My wife and i paid her 60k loan off over a year ago. We just kept paying during the pandemic and when we sent that last payment off, IT WAS AMAZING!!!!! Now the only dept we have is our house. No cars, no credit cards, no student loans. Its wonderful.

@mal7175

Жыл бұрын

Reading your comment made me smile, congrats to your family!

@anaroman1499

Жыл бұрын

Same here just mortgage for us.

@ciarraleone2040

Жыл бұрын

That sounds awesome!

@thejuicerr

Жыл бұрын

It pays to make smart decisions

@Ms.MD7

Жыл бұрын

Congratulations

I used the quarentine to pay off my student loans after being made fun of for making payments now im debt free and happy 😅

@Erica-wz8yv

Жыл бұрын

You’re winning now 🏆

@bkucenski

Жыл бұрын

So, instead of investing the money and letting it grow you paid off some unknown amount of student loans. Cool story. I also paid off a huge chunk of student loans with free money from investments. That doesn't change the fact that millions are people are going to be suffering because of Conservatives.

@st00kley

Жыл бұрын

Classic example of not always following the herd. You took the right approach, congrats! I wish I was in your position.

Silly me. I am a part of that 1%. I dumped every penny I could to pay down my student loans while I didn't have any interest adding up. Living on rice and beans, I finally paid off ALL of my student loans this summer. Now the only debt I have left is my mortgage at 1.75% interest.

@anthonybrown06

Жыл бұрын

1.75% my gosh man that’s awesome! Great job!! Debt free but we got a house at ..wait for it….6% lol.

@kellynorvell5714

Жыл бұрын

CONGRATULATIONS (sincerely) 💯🏆

@bamafencer12

Жыл бұрын

Winning!

@timprussell

11 ай бұрын

And I thought 2.25% was awesome. With the rates they are paying on savings these days, great time to pile up money in a sinking fund to retire that mortgage.

I am SO SO glad that I was able to pay off my student loans during the pause. I kicked myself a little bit when Biden announced forgiveness, thinking I had messed up by paying it off. And now I just breath deeply knowing that even if forgiveness is offered in the future, none of it is my problem.

@takde

Жыл бұрын

Paid off my student loans during Covid. I worked really hard. But the interest was low, and most of it went to principle. 🙏

@getinthespace7715

Жыл бұрын

I did the same thing. While everything was paused I paid of $14k. Got a car loan and a student loan for my wife and we are debt free. $18k total

@mmp495

Жыл бұрын

Whew! Great job paying it off. 0%, how could ppl not take advantage of it. 👍

@jragon9215

Жыл бұрын

I hope nobody cares about you when something in life does become your problem 😊

@kendrascorner

Жыл бұрын

@@jragon9215 that's mean 🤣 In case you misunderstood what I was saying, the only thing I said is "none of my problem" is IF loan forgiveness is offered in the future, I'm not going to beat myself up about not waiting for loan forgiveness.

I’m part of the 99% that stopped paying on one of my student loans. I put that money into high interest accounts instead and am now pulling it back out, with the money I made, and putting it to my loan balance. I took advantage of the whole situation

@JAMROCK828

Жыл бұрын

I did the same as well! I figured I could earn interest in the meantime if the loans don’t get forgiven 😅 I just kept putting the money away!

@dking1362

Жыл бұрын

Wise! Lots of people, I suspect also stopped paying on their loans....but unfortunately chose to spend it on other things! Good for you.

@aliparker3

Жыл бұрын

Same!

@gMcizzLeTribes

Жыл бұрын

Great idea, that was the perfect thing to do

@CleanH2OPools

Жыл бұрын

Great critical thinking! Will keep this in mind for future years!

George has the right mindset. People overly extended themselves in car leases, mortgages, fun, etc. And it's not only student loans. A lot of daycares sadly are in line to have their COVID relief taken away at the same time as student loans. So, the daycares will have to increase their prices or they will go out of business. After that, it will make people with kids in daycare decide if it's cheaper to keep one parent home to take care of the kid(s) or for one of their income go directly to daycare. Dave saying that there wasn't a boom of spending when the pause started, is not true. We saw people go out and spend money on things they didn't need. There was a boom in the economy. Now that money is being zapped from the economy.

@Hi-qh8zt

Жыл бұрын

Well said!

@ericwotton2046

Жыл бұрын

So much money was flowing for about 2 years.

@blackspiderman1887

Жыл бұрын

Yeah I don't understand why he said there wasn't a boom. People were buying houses left and right

@muzerhythm2242

Жыл бұрын

Exactly! If there wasn't a boom...then why in the job market report show the area with the most jobs are in hospitality. As for daycare, we need more companies willing to have more employees work from home and take care of the kids.

@craigfin3222

Жыл бұрын

Exactly, booms usually cause an increase in inflation, which is exactly what we saw. People were spending left and right, it was crazy.

I'm sorry I disagree that the pause in student loan payments had little/no impact on the incredible inflationary boom we've seen in the past 3 years. It's quite literally the SECOND HIGHEST DEBT CATEGORY in the U.S. As it recently surpassed Auto loans. Average borrower pays about $500/mo. There are roughly 45 million borrowers.. and 99% of them made NO payments in the past 3 years. That's giving 40 million people an extra $500/mo and that didn't have an impact? Especially when you combine that with the stimulus checks, mortgage and rent forbearnce? I disagree.

@cutehumor

Жыл бұрын

hope inflation comes back down to normal. pay those student loans off. 😂

@9libertybell

Жыл бұрын

The student loan payments from families will cause money to be pulled out of the local economy. This will hurt small businesses and cause layoffs, perhaps even some will close down. The government is good at wasting money and is better left to the private sector. People against student loan forgiveness cannot see those consequences.😂

@cutehumor

Жыл бұрын

@@9libertybell good one! the suckers with student loans will just live off of credit cards with 25 percent interest rate. 🤣🤣

@ryansatchell2302

Жыл бұрын

@@9libertybell Exactly. Which is probably why Dave doesn't want to see it as a "big deal". He doesn't want a recession(along with many others) because that would mean a large devaluation in RE portfolios and stocks. But sorry to break it to them, those valuations are a direct result of many of the government's stimulative policies. *Including pausing student loan repayment.* Further evidence of this is Biden trying to continuously push the pause down the road. They know it's a huge looming debt problem that will take a blow out of the economy.

@adamseidel9780

Жыл бұрын

Compared to eviction moratoriums, several hundred billion in PPP wages for no production, several hundred billion in direct COVID checks, and several trillion in direct federal spending the student loan moratorium was a drop in the bucket.

We paid off my wife’s student loans during the pause since we knew it would be going 100% towards principle. Everyone thought we were crazy - who’s crazy now???

@ivan200804

Жыл бұрын

It's good that you are able to pay, but student loans are very bad financial instruments due to the inability to be dischargeable during bankruptcies.

@booya6437

Жыл бұрын

@@ivan200804 My wife came into the relationship with a relatively small student loan, I met her after she took it out. It’s paid for now so it’s no longer an issue for us.

@anthonybrown06

Жыл бұрын

Let’s go man!!! Great job!!

@blackworldtraveler3711

Жыл бұрын

@@ivan200804 That is written in the paperwork everyone is supposed to read. Something to think about before signing those loan documents. That’s why I ignored what they wanted me to borrow and took out a small student loan I could afford. Found other financial options.

@booya6437

Жыл бұрын

@@anthonybrown06 Thank you!

Consumer spending increased so sharply during the loan freeze it caused inflation to hit a *40 year high* If that's not an "economic boom" I don't know what is.

@nottelling4828

Жыл бұрын

Excellent point. I was thinking of a couple of other economic markers when Dave made his comment and was left scratching my head.

@eggsinsideme

Жыл бұрын

He keeps saying this. Not only in this video. If the last 3 years of rampant spending and demand causing massive inflation isn’t a boom, then what is? Cars and homes are 40% more expensive than 3 years ago due to overwhelming demand. Would love to see his definition of a boom. Also, 40 million Americans now having to shell out an average of $400 per month for their student loans most definitely is enough to cause a recession. So clueless this guy is.

@nottelling4828

Жыл бұрын

@@eggsinsideme I greatly appreciate his effort to educate us on the systematic approach of eliminating debt, particularly his Biblical references to said approach, but he has some rather odd takes on finance and the economy which he stubbornly clings to contrary to the evidence.

@heythereguys1

Жыл бұрын

Exactly, I don't know what he is talking about.

@DB-bw5fz

Жыл бұрын

@@eggsinsidemehe big question is whether or not ALL of the boom was caused solely by student loans having been paused, and in that respect, I would say Dave was correct, and that it wasn’t the sole cause of the boom. Now whether the payments resuming will cause a recession or not…that is a bigger question, and we simply won’t know until the time comes.

Maybe it'll tone down all the establishments wanting tips (not talking about sit down restaurants) 😂

Paid my 30k off during the pause in 2021… people were literally laughing at me when they announced the student loan forgiveness of 10k/20k. I thank God I followed the steps.. still debt free 2 years later!

@Marcus-id5ur

Жыл бұрын

Or you could have invested that 30k in treasuries, got a guaranteed return, paid off your loans tomorrow and been in the same spot, except a couple grand richer.

@front331

Жыл бұрын

The real Jesus Christ had a tan complection.

@RJWaynerium

Жыл бұрын

@@Marcus-id5ur those returns were not guaranteed, people won a gamble, that's all. Same story with bitcoin

@Marcus-id5ur

Жыл бұрын

@@RJWaynerium Treasuries are guaranteed by the US government. I'm probably averaging about 5% in Treasury Bills right now. Plus I'm getting 6+% on my I Bonds. zero risk.

@RJWaynerium

Жыл бұрын

@@Marcus-id5ur what makes you think that return is guaranteed?

We've been in a recession since the summer of 2022.

@jacobo9611

Жыл бұрын

Na when gas hit $5+ after triumph

@amireallythatgrumpy6508

Жыл бұрын

April is in the spring, not the summer.

@salvagev6mustangforgetting812

Жыл бұрын

No we haven’t. The GDP is still growing with a low unemployment rate, both signs of an effective economy

@amireallythatgrumpy6508

Жыл бұрын

@@salvagev6mustangforgetting812 That's simply incorrect.

@jacobo9611

Жыл бұрын

@@salvagev6mustangforgetting812 that low unemployment rate has the jobs that were shut down from Covid. Also remember the gdp went down two consecutive quarters which is defined as a recession that was silenced

Unfortunately it's more than student loans. Credit card defaults, auto repossessions, and slowing sales are the norm now. The good part is you can buy a new car under MSRP, especially if the car has been on the lot for a few months.

@enricopallazzo3244

Жыл бұрын

20k repos per day, 1/4 loans delinquent. You’re right, it’s not just the loan repayment.

@rcruzthomas

Жыл бұрын

A lot of the car dealers here (Vegas) are still stubborn with their $7K markups on New cars. I will wait for them to get at or below MSRP before I buy.

@enricopallazzo3244

Жыл бұрын

@@rcruzthomas It feels like they’re trying to squeeze every penny out of these cars because they know what’s coming.

@angel-ij4xv

Жыл бұрын

stay away from credit cards

@RearviewMirror-ij2pr

Жыл бұрын

@@rcruzthomas Good for you!

I wish he talks with the same enthusiasm regarding all the bum businesses that received PPP loans

@cutehumor

Жыл бұрын

two wrongs don't make it right!!

@ronaldsganga55

Жыл бұрын

PPP loans were given out because the government forced those businesses to shut down during the covid pandemic

student loan repayments won't cause the recession, but it'll definitely play a small part in the tough times ahead. don't forget about car loan delinquencies, commercial real estate crisis, slowing GDP growth, high interest rate environment, etc etc etc. it's all gonna eventually translate into depressed consumer demand and higher unemployment, one way or another. sooner or later, the highs always wear off. all debts will come due, and the road to recovery is always unpleasant.

Now, wait a minute. Isn't the extra spending the root cause for the inflation that we have? Therefore not having student loan payments did help boost the economy where supply and demand became lopsided. Ergo payments restarting should have an impact.

@angelbabe1977

Жыл бұрын

This!!! They fail to realize (especially those with money) that the extra money come from those who didn't make no payments. They also fail to realize all the companies who have shut down, laid off and quit hiring due to lack of workers, materials and such. I work a company where I work with around 100 companies and we are down to only a couple who are hiring, many shut down, and others did budget cuts removing employees from payroll.

@Melifter

Жыл бұрын

Where’s it documented stating having no student loan payments boosted the economy? Documented from a peer reviewed source, not an opinionated blog.

@joeb1522

11 ай бұрын

​@@MelifterTo me, it's basic economics. Millions of people didn't have to make payments on their debts for 3.5 years, and many used their money on other things, and thus boosted the economy. It's also basc economics that this put upward pressure on inflation.

@Melifter

11 ай бұрын

@@joeb1522, to you? That means nothing. Even Ramsey says it’s not big enough of a population to impact the economy. Credit card debt is just as bad as student loan debt. So why aren’t politicians promising its constituents that the Government will pay off their credit card debt? The only difference is that credit card debt hasn’t been politicized.

Whiny people looking for excuses to avoid responsibility. The only fix for this is for the government to get out of the loan business.

The student loan repayment will lower consumer spending quite a bit. “Spending the money didn’t cause a boom” in a time where demand pushed prices up significantly on nearly everywhere. I really don’t think Dave understands how the economy works. It may not break the economy but it will definitely help to slow things down.

@FooFan-b3k

Жыл бұрын

Supply, or lack thereof, had more to do with prices rising than increased demand. Most people really didn't get enough money to create the imbalance we saw.

@Z28videogates

Жыл бұрын

@3:20 he literally contradicts what Dave says. It absolutely caused a boom in the cost of everything! Cars in particular. Also remember the boom in everyone buying graphics cards!? He's too rich and old i think unfortunately he's out of touch nowadays with a lot of things.

@RedRyz3n

11 ай бұрын

@@FooFan-b3k if there were no demand for the supply would it have mattered if it was lacking? The incredible demand for the low supply is what caused prices to go up. The low supply was directly related to low demand at the beginning of the pandemic, but once people adjusted to WFH (extra money being saved) and the stimulous and student loan paus (even more extra money) people started spending buy houses and moving out of expensive ass cities to suburbs where they also needed a car and others were remodeling their houses cause the selling price went up 50-100%. WFH demanded computers, furnitures for home offices and schooling at home, gym equipment etc. A lot of people got married and a lot had children too. Again, overwelming demand caused price spikes.

"So what". Umm ive been unemployed for 2 months and likely much longer. Recession means i cant feed my family and will lose everying. So glad Dave isnt worried.

People aren’t gonna pay those loans off lol

@RearviewMirror-ij2pr

Жыл бұрын

?

Such a failure of government. The reason people didn't pay during COVID was due in part to the hold on payments, but it's also because they promised to forgive debt. They campaigned on it. People waited because they thought it would be forgiven. I myself don't have Student debt, but most of my friends fall into that category

@Hi-qh8zt

Жыл бұрын

Well looks to me like a lot of your friends got a big life lesson. Do not believe the government or politicians for that matter.

@frivolousquan7085

Жыл бұрын

They didn't trust them. It was a gamble for sure. They knew that. But why not take a chance that it'll be forgiven? I would argue the PSLF is very similar. Something people bank on, only to find out they don't qualify.

@blackspiderman1887

Жыл бұрын

Don't blame the government. If you take out a loan you need to pay it back.

@cutehumor

Жыл бұрын

vote republican to keep student loan forgiveness from ever becoming law

@frivolousquan7085

Жыл бұрын

@@blackspiderman1887 Agreed. But we absolutely should blame a government that promises something, then doesn't follow through. That's like blaming the elderly when SS inevitably goes bankrupt. We should say " those people should've not trusted the govt and invested more"? And the friends I am referring to, have no issues paying loans back. They make good money. It is about the fact that people were led to believe the debt was going to go away, so people didn't pay into the debt, assuming it would be forgiven anyway. Now they say "well you had two years of interest free"... Well yeah, on debt the govt said would be taken care of. Would I rather pay down the principle, or roll the dice on forgiveness? The people who rolled the dice are in no worse position than they were three years ago, but they missed out on interest free payment's. If there was honesty in the govt saying the debt won't be forgiven, but interest free for the duration of COVID. I have no doubt each and every one of them would've paid it off.

My wife and I just made our last student loan payment. Used the last 3 years paying off over $100k in student loans.

Very glad I started paying mine off in December. Started with $35k, now at $15k remaining. ALMOST THERE!

Don’t worry even The Democrats know that forgiveness on Student Loans is a load of hot air and won’t happen…

@mmouseav8r402

Жыл бұрын

Their voters sure are uhm, gullible.

@billyoung8118

Жыл бұрын

It sure did buy them a lot of mid-term election votes.

and this simple question, just goes to show that people have no idea about money. Who gives two rips that the shopping centre and travel wont make money this year. So sad that americans would worry about propping up shopping and experiences over necessary products. I just love ready how many ignorant people are out there working and spending like drunk sailors and then being mad at the government for the interest rate hikes

I followed DR’s baby steps and was $800 away from no credit card debt. I stumbled. Happy to say I woke up and realized how letting the balances get up there again was not a wise choice. Very, very, very easy to say “screw it I’ll just spend a little” and have that turn into way more than intended. Happy to say I’ve refocused and I’m swinging at the debt like Rocky again. I’m looking at it like debt free is a release date from prison. 1000% laser focused and Thank God for Dave Ramsey. He has made the lives of millions of people way better. He has probably reduced more stress than whatever pharmaceutical option was invented to do that. The world is extremely lucky to have him.

Paid off all my loans back in 2015 I believe. Then I went to grad school in 2019, took out a loan. Once the payments and interest froze, I paid that off very quickly. People need to stop falling for the government student loan help. It's an empty promise vote grab.

@the_expidition427

Жыл бұрын

Always has been

Dave are you crazy???? What do you mean it’s not big enough???? Student loan debt is the number two debt in the nation, I know you know that Dave!!!

@bluepikachuu

Жыл бұрын

That should show you how completely out of touch he is. The show isn't even worth listening to anymore because he refuses to acknowledge anything that's going on.

@cutehumor

Жыл бұрын

😂😂 pay those student loans jack!! the economy was fine before the student loan pause and will be fine when you pay them back

@Z28videogates

Жыл бұрын

He also says houses still haven't gone down and he's doubling down saying he's - still - right that it still hasn't gone down - but have you looked at many regions in the USA such as Idaho? It's waaaaaaay down. He must knowingly be lying yet he says he's a Christian. I can't make any sense of it. It's so strange.

we've been in a recession for ages, the government just changed the definition of a recession to save the market.

@TRUTHaintHATING

Жыл бұрын

I was just saying that. I think we still in the recession since 08

@MikeyPaper

11 ай бұрын

​@@TRUTHaintHATINGwhy is the gdp positive then doomer?

The fact that I’m part of the 1% of people that decided to still continue to pay off my student loans is crazy 🤯. And 99% choose not to pay when interest rates was at zero. There really is no excuse because I worked 3 jobs at a time with no time off, no help from family, lived on my own etc. That small inconvenience for 3 years allowed me to be completely done with student loans by August 26, 2023. Sayings there is no job out there is no excuse, I washed dishes at restaurants, I cleaned office buildings, I worked as a busier, I cleaned bathrooms, there is no excuse 🙅🏾‍♀️🙅🏾‍♀️🙅🏾‍♀️

It means time to pay your bills if you have not been paying.

@infinteuniverse

Жыл бұрын

It means appx $500/month less for 20 million borrowers. That's $10 billion less spending x 12 months. $120 billion per year. That's the hard numbers. Interpret the side effects as you will.

@teachergotgame2203

Жыл бұрын

The problem isn’t people wanting to pay the bill, the problem is people can’t afford to pay it. No worries the stuff you enjoy will go up anyway because if people can’t afford to buy stuff then companies will raise the price of products to make up for the loss. By the way… the student loans would payment would go to the government not private companies so private companies wouldn’t have been affected with student loan debt relief because they would still get their money.

@stevenporter863

Жыл бұрын

@@infinteuniverse I don't really care if you pay it back or don't. I care if I get stuck with your loan bill because someone has to pay it.

@crashtestdummy1972

Жыл бұрын

​@@teachergotgame2203i forgot who did a study/asked but the vast majority who had their loans paused ended up spending that money on frivolous things instead of taking advantage of no interest for 3 years. But yes you are right they cant pay it because they LIVE BEYOND THEIR MEANS

@teachergotgame2203

Жыл бұрын

@@crashtestdummy1972 I can’t speak for the vast majority. I used the money to save up to buy a house because the cost of rent kept going up $100 every year at the apartment I lived at and nothing changed about the quality of the apartment complex. But even if people bought frivolous things… isn’t that the point of capitalism? Isn’t that what capitalist want people to do? I mean people don’t need Dave Ramsey. His company is not a necessity to survive but people give him their expendable income yet it’s a problem for people running out of expendable income to get relief and keep the economy strong? Talk about cognitive dissonance….

We put student loan payments into interest bearing instruments during the moratorium and will pay off everything next month and keep the interest.

I'm glad I took advantage of the no interest and paid my student loans off

“SaVe ThE eCoNoMy By CaNcElLiNg StUdEnT lOaN dEbT!” In the words of Nelson “haha!”

I jumped all over the no interest pause and threw as much as I could at my student loan debt + saved as much as possible. I'm now ready to pay off all my student loans before interest starts again. Woohoo! It's been a boring year of laying low and saving but I'm proud to have made it to this point.

@MikeyPaper

11 ай бұрын

Thats awesome!

Used car market about to be flooded.

@gabrielj.negrontroche4188

Жыл бұрын

100% everyone will sell their car loan

I can personally say from experience that from 2019 till now people have spent a lot of the money that would go towards their payments on goods because I deliver those goods. We have not had a slow down since early 2020 and never once have I come in to the terminal and seen empty trucks and being told to go home?.There's nothing on your truck never has that been said.

I would disagree, I think this is another spoke in the wheel of bad decisions leading to a recession. Car repos have already gone up (first sign of bad economics) and house foreclosures are going up. Taking away $500-700 from peoples budgets will kill the consumer economy.

@amireallythatgrumpy6508

Жыл бұрын

America has been in a recession since April 2022.

@mike7933

Жыл бұрын

@@amireallythatgrumpy6508 oh I agree, but this will make it much worse. The government loves acting like all is well lol

Imagine if Bill Gates, Jeff Bezos or Steve Jobs asked Ramsey for his advice before starting Microsoft, Amazon or Apple. We'd still be using typewriters.

@theoneonly5368

Жыл бұрын

One of the best comments I’ve ever seen on a DR video.

@SnifferSock

Жыл бұрын

Imagine if the millions of people in debt due to a failed business asked Dave Ramsay for his advice.

@mannyjeanpierre4062

Жыл бұрын

go read some of the books written by these billionaires and see what they have to say about debt. youd be surprised they dont differ that much from dave

@theoneonly5368

Жыл бұрын

@@mannyjeanpierre4062they advocate against consumer debt. Taking out a $100K personal loan to jumpstart your business? That’s something Bill Gates or Steve Jobs would totally support. You only get one life. Why wouldn’t you bet on yourself?

@stevenporter863

Жыл бұрын

Dave's advice is to be safe with no debt. Not to build a empire.

Maybe they need to let people not pay their mortgages, groceries, and auto loans to prevent recession too... lol.

"It wasn't enough money to cause an economic boom" I seem to remember the stock market absolutely exploding once people were given stimulus checks. People are paying far more for their loans than what the stimulus gave them. We always have money for wars. We always have money for reckless corporations. We always have money to give to other countries who aren't even our allies. But for the government to accept responsibility for the loans that the government guaranteed? Sorry, there's not enough money. That would simply be irresponsible.

@ronnie5151

Жыл бұрын

The government didn’t guarantee that ridiculous plan, Biden did! 🤨 Biden has been in politics longer than most people have been alive; you think he didn’t foresee it being shot down? He knew it would happen but he knew getting your hopes up would make him look like a hero. Man up and stop looking for a savior.

What episode is this?

Car dealerships have been booming last couple of years. Unemployment is at record lows. All of this is artificial. Not sure what universe Dave is living in.

@bluepikachuu

Жыл бұрын

The boomerverse, where everything is fine because he's not struggling and everyone who is is just whining because they're lazy.

@ProCoach2373

Жыл бұрын

Agreed

If the average payment is 400 dollars a month to student loan, and you multiply that by the 40 million borrowers out there you talking about around 16 billion dollars a month going back into the economy as opposed to loans, take that and the economy and retailers will definitely feel it, we had record high inflation, I’m sure a lot of it was because people had so much more money to spend than they previously did

We haven't paid anything to federal loans while they've been at 0% interest.. Instead we got rid of private loans and now building up a large savings account making 4.5% (400/ month) waiting for the federal loans to come back. I'd much rather hold onto my money vs give it to the government if there's no penalty.

@crashtestdummy1972

Жыл бұрын

Now you gotta pay it back with interest. You are playing the money game that you will surely lose. Just pay it back if you have student loans.

@crashtestdummy1972

Жыл бұрын

We did the same thing too, but we also tackled student loans as well. We just finished up the last of our debts minus the house and are building up our savings. It feels great!

@skrillson1

Жыл бұрын

@@crashtestdummy1972 We're putting what we built up on it right as it starts accruing interest.

@jml9550

Жыл бұрын

@@skrillson1smart move. When October hit, pay it off in one check, no interest accrued.

I made no payments in the last three years, but I put what would be the payment, plus extra in a savings account that was accruing interest and there it will stay until September 21st at which point I will pay off my student loans. Currently I am earning more than $300 a month in interest, so I'm keeping it there for as long as possible (I have a lot of student loans and a very big shovel).

@dking1362

Жыл бұрын

Smart!

@lyndasowunmi2061

Жыл бұрын

Hello! What type of savings account is that? @aina3387

I appreciate that Dave goes ahead and shares his position on the “what if” aspect of the loan repayment crashing the economy. I disagree with his “relative to GDP” assessment since there are already fractures in many other sectors of the economy

We are already in we have been in a recession for well over a year.

@jayv9286

Жыл бұрын

By the time they admit we’re in a recession it’ll be a depression.

@I_like_turtles_67

Жыл бұрын

Whoever left a comment, YT isn't showing it.

People weren't blowing the extra 15k per year they were surviving inflation with the extra money

When the government came a knocking with those stimulus checks I instantly “gave the money back” by paying off my student loans. Screwed them out of possible interest hehe

Im part of the 1%! I paid down close to 50k and plan on making on making a 12k payment before the end of August to get rid of my second highest interest loan(paid off the first one). Still will have around 73k remaining but it’s a far cry from the 135k I was in at the start of the pandemic

I think it will lead to even more consumer debt. People are not willing to give up their lifestyles, so they will finance using credit cards. The results of that will lead to a collapse.

@blackworldtraveler3711

Жыл бұрын

I plan to travel more.

How much PPP loans did Dave get forgiven?

@amireallythatgrumpy6508

Жыл бұрын

You must be new here otherwise you would Dave FEARS loans of all forms.

Rents were raised over the last 3 years in response to the student loan freeze. It is incumbent upon landlords to move their prices back to pre-covid levels. There is no reason for every freaking place to be worth 1600-2000 dollars across America .

@aolvaar8792

Жыл бұрын

More than half of Americans are millennials or younger, Boomers and gen X made 2MM houses go to the 2nd home market, (low interest)

@cutehumor

Жыл бұрын

prices will never go back down.

@aolvaar8792

Жыл бұрын

@@cutehumor A GMO Nipah with a 75% death rate. "Never" is a totality word.

@lorijharman-runyan6433

Жыл бұрын

Rents increased due to the rent moratoriums, lack of supply & inflation in costs. Rent increases are not due to the student loan repayment pause.

@AndrewRayGorman

Жыл бұрын

@@lorijharman-runyan6433 Those did contribute, yes, however there is not as much an issue of supply as people think. Population did not skyrocket, and a bunch of houses did not disappear. It doesn't help that investment firms and secretive out of country LLCs bought up homes, and took them off the market. Less homes for sale, higher rent prices, naturally.

Home should drop 40 % in value. Only then the economy could be considered as functioning. Until then it is up in the air.

Recession started May 2022 and has picked up steam gradually since then unless of course you are in the top 20 percent of income earners and net worth individuals.

@FooFan-b3k

Жыл бұрын

If you're not in the top 20% life has been hard since about 3,000 B.C. As Paris Hilton would say, "Don't be poor".

@amireallythatgrumpy6508

Жыл бұрын

*April 2022

@Gogalen789

Жыл бұрын

I said it in English. Now if you would prefer the Spanish, 🍟 French, Italian, Norwegian or Swahili version....do the Google translate thing okay ?

Finally I am in the 1% paid off my student loans the minute the decision was announced. I feel such a relief.

Took your advice and saved as if the student loans were not going to be forgiven. Unsurprisingly, they aren't going to be. Once they announced that payment would resume, I took the money I saved and paid it off. Its very freeing to not have to deal with student loans again. Thanks for the advice!

I'm ready for the used car fire sales.

The economic factors at play this time around are different-many of them. Many people today are slippin' they'll just slide down faster. Prepare for harder times.

There is nothing wrong with a recession. It used to be that recessions were normal part of an economic cycle. The idea that "consumers" have to spend money to "prop up the economy" is dubious. That isn't much of an economy, is it?

@amireallythatgrumpy6508

Жыл бұрын

America's been in one since April 2022 anyway

@salvagev6mustangforgetting812

Жыл бұрын

@@amireallythatgrumpy6508No it hasn’t. GDP is still growing with a low unemployment rate, you don’t get a recession with that

@amireallythatgrumpy6508

Жыл бұрын

@@salvagev6mustangforgetting812 GDP is shrinking, although you are correct about the unemployment rate. You're still in recession.

@blackworldtraveler3711

Жыл бұрын

I look forward to recessions. One of the benefits of investing,saving,avoiding debt,and living within means.

@tshandy1

Жыл бұрын

@@blackworldtraveler3711 - Yep. Stuff goes on sale. I like sales too.

What vacation spots were open during Covid?

"You can tell who's skinny dipping when the tide goes out. The tide is going out. Prepare yourselves people, get clothed." 😂

Not an "economy boom?" Did he forget 2021 when the stock market reached new highs and the automobile industry that until the beginning of this year there were in short stocks. We been in a recession since last year, the auto market is already crashing, people have to work two jobs to make ends meet.

@jo4285

Жыл бұрын

I only work 1 job and still have plenty of money left. But I did paid off my mortgage and live debt free! It’s about how you spend your money

@Dansys193

Жыл бұрын

My thoughts exactly. Sometimes I really wonder about Dave and his opinions

@RobTzu

Жыл бұрын

The stock market is not the economy. That is like measuring your weight in colors.

@1motomanic

Жыл бұрын

I've only worked one job at a time my entire life and have never made over 60k. I was able to buy a home finally when the last housing crash happened, I just don't spend money on worthless crap and drive older vehicles that are paid off.

@blackworldtraveler3711

Жыл бұрын

I'm going to travel more.

“If there’s a little crack recession I think we can handle that part” 😂😂😂😂

I did the refund, got back $8k in student loan payments. It's been sitting in my money market account and i'm going to repay my student loans (again) in September before payments kick in in October. Would have been nice to get it forgiven, but at least I made a few dollars of interest on it in the meantime.

@ChrisCarlos64

Жыл бұрын

I saved it up too. I saw no point in ousting the money in since I could invest some and make it grow while waiting for the end date. We knew when it would have to be paid back, so it didn't make sense to pay off right away. Especially because you could have put it into savings and accrued some extra money or invested some. Either you end up with more money to pay back or a savings account that has been maturing.

I'm finally in the 1% Paid of my loans as soon as I got my career. Took me 7 months.great feeling

You forgot gambling Dave. College geniuses.

2:53 i was one of those who requested a refund. I had a pell grant so i would have been forgiven upto $20k and then pocketed would have pocketed of extra money $7k. But as soon as the decision came from the SCOTUS, i paid the money back. Less than 2 years to go

The student loans may not be the one thing thing that will break the economy but it's unwise to say it won't have a decent contribution to making things worse

@jameshudkins2210

Жыл бұрын

The repayments are not lost money. They are restored to lenders who can and must lend it out again. It is their business to lend money. They must collect if they are going to stay in business.

@crashtestdummy1972

Жыл бұрын

People should have paid their loans down/off during the 3 years it had no interest instead of buying cars and spending like crazy.

It means kids will have to be responsible 👍

Have been saving money during pandemic and paying the student loan while at 0% administrative pause. I fully paid 1 Direct Loan. It feels good; now aggressively chopping down the remaining 2 DLoans before payment begins in the Fall ‘23. 💪🏽LFG!

That will add to the recession, not cause it. More interest rate hikes ahead, student loan payments starting again, commercial real estate in the dog house, housing unaffordable, gas trickling back up, inflation is still high, and we're still right in the middle of the summer. These 2 are off the ball lately. Well, George was never with it. I'm not sure how he got this job. 😅

@HOLDXSTEEL

Жыл бұрын

I bet he’s making more than you so I’m sure he’s fine 😂

@jordanmadden7388

Жыл бұрын

George is pretty freaking good at his job.

@jloop_2008

Жыл бұрын

@jordanmadden7388 ya, he's great at giving horrible advice and pretending he's some money guru. He still tells people to invest in actively managed funds. I mean, come on. 😅

I paid off my student loans when i graduated in the great recession with low paying jobs. Took about 6 years. If i had a pause of no interest loans i would pay it off in a heartbeat! I would Double up payments and get it paid off fast people need to learn, if you own a debt you are obligated to pay it back. Also These politicians pushed student loans forgiveness for your votes and used you. Hope everyone learned a lesson

@justlurkin

Жыл бұрын

how did they use you, when the opposition got in the way? If sides A and B are my only two options and I vote for side A which made a promise that side B got in the way of, I would have been worse off voting for side B directly. I hope you just learned a lesson in logic.

@gonzaga45377

Жыл бұрын

@@justlurkin They were buying votes when they said they would forgive student loans. Biden knew it was unconstitutional and he couldn't just write an executive order to erase debt. It's illegal. It unconstitutional to have tax payers pay off student loans. How do you know when a Politician is lying? His/her lips are moving. They lie to get what they want because there is no push back and no one to hold them accountable. If you think there are two parties(R/D) you need to do some research. They are all friends and are in business to keep the American people divided.

I'm still a big fan of how they changed the definition of a recession.

Actually when people were getting the stimulus checks it did cause a boom in the economy. The stock market went up tremendously. Also the housing market boomed tremendously, especially when it was combined with low interest rates. Just look at the S&P 500 chart. It's Spiked during covid.

@thecurrentmoment

Жыл бұрын

Stimulus checks, but maybe not student loan payments?

@the_expidition427

Жыл бұрын

Halt on payments removed economic drag

I paid off almost $20k in student loans during the pandemic. Took Dave’s advice. Very glad I did!

@txgirlaustin8432

Жыл бұрын

Good for u!! That just means that u are very responsible😊

I think there’s gonna be a lot of cars for sale or repoed!

@stevenporter863

Жыл бұрын

Possibly most of the houses bought irresponsibly will have to be sold and push housing inventory up, thus prices down.

Wait, he said it didnt create a boom? Did home prices, rent, incomes, cost of goods, all go way the hell up? Does this guy even grocery shop? I know its not all on student loan payments, and I'm just a layman, but seems a little out of touch.

I am finally part of the 1%!!! Lol Paid off my 28k that was left in loans while the pause was happening. Debt free and saving for a new (used) car. 😁

Knee pads for george he needs them 😂

Very good point Dave!

I was part of the 1% 🎉🎉🎉 we’re on baby step 3!

I'm one of those people who stopped making payments on my student loans when the government announced they were doing forgiveness. Worse, I got money back from my lender to amount I supposed to have paid off. However, I was smart enough to put that money in a high interest savings account and keep saving/adding to it. Now, interest rates are going to start up here again at the end of August and I'm going to pay b**** off once I get my last interest payment for the month of July. Some of us can work our debt in our favor.

@JustinBrown1

Жыл бұрын

I think interest starts up Sept 1st so you may get one extra month of interest.

I put the money in HYSA so i was making money instead of putting it in towards loans. Once payments are ready ill just do a lump sum and be debt free.

It absolutely will.

99% sat on their hands. They could have fixed their problems but they did nothing. The average borrower could have paid down at least half their balance on Covid benefits/ stimulus alone. There were also lots of opportunities to make extra money when companies were desperate for workers. Those who do did and got ahead. Those who don’t didn’t and will spend the next several years complaining about the consequences of their inaction but they will definitely outsource responsibility.

@RedRyz3n

11 ай бұрын

Thats such a stupid statement. People went months without any income no unempoyment etc. People got laid off and had rent or other bills. Medical bills didnt magically stopped nor did other bills like electric, water, gas, child care etc. Some people had elderly they had to take care off and had to leave their jobs, others had to work to support their families and died as a result. Your statement is completely ignorant and plainly stupid and idiotic.

We are already in a recession. Freight has slowed to a crawl. Lumber sales, housing, and Auto Sales have all slowed.

It can certainly slow things down a bit.

I am confused as to which definition of recession Dave is now using...

Phew. Im glad 18 year old me could see student loans were a sham. Too bad others couldn't see it either...All you had to do was read terms. Now you deal with consequences of your choices...

Dave has been living under rock or something?

@amireallythatgrumpy6508

9 ай бұрын

No, but America has.

All hail the credit companies

I think that’s a pretty dumb take tbh

I know Dave, I feel the same way about raising taxes: so what…

The pause didn't cause an economic boom, yet everyone's complaining about inflation. Inflation is a result of an economic boom.... I'm not saying there will be a recession though, just think the flip side of Dave's point is not true.

Not one of these side-hosts are as informative, knowledgeable, charismatic, entertaining, funny, or have the real world experience as Dave. With Dave’s passing we will see the end of Ramsey solutions. Very sad.

@cherrybb3888

Жыл бұрын

Chris Hogan was the only co-host who could have carried the show after Dave passes. Unfortunately they fired him.

@CurieBohr

Жыл бұрын

@@cherrybb3888 he was sleeping with staff which causes major internal work related issues. He would have ruined the show internally.

@cherrybb3888

Жыл бұрын

@@CurieBohr Yes I am aware of the reason. Not saying he shouldn’t have been fired. Too bad about his behavior. He was an excellent host.

@CurieBohr

Жыл бұрын

@@cherrybb3888 he was entertaining. Not sure if he could have carried the show without Dave. We’ll never know because he allowed bad choices ruin his career

What is Dave talking about ? The fact that the people have spent all that money has not only kept the economy afloat but it’s massively contributed to inflation

@kona6451

Жыл бұрын

Tell me how much money they spent that would have gone toward loan payments.

@krassimirpetrov7131

Жыл бұрын

@@kona6451 Google it and you’ll see the survey and all the articles

There was an economic boom!

Not enough of a boom to cause a bust. Good point but remember wall street is constantly on the verge of a panic attack.