince of Peace, Christ Jesus.Hey, guys, I'm Rachael. And I'm George.And you've probably heard our voices before on The Ramsey Show.And do we have a surprise for you? Yep.We have our very own show, Smart Money Happy Hour, where we talk pop culture, current events, and of course, money. George, it's a great show.And what else do we talk about? So much, Rachael. Not enough, and yet too much. We talk about guilt-tipping because tipping is out of control, and I won't stand for it anymore, which is why I'm sitting.I'm glad you're taking such a stand.Or a sit. We also talk about something else I'm passionate about, Disney adults. Why is it a thing?Listen, some adults still find the magic.Sure. We also talk about toxic money traits and girl math. And if you don't know what those are, you have to listen to the podcast.Yeah, there's a lot there, you guys.It's pretty fun. We keep you relevant is what I'm trying to say.We help you out.So pull up a chair to the happy hour you wish your friends were having. We promise you won't regret it. If you don't have friends, we'll be your friends. We will.We're great friends. So make sure to check it out on Apple, Spotify, YouTube, or the Ramsey Network app.

That's urgentcarekit. Com/ramsey, promo code Ramsey. George Campbell-Ramsey personality is my co-host. Open phones at 888-825-5225. It's a free call, and some say the advice is worth exactly what you pay Dave is in Orlando. Hi, Dave. How are you?

Dave, I'm wonderful. How are you?

Better than I deserve. How can I help?

Well, so first thing I want to say is thank you so much because my wife and I followed your steps and we were debt free and have been debt free for quite a while. The reason I'm calling is I live in the villages. I'm widowed, unfortunately. Two years ago, my wife passed away. I'm sorry. I have no children. So when I go, everything's basically going to going to get liquidated and given away as donations and things like that. My house is paid off. It's worth about 410, 420. I want to get your opinion on, in my situation, if you think I could I had a reverse mortgage to go out and have some fun with that money.

You have any other money?

Yeah, I'm good, yes.

What's good? How much money do you have?

Well, I've probably got about 1.2..

In your mutual funds, in your retirement accounts?

Mutual funds, retirement accounts.

How old are you?

I'm 65. Okay.

Why would we not use 1.2 million for a fund?

Well, I'm just saying I hate to see a lump sum of $410,000 just get liquidated and donated out there. If there is an opportunity to go maybe grab a little bit of that cash and go on a long trip or something like that, I just want to find out if not a reverse mortgage, do you have any other advice as to how I would be able to get my hands on some of those funds? Just for enjoying me because it's just sitting out there.

Well, you got 1.2 sitting there, too. Yeah, I know. You got a lot of enjoyment ahead of you. Congratulations, by the way. You've done very well. Thank you. Okay, number one, let's just state up front, reverse mortgages are a very bad product. Okay. They have higher interest, higher fees, and a higher foreclosure rate than any other type of mortgage. Of course, there isn't an end to it. They'll only go to about 60, 65%, George?

Yes, I believe so.

Loan to value on it. You really can't get that much of this out. But I understand the basis for your question. Here's the problem with your question. You're 65 over the next 20 years if you live to be 85, which if you're healthy, actually, there's a fairly good statistical case to be made that you would live that long. Do you have any major health problems?

Just a little bit of high blood pressure as with all this little overweight, but nothing other than that.

Yeah, okay. Nothing 20 pounds dropped wouldn't fix. Okay. I don't know a guy like that, but anyway. But people like A, but I think you need more than that.Yeah, we need an actual sustainable career that she can sink her teeth into and get out of this debt fast. Because if she can even create 30 grand extra in income, well, we can knock this debt out in under a year.Yeah. Now, I'm going to send you a book by Ken Coleman called Find the Work You're Wired to Do, and it has the get clear assessment in it. It'll give you a code and you'll jump onlinefree?Yes.Why are you hanging on to the investment property?Because for my kids, I imagine, that's Because I don't have a 401k, and I figured that would be my money that I could give to the kids. Okay. Then you call me and you're broke, so this is not working. Yeah, so I'm looking for a plan. Basically, you borrowed a HLAA and SBA loan and kept a home mortgage in order to buy an investment property. That's in essence what has happened, or in order to keep an investment property, to keep from selling it. See, if you had sold it, you wouldn't have the HLAA, and you wouldn't have the SBA loan, and you wouldn't have the mortgage. Now you can still sell it and not have all of those things. That's a good start. That's probably where I'm starting. Is that the only debt you've got? I believe.Actually, I probably have 20,000 in credit cards.Okay. Then we need to sit down and start living on a plan, a budget, so that you and your wife sitting together with the Every Dollar app. You go through Financial Peace University. I'll give you both as my gift. If you'll do it, go through the class, sit down, start writing out a plan. What do you build with your construction business? What buildings do you do? It's a waterproofing company, . The old supper club. Exactly.Never It goes out of style.It's wonderful, though. There's an idea for you, Wolfgang. You get to spend time with friends, and it's way cheaper than going out to eat. You got a lot better quality atmosphere. Everything's better.That's right.Everything. There's all kinds of ways to say yes. But I think it's an interesting philosophical discussion.One of the best skills you can have is learning to say no.The Power of No. That's my next book.I like that.Ramsey said no. There it is. This is the Ramsey show. Listen, tickets for the Live Like No One Else Cruise are selling fast. This is the ultimate debt-free vacation, and I can't wait to celebrate with all the folks who've worked their butts off and changed their family trees. We will be sailing through the blue waters of the Caribbean with the Ramsey personalities and other special guests. A bunch of cabin options are already sold out, so hurry and reserve yours with a $600 deposit today at ramsey solutions. Com/events. George Campbell-Ramsey, personality number one best-selling author of the book Breaking Free from Broke, is my co-host today. Selling a house in this weird Real estate market, buying a house in this weird real estate market is weird. It's hard. It's different. It adds a level of uncertainty to the whole process that It really shouldn't be there but is there. If you want to get rid of that, get with a pro. Now, the problem with a real estate business is it's fairly easy to get in. You got to pass a little test. It's not much. It's fairly easy to get out. When times get tough, all the people that are half-butt doing the business, they bail.As soon as it gets jumping again, they jump right back in. What you want to do when you're selling your largest asset or buying your largest asset, hundreds of thousands of dollars or millions of dollars, whatever your case is, you definitely want a pro. You want somebody that's... They're not... Aunt Sally, who got her license three weeks ago because she thought it'd be fun. That's not a good idea right there. You really want to get somebody that sells 30 to 300 houses a year, and they know what they're doing. Well, that's what the Ramsey the trusted real estate agents are. They're people that we have vetted for their level of performance. We coach them. They understand the Ramsey advice and systems. You're going to have an experience unlike you will get anywhere else, and you're going to get the house sold or the house bought or whatever it is you're trying to do, because the Ramsey trusted real estate agents are freaking amazing. They're the best. If you want to know who the Ramsey trusted real estate agent is in your area, you can find out for free. Just go to ramsey solutions. Com/agent. Ramsey solutions.Com/agent. Monica is in New Orleans. Hi, Monica. How are you?Hi, I'm well, sir. How are you all?Better than we deserve. What's up?Okay, so my employer matched 401k uses Vanguard. I scheduled a phone consultation with a Vanguard representative because I couldn't tell.Where'd you go?I wanted to to make sure that I had 25%- Whoa, did you drive under a bridge or something?Okay, you scheduled a phone call with a Vanguard representative, and then what happened?I wanted to make sure that I had 25% going into each of those four types of mutual funds that you guys recommend, the growth, aggressive growth, growth and income international. Well, I couldn't tell, based on the names that Vanguard gives their mutual funds, what types they were. They're very confusing names. I wanted clarity on that. Well, while I had the Vanguard representative on the phone, and he's going through and explaining which types of mutual funds are which, he kept impressing on me that I needed to maintain 15 to 20% in bonds. I said, Well, bonds aren't really what I'm looking for.That's dumber than a rock.He said, Well, you have to have a certain percentage of bonds. He seemed rather insistent on it. I said, No, I want 25% in each of these four types of mutual funds. I was just wondering, why did he find it so important that I have some percentage of bonds?Well, the theory in the... How old are you?Fifty-two.Okay. The theory in the financial world is that the bonds are lower risk than stocks. The problem with the theory is it's not true. Okay, so if you go pull up the bond market volatility and lay that beside a growth and income stock mutual fund volatility, you'll see they're about the same. If If you looked at a chart of the volatility, the price is going up and down, the market volatility. They're not less. Here's the other problem. Bond prices are dictated by the interest rate environment, and they work on an inverse of interest rate, meaning if interest rates go down, bond prices go up. If interest rates go up, bond prices and values go down. This guy's an idiot. Interest rates have been increasing. In an increasing interest rate environment, if you buy bonds, you're going to lose your butt. But what he's going on is the overarching theory that you need some bonds in your portfolio to have a lower risk profile. The problem is that the theory is absolute hogwash, and he's just a kid on the phone that they train to read a script.Right.Yeah. Okay. It's just sad. But that's where it's coming from. Again, here's how bad the theory is. The financial planning world also adopts a process that I don't agree with, or a theory I don't agree with, called asset Allocation. Let's just talk aboutdefinitely clear that then with this 75 when it comes in. But let's get about the business of getting your house paid off. When the house and the rentals are clear, you'll have tremendous cash flow to buy your other rentals with that cash flow.No more rentals, though, until we start clearing these debts.Until we clear all the debts, including your personal residence. That's what I would do if I were in your shoes. It's a good question, Laura, and you're thinking clearly with a horrible, sad situation, but I'm glad you got a great, bright future. That puts us hour of the Ramsey Show on the Books. We'll be back with you before you know it. In the meantime, remember, there's ultimately only one way to financial peace, and that's to walk daily with the Prince of Peace, Christ Jesus.Hey, guys, I'm Rachael. And I'm George.And you've probably heard our voices before on The Ramsey Show.And do we have a surprise for you? Yep.We have our very own show, Smart Money Happy Hour, where we talk pop culture, current events, and of course, money. George, it's a great show.And what else do we talk about? So much, Rachael. Not enough, and yet too much. We talk about guilt-tipping because tipping is out of control, and I won't stand for it anymore, which is why I'm sitting.I'm glad you're taking such a stand.Or a sit. We also talk about something else I'm passionate about, Disney adults. Why is it a thing?Listen, some adults still find the magic.Sure. We also talk about toxic money traits and girl math. And if you don't know what those are, you have to listen to the podcast.Yeah, there's a lot there, you guys.It's pretty fun. We keep you relevant is what I'm trying to say.We help you out.So pull up a chair to the happy hour you wish your friends were having. We promise you won't regret it. If you don't have friends, we'll be your friends. We will.We're great friends. So make sure to check it out on Apple, Spotify, YouTube, or the Ramsey Network app.

But people like A, but I think you need more than that.Yeah, we need an actual sustainable career that she can sink her teeth into and get out of this debt fast. Because if she can even create 30 grand extra in income, well, we can knock this debt out in under a year.Yeah. Now, I'm going to send you a book by Ken Coleman called Find the Work You're Wired to Do, and it has the get clear assessment in it. It'll give you a code and you'll jump onlinefree?Yes.Why are you hanging on to the investment property?Because for my kids, I imagine, that's Because I don't have a 401k, and I figured that would be my money that I could give to the kids. Okay. Then you call me and you're broke, so this is not working. Yeah, so I'm looking for a plan. Basically, you borrowed a HLAA and SBA loan and kept a home mortgage in order to buy an investment property. That's in essence what has happened, or in order to keep an investment property, to keep from selling it. See, if you had sold it, you wouldn't have the HLAA, and you wouldn't have the SBA loan, and you wouldn't have the mortgage. Now you can still sell it and not have all of those things. That's a good start. That's probably where I'm starting. Is that the only debt you've got? I believe.Actually, I probably have 20,000 in credit cards.Okay. Then we need to sit down and start living on a plan, a budget, so that you and your wife sitting together with the Every Dollar app. You go through Financial Peace University. I'll give you both as my gift. If you'll do it, go through the class, sit down, start writing out a plan. What do you build with your construction business? What buildings do you do? It's a waterproofing company, . The old supper club. Exactly.Never It goes out of style.It's wonderful, though. There's an idea for you, Wolfgang. You get to spend time with friends, and it's way cheaper than going out to eat. You got a lot better quality atmosphere. Everything's better.That's right.Everything. There's all kinds of ways to say yes. But I think it's an interesting philosophical discussion.One of the best skills you can have is learning to say no.The Power of No. That's my next book.I like that.Ramsey said no. There it is. This is the Ramsey show. Listen, tickets for the Live Like No One Else Cruise are selling fast. This is the ultimate debt-free vacation, and I can't wait to celebrate with all the folks who've worked their butts off and changed their family trees. We will be sailing through the blue waters of the Caribbean with the Ramsey personalities and other special guests. A bunch of cabin options are already sold out, so hurry and reserve yours with a $600 deposit today at ramsey solutions. Com/events. George Campbell-Ramsey, personality number one best-selling author of the book Breaking Free from Broke, is my co-host today. Selling a house in this weird Real estate market, buying a house in this weird real estate market is weird. It's hard. It's different. It adds a level of uncertainty to the whole process that It really shouldn't be there but is there. If you want to get rid of that, get with a pro. Now, the problem with a real estate business is it's fairly easy to get in. You got to pass a little test. It's not much. It's fairly easy to get out. When times get tough, all the people that are half-butt doing the business, they bail.As soon as it gets jumping again, they jump right back in. What you want to do when you're selling your largest asset or buying your largest asset, hundreds of thousands of dollars or millions of dollars, whatever your case is, you definitely want a pro. You want somebody that's... They're not... Aunt Sally, who got her license three weeks ago because she thought it'd be fun. That's not a good idea right there. You really want to get somebody that sells 30 to 300 houses a year, and they know what they're doing. Well, that's what the Ramsey the trusted real estate agents are. They're people that we have vetted for their level of performance. We coach them. They understand the Ramsey advice and systems. You're going to have an experience unlike you will get anywhere else, and you're going to get the house sold or the house bought or whatever it is you're trying to do, because the Ramsey trusted real estate agents are freaking amazing. They're the best. If you want to know who the Ramsey trusted real estate agent is in your area, you can find out for free. Just go to ramsey solutions. Com/agent. Ramsey solutions.Com/agent. Monica is in New Orleans. Hi, Monica. How are you?Hi, I'm well, sir. How are you all?Better than we deserve. What's up?Okay, so my employer matched 401k uses Vanguard. I scheduled a phone consultation with a Vanguard representative because I couldn't tell.Where'd you go?I wanted to to make sure that I had 25%- Whoa, did you drive under a bridge or something?Okay, you scheduled a phone call with a Vanguard representative, and then what happened?I wanted to make sure that I had 25% going into each of those four types of mutual funds that you guys recommend, the growth, aggressive growth, growth and income international. Well, I couldn't tell, based on the names that Vanguard gives their mutual funds, what types they were. They're very confusing names. I wanted clarity on that. Well, while I had the Vanguard representative on the phone, and he's going through and explaining which types of mutual funds are which, he kept impressing on me that I needed to maintain 15 to 20% in bonds. I said, Well, bonds aren't really what I'm looking for.That's dumber than a rock.He said, Well, you have to have a certain percentage of bonds. He seemed rather insistent on it. I said, No, I want 25% in each of these four types of mutual funds. I was just wondering, why did he find it so important that I have some percentage of bonds?Well, the theory in the... How old are you?Fifty-two.Okay. The theory in the financial world is that the bonds are lower risk than stocks. The problem with the theory is it's not true. Okay, so if you go pull up the bond market volatility and lay that beside a growth and income stock mutual fund volatility, you'll see they're about the same. If If you looked at a chart of the volatility, the price is going up and down, the market volatility. They're not less. Here's the other problem. Bond prices are dictated by the interest rate environment, and they work on an inverse of interest rate, meaning if interest rates go down, bond prices go up. If interest rates go up, bond prices and values go down. This guy's an idiot. Interest rates have been increasing. In an increasing interest rate environment, if you buy bonds, you're going to lose your butt. But what he's going on is the overarching theory that you need some bonds in your portfolio to have a lower risk profile. The problem is that the theory is absolute hogwash, and he's just a kid on the phone that they train to read a script.Right.Yeah. Okay. It's just sad. But that's where it's coming from. Again, here's how bad the theory is. The financial planning world also adopts a process that I don't agree with, or a theory I don't agree with, called asset Allocation. Let's just talk aboutdefinitely clear that then with this 75 when it comes in. But let's get about the business of getting your house paid off. When the house and the rentals are clear, you'll have tremendous cash flow to buy your other rentals with that cash flow.No more rentals, though, until we start clearing these debts.Until we clear all the debts, including your personal residence. That's what I would do if I were in your shoes. It's a good question, Laura, and you're thinking clearly with a horrible, sad situation, but I'm glad you got a great, bright future. That puts us hour of the Ramsey Show on the Books. We'll be back with you before you know it. In the meantime, remember, there's ultimately only one way to financial peace, and that's to walk daily with the Prince of Peace, Christ Jesus.Hey, guys, I'm Rachael. And I'm George.And you've probably heard our voices before on The Ramsey Show.And do we have a surprise for you? Yep.We have our very own show, Smart Money Happy Hour, where we talk pop culture, current events, and of course, money. George, it's a great show.And what else do we talk about? So much, Rachael. Not enough, and yet too much. We talk about guilt-tipping because tipping is out of control, and I won't stand for it anymore, which is why I'm sitting.I'm glad you're taking such a stand.Or a sit. We also talk about something else I'm passionate about, Disney adults. Why is it a thing?Listen, some adults still find the magic.Sure. We also talk about toxic money traits and girl math. And if you don't know what those are, you have to listen to the podcast.Yeah, there's a lot there, you guys.It's pretty fun. We keep you relevant is what I'm trying to say.We help you out.So pull up a chair to the happy hour you wish your friends were having. We promise you won't regret it. If you don't have friends, we'll be your friends. We will.We're great friends. So make sure to check it out on Apple, Spotify, YouTube, or the Ramsey Network app.

A, but I think you need more than that.

Yeah, we need an actual sustainable career that she can sink her teeth into and get out of this debt fast. Because if she can even create 30 grand extra in income, well, we can knock this debt out in under a year.

Yeah. Now, I'm going to send you a book by Ken Coleman called Find the Work You're Wired to Do, and it has the get clear assessment in it. It'll give you a code and you'll jump onlinefree?Yes.Why are you hanging on to the investment property?Because for my kids, I imagine, that's Because I don't have a 401k, and I figured that would be my money that I could give to the kids. Okay. Then you call me and you're broke, so this is not working. Yeah, so I'm looking for a plan. Basically, you borrowed a HLAA and SBA loan and kept a home mortgage in order to buy an investment property. That's in essence what has happened, or in order to keep an investment property, to keep from selling it. See, if you had sold it, you wouldn't have the HLAA, and you wouldn't have the SBA loan, and you wouldn't have the mortgage. Now you can still sell it and not have all of those things. That's a good start. That's probably where I'm starting. Is that the only debt you've got? I believe.Actually, I probably have 20,000 in credit cards.Okay. Then we need to sit down and start living on a plan, a budget, so that you and your wife sitting together with the Every Dollar app. You go through Financial Peace University. I'll give you both as my gift. If you'll do it, go through the class, sit down, start writing out a plan. What do you build with your construction business? What buildings do you do? It's a waterproofing company, . The old supper club. Exactly.Never It goes out of style.It's wonderful, though. There's an idea for you, Wolfgang. You get to spend time with friends, and it's way cheaper than going out to eat. You got a lot better quality atmosphere. Everything's better.That's right.Everything. There's all kinds of ways to say yes. But I think it's an interesting philosophical discussion.One of the best skills you can have is learning to say no.The Power of No. That's my next book.I like that.Ramsey said no. There it is. This is the Ramsey show. Listen, tickets for the Live Like No One Else Cruise are selling fast. This is the ultimate debt-free vacation, and I can't wait to celebrate with all the folks who've worked their butts off and changed their family trees. We will be sailing through the blue waters of the Caribbean with the Ramsey personalities and other special guests. A bunch of cabin options are already sold out, so hurry and reserve yours with a $600 deposit today at ramsey solutions. Com/events. George Campbell-Ramsey, personality number one best-selling author of the book Breaking Free from Broke, is my co-host today. Selling a house in this weird Real estate market, buying a house in this weird real estate market is weird. It's hard. It's different. It adds a level of uncertainty to the whole process that It really shouldn't be there but is there. If you want to get rid of that, get with a pro. Now, the problem with a real estate business is it's fairly easy to get in. You got to pass a little test. It's not much. It's fairly easy to get out. When times get tough, all the people that are half-butt doing the business, they bail.As soon as it gets jumping again, they jump right back in. What you want to do when you're selling your largest asset or buying your largest asset, hundreds of thousands of dollars or millions of dollars, whatever your case is, you definitely want a pro. You want somebody that's... They're not... Aunt Sally, who got her license three weeks ago because she thought it'd be fun. That's not a good idea right there. You really want to get somebody that sells 30 to 300 houses a year, and they know what they're doing. Well, that's what the Ramsey the trusted real estate agents are. They're people that we have vetted for their level of performance. We coach them. They understand the Ramsey advice and systems. You're going to have an experience unlike you will get anywhere else, and you're going to get the house sold or the house bought or whatever it is you're trying to do, because the Ramsey trusted real estate agents are freaking amazing. They're the best. If you want to know who the Ramsey trusted real estate agent is in your area, you can find out for free. Just go to ramsey solutions. Com/agent. Ramsey solutions.Com/agent. Monica is in New Orleans. Hi, Monica. How are you?Hi, I'm well, sir. How are you all?Better than we deserve. What's up?Okay, so my employer matched 401k uses Vanguard. I scheduled a phone consultation with a Vanguard representative because I couldn't tell.Where'd you go?I wanted to to make sure that I had 25%- Whoa, did you drive under a bridge or something?Okay, you scheduled a phone call with a Vanguard representative, and then what happened?I wanted to make sure that I had 25% going into each of those four types of mutual funds that you guys recommend, the growth, aggressive growth, growth and income international. Well, I couldn't tell, based on the names that Vanguard gives their mutual funds, what types they were. They're very confusing names. I wanted clarity on that. Well, while I had the Vanguard representative on the phone, and he's going through and explaining which types of mutual funds are which, he kept impressing on me that I needed to maintain 15 to 20% in bonds. I said, Well, bonds aren't really what I'm looking for.That's dumber than a rock.He said, Well, you have to have a certain percentage of bonds. He seemed rather insistent on it. I said, No, I want 25% in each of these four types of mutual funds. I was just wondering, why did he find it so important that I have some percentage of bonds?Well, the theory in the... How old are you?Fifty-two.Okay. The theory in the financial world is that the bonds are lower risk than stocks. The problem with the theory is it's not true. Okay, so if you go pull up the bond market volatility and lay that beside a growth and income stock mutual fund volatility, you'll see they're about the same. If If you looked at a chart of the volatility, the price is going up and down, the market volatility. They're not less. Here's the other problem. Bond prices are dictated by the interest rate environment, and they work on an inverse of interest rate, meaning if interest rates go down, bond prices go up. If interest rates go up, bond prices and values go down. This guy's an idiot. Interest rates have been increasing. In an increasing interest rate environment, if you buy bonds, you're going to lose your butt. But what he's going on is the overarching theory that you need some bonds in your portfolio to have a lower risk profile. The problem is that the theory is absolute hogwash, and he's just a kid on the phone that they train to read a script.Right.Yeah. Okay. It's just sad. But that's where it's coming from. Again, here's how bad the theory is. The financial planning world also adopts a process that I don't agree with, or a theory I don't agree with, called asset Allocation. Let's just talk aboutdefinitely clear that then with this 75 when it comes in. But let's get about the business of getting your house paid off. When the house and the rentals are clear, you'll have tremendous cash flow to buy your other rentals with that cash flow.No more rentals, though, until we start clearing these debts.Until we clear all the debts, including your personal residence. That's what I would do if I were in your shoes. It's a good question, Laura, and you're thinking clearly with a horrible, sad situation, but I'm glad you got a great, bright future. That puts us hour of the Ramsey Show on the Books. We'll be back with you before you know it. In the meantime, remember, there's ultimately only one way to financial peace, and that's to walk daily with the Prince of Peace, Christ Jesus.Hey, guys, I'm Rachael. And I'm George.And you've probably heard our voices before on The Ramsey Show.And do we have a surprise for you? Yep.We have our very own show, Smart Money Happy Hour, where we talk pop culture, current events, and of course, money. George, it's a great show.And what else do we talk about? So much, Rachael. Not enough, and yet too much. We talk about guilt-tipping because tipping is out of control, and I won't stand for it anymore, which is why I'm sitting.I'm glad you're taking such a stand.Or a sit. We also talk about something else I'm passionate about, Disney adults. Why is it a thing?Listen, some adults still find the magic.Sure. We also talk about toxic money traits and girl math. And if you don't know what those are, you have to listen to the podcast.Yeah, there's a lot there, you guys.It's pretty fun. We keep you relevant is what I'm trying to say.We help you out.So pull up a chair to the happy hour you wish your friends were having. We promise you won't regret it. If you don't have friends, we'll be your friends. We will.We're great friends. So make sure to check it out on Apple, Spotify, YouTube, or the Ramsey Network app.

free?

Yes.

Why are you hanging on to the investment property?

Because for my kids, I imagine, that's Because I don't have a 401k, and I figured that would be my money that I could give to the kids. Okay. Then you call me and you're broke, so this is not working. Yeah, so I'm looking for a plan. Basically, you borrowed a HLAA and SBA loan and kept a home mortgage in order to buy an investment property. That's in essence what has happened, or in order to keep an investment property, to keep from selling it. See, if you had sold it, you wouldn't have the HLAA, and you wouldn't have the SBA loan, and you wouldn't have the mortgage. Now you can still sell it and not have all of those things. That's a good start. That's probably where I'm starting. Is that the only debt you've got? I believe.

Actually, I probably have 20,000 in credit cards.

Okay. Then we need to sit down and start living on a plan, a budget, so that you and your wife sitting together with the Every Dollar app. You go through Financial Peace University. I'll give you both as my gift. If you'll do it, go through the class, sit down, start writing out a plan. What do you build with your construction business? What buildings do you do? It's a waterproofing company, . The old supper club. Exactly.Never It goes out of style.It's wonderful, though. There's an idea for you, Wolfgang. You get to spend time with friends, and it's way cheaper than going out to eat. You got a lot better quality atmosphere. Everything's better.That's right.Everything. There's all kinds of ways to say yes. But I think it's an interesting philosophical discussion.One of the best skills you can have is learning to say no.The Power of No. That's my next book.I like that.Ramsey said no. There it is. This is the Ramsey show. Listen, tickets for the Live Like No One Else Cruise are selling fast. This is the ultimate debt-free vacation, and I can't wait to celebrate with all the folks who've worked their butts off and changed their family trees. We will be sailing through the blue waters of the Caribbean with the Ramsey personalities and other special guests. A bunch of cabin options are already sold out, so hurry and reserve yours with a $600 deposit today at ramsey solutions. Com/events. George Campbell-Ramsey, personality number one best-selling author of the book Breaking Free from Broke, is my co-host today. Selling a house in this weird Real estate market, buying a house in this weird real estate market is weird. It's hard. It's different. It adds a level of uncertainty to the whole process that It really shouldn't be there but is there. If you want to get rid of that, get with a pro. Now, the problem with a real estate business is it's fairly easy to get in. You got to pass a little test. It's not much. It's fairly easy to get out. When times get tough, all the people that are half-butt doing the business, they bail.As soon as it gets jumping again, they jump right back in. What you want to do when you're selling your largest asset or buying your largest asset, hundreds of thousands of dollars or millions of dollars, whatever your case is, you definitely want a pro. You want somebody that's... They're not... Aunt Sally, who got her license three weeks ago because she thought it'd be fun. That's not a good idea right there. You really want to get somebody that sells 30 to 300 houses a year, and they know what they're doing. Well, that's what the Ramsey the trusted real estate agents are. They're people that we have vetted for their level of performance. We coach them. They understand the Ramsey advice and systems. You're going to have an experience unlike you will get anywhere else, and you're going to get the house sold or the house bought or whatever it is you're trying to do, because the Ramsey trusted real estate agents are freaking amazing. They're the best. If you want to know who the Ramsey trusted real estate agent is in your area, you can find out for free. Just go to ramsey solutions. Com/agent. Ramsey solutions.Com/agent. Monica is in New Orleans. Hi, Monica. How are you?Hi, I'm well, sir. How are you all?Better than we deserve. What's up?Okay, so my employer matched 401k uses Vanguard. I scheduled a phone consultation with a Vanguard representative because I couldn't tell.Where'd you go?I wanted to to make sure that I had 25%- Whoa, did you drive under a bridge or something?Okay, you scheduled a phone call with a Vanguard representative, and then what happened?I wanted to make sure that I had 25% going into each of those four types of mutual funds that you guys recommend, the growth, aggressive growth, growth and income international. Well, I couldn't tell, based on the names that Vanguard gives their mutual funds, what types they were. They're very confusing names. I wanted clarity on that. Well, while I had the Vanguard representative on the phone, and he's going through and explaining which types of mutual funds are which, he kept impressing on me that I needed to maintain 15 to 20% in bonds. I said, Well, bonds aren't really what I'm looking for.That's dumber than a rock.He said, Well, you have to have a certain percentage of bonds. He seemed rather insistent on it. I said, No, I want 25% in each of these four types of mutual funds. I was just wondering, why did he find it so important that I have some percentage of bonds?Well, the theory in the... How old are you?Fifty-two.Okay. The theory in the financial world is that the bonds are lower risk than stocks. The problem with the theory is it's not true. Okay, so if you go pull up the bond market volatility and lay that beside a growth and income stock mutual fund volatility, you'll see they're about the same. If If you looked at a chart of the volatility, the price is going up and down, the market volatility. They're not less. Here's the other problem. Bond prices are dictated by the interest rate environment, and they work on an inverse of interest rate, meaning if interest rates go down, bond prices go up. If interest rates go up, bond prices and values go down. This guy's an idiot. Interest rates have been increasing. In an increasing interest rate environment, if you buy bonds, you're going to lose your butt. But what he's going on is the overarching theory that you need some bonds in your portfolio to have a lower risk profile. The problem is that the theory is absolute hogwash, and he's just a kid on the phone that they train to read a script.Right.Yeah. Okay. It's just sad. But that's where it's coming from. Again, here's how bad the theory is. The financial planning world also adopts a process that I don't agree with, or a theory I don't agree with, called asset Allocation. Let's just talk aboutdefinitely clear that then with this 75 when it comes in. But let's get about the business of getting your house paid off. When the house and the rentals are clear, you'll have tremendous cash flow to buy your other rentals with that cash flow.No more rentals, though, until we start clearing these debts.Until we clear all the debts, including your personal residence. That's what I would do if I were in your shoes. It's a good question, Laura, and you're thinking clearly with a horrible, sad situation, but I'm glad you got a great, bright future. That puts us hour of the Ramsey Show on the Books. We'll be back with you before you know it. In the meantime, remember, there's ultimately only one way to financial peace, and that's to walk daily with the Prince of Peace, Christ Jesus.Hey, guys, I'm Rachael. And I'm George.And you've probably heard our voices before on The Ramsey Show.And do we have a surprise for you? Yep.We have our very own show, Smart Money Happy Hour, where we talk pop culture, current events, and of course, money. George, it's a great show.And what else do we talk about? So much, Rachael. Not enough, and yet too much. We talk about guilt-tipping because tipping is out of control, and I won't stand for it anymore, which is why I'm sitting.I'm glad you're taking such a stand.Or a sit. We also talk about something else I'm passionate about, Disney adults. Why is it a thing?Listen, some adults still find the magic.Sure. We also talk about toxic money traits and girl math. And if you don't know what those are, you have to listen to the podcast.Yeah, there's a lot there, you guys.It's pretty fun. We keep you relevant is what I'm trying to say.We help you out.So pull up a chair to the happy hour you wish your friends were having. We promise you won't regret it. If you don't have friends, we'll be your friends. We will.We're great friends. So make sure to check it out on Apple, Spotify, YouTube, or the Ramsey Network app.

. The old supper club. Exactly.

Never It goes out of style.

It's wonderful, though. There's an idea for you, Wolfgang. You get to spend time with friends, and it's way cheaper than going out to eat. You got a lot better quality atmosphere. Everything's better.

That's right.

Everything. There's all kinds of ways to say yes. But I think it's an interesting philosophical discussion.

One of the best skills you can have is learning to say no.

The Power of No. That's my next book.

I like that.

Ramsey said no. There it is. This is the Ramsey show. Listen, tickets for the Live Like No One Else Cruise are selling fast. This is the ultimate debt-free vacation, and I can't wait to celebrate with all the folks who've worked their butts off and changed their family trees. We will be sailing through the blue waters of the Caribbean with the Ramsey personalities and other special guests. A bunch of cabin options are already sold out, so hurry and reserve yours with a $600 deposit today at ramsey solutions. Com/events. George Campbell-Ramsey, personality number one best-selling author of the book Breaking Free from Broke, is my co-host today. Selling a house in this weird Real estate market, buying a house in this weird real estate market is weird. It's hard. It's different. It adds a level of uncertainty to the whole process that It really shouldn't be there but is there. If you want to get rid of that, get with a pro. Now, the problem with a real estate business is it's fairly easy to get in. You got to pass a little test. It's not much. It's fairly easy to get out. When times get tough, all the people that are half-butt doing the business, they bail.

As soon as it gets jumping again, they jump right back in. What you want to do when you're selling your largest asset or buying your largest asset, hundreds of thousands of dollars or millions of dollars, whatever your case is, you definitely want a pro. You want somebody that's... They're not... Aunt Sally, who got her license three weeks ago because she thought it'd be fun. That's not a good idea right there. You really want to get somebody that sells 30 to 300 houses a year, and they know what they're doing. Well, that's what the Ramsey the trusted real estate agents are. They're people that we have vetted for their level of performance. We coach them. They understand the Ramsey advice and systems. You're going to have an experience unlike you will get anywhere else, and you're going to get the house sold or the house bought or whatever it is you're trying to do, because the Ramsey trusted real estate agents are freaking amazing. They're the best. If you want to know who the Ramsey trusted real estate agent is in your area, you can find out for free. Just go to ramsey solutions. Com/agent. Ramsey solutions.

Com/agent. Monica is in New Orleans. Hi, Monica. How are you?

Hi, I'm well, sir. How are you all?

Better than we deserve. What's up?

Okay, so my employer matched 401k uses Vanguard. I scheduled a phone consultation with a Vanguard representative because I couldn't tell.

Where'd you go?

I wanted to to make sure that I had 25%- Whoa, did you drive under a bridge or something?

Okay, you scheduled a phone call with a Vanguard representative, and then what happened?

I wanted to make sure that I had 25% going into each of those four types of mutual funds that you guys recommend, the growth, aggressive growth, growth and income international. Well, I couldn't tell, based on the names that Vanguard gives their mutual funds, what types they were. They're very confusing names. I wanted clarity on that. Well, while I had the Vanguard representative on the phone, and he's going through and explaining which types of mutual funds are which, he kept impressing on me that I needed to maintain 15 to 20% in bonds. I said, Well, bonds aren't really what I'm looking for.

That's dumber than a rock.

He said, Well, you have to have a certain percentage of bonds. He seemed rather insistent on it. I said, No, I want 25% in each of these four types of mutual funds. I was just wondering, why did he find it so important that I have some percentage of bonds?

Well, the theory in the... How old are you?

Fifty-two.

Okay. The theory in the financial world is that the bonds are lower risk than stocks. The problem with the theory is it's not true. Okay, so if you go pull up the bond market volatility and lay that beside a growth and income stock mutual fund volatility, you'll see they're about the same. If If you looked at a chart of the volatility, the price is going up and down, the market volatility. They're not less. Here's the other problem. Bond prices are dictated by the interest rate environment, and they work on an inverse of interest rate, meaning if interest rates go down, bond prices go up. If interest rates go up, bond prices and values go down. This guy's an idiot. Interest rates have been increasing. In an increasing interest rate environment, if you buy bonds, you're going to lose your butt. But what he's going on is the overarching theory that you need some bonds in your portfolio to have a lower risk profile. The problem is that the theory is absolute hogwash, and he's just a kid on the phone that they train to read a script.

Right.

Yeah. Okay. It's just sad. But that's where it's coming from. Again, here's how bad the theory is. The financial planning world also adopts a process that I don't agree with, or a theory I don't agree with, called asset Allocation. Let's just talk aboutdefinitely clear that then with this 75 when it comes in. But let's get about the business of getting your house paid off. When the house and the rentals are clear, you'll have tremendous cash flow to buy your other rentals with that cash flow.No more rentals, though, until we start clearing these debts.Until we clear all the debts, including your personal residence. That's what I would do if I were in your shoes. It's a good question, Laura, and you're thinking clearly with a horrible, sad situation, but I'm glad you got a great, bright future. That puts us hour of the Ramsey Show on the Books. We'll be back with you before you know it. In the meantime, remember, there's ultimately only one way to financial peace, and that's to walk daily with the Prince of Peace, Christ Jesus.Hey, guys, I'm Rachael. And I'm George.And you've probably heard our voices before on The Ramsey Show.And do we have a surprise for you? Yep.We have our very own show, Smart Money Happy Hour, where we talk pop culture, current events, and of course, money. George, it's a great show.And what else do we talk about? So much, Rachael. Not enough, and yet too much. We talk about guilt-tipping because tipping is out of control, and I won't stand for it anymore, which is why I'm sitting.I'm glad you're taking such a stand.Or a sit. We also talk about something else I'm passionate about, Disney adults. Why is it a thing?Listen, some adults still find the magic.Sure. We also talk about toxic money traits and girl math. And if you don't know what those are, you have to listen to the podcast.Yeah, there's a lot there, you guys.It's pretty fun. We keep you relevant is what I'm trying to say.We help you out.So pull up a chair to the happy hour you wish your friends were having. We promise you won't regret it. If you don't have friends, we'll be your friends. We will.We're great friends. So make sure to check it out on Apple, Spotify, YouTube, or the Ramsey Network app.

definitely clear that then with this 75 when it comes in. But let's get about the business of getting your house paid off. When the house and the rentals are clear, you'll have tremendous cash flow to buy your other rentals with that cash flow.

No more rentals, though, until we start clearing these debts.

Until we clear all the debts, including your personal residence. That's what I would do if I were in your shoes. It's a good question, Laura, and you're thinking clearly with a horrible, sad situation, but I'm glad you got a great, bright future. That puts us hour of the Ramsey Show on the Books. We'll be back with you before you know it. In the meantime, remember, there's ultimately only one way to financial peace, and that's to walk daily with the Prince of Peace, Christ Jesus.

Hey, guys, I'm Rachael. And I'm George.

And you've probably heard our voices before on The Ramsey Show.

And do we have a surprise for you? Yep.

We have our very own show, Smart Money Happy Hour, where we talk pop culture, current events, and of course, money. George, it's a great show.

And what else do we talk about? So much, Rachael. Not enough, and yet too much. We talk about guilt-tipping because tipping is out of control, and I won't stand for it anymore, which is why I'm sitting.

I'm glad you're taking such a stand.

Or a sit. We also talk about something else I'm passionate about, Disney adults. Why is it a thing?

Listen, some adults still find the magic.

Sure. We also talk about toxic money traits and girl math. And if you don't know what those are, you have to listen to the podcast.

Yeah, there's a lot there, you guys.

It's pretty fun. We keep you relevant is what I'm trying to say.

We help you out.

So pull up a chair to the happy hour you wish your friends were having. We promise you won't regret it. If you don't have friends, we'll be your friends. We will.

We're great friends. So make sure to check it out on Apple, Spotify, YouTube, or the Ramsey Network app.