Hi there!

Several lapbanders have mentioned how they live "the Dave Ramsey way." Apparently, I have been living in a cave because I have no clue who that is! I figured out it has something to do with finances... :noidea:

I'm with you, I've never heard that before. You've got my curiosity up now so I'm going to search it on here, LOL.

Okay, Dave Ramsey has a book out called the Total Money makeover. He always lsays ive now like no other, so you can live like no other later.

His moto is out of debt and have financial freedom. I bought his book off Ebay and have been following his rules. No credit card usage at all, Its hard to explain in one paragraph, but he has helped MANY get debt free in a short time.

i bought his book for $5.00 off Ebay and it was the best $5.00 I have every spent. He has saved me $100's so far.

The only time we use credit cards is when we get a discount for doing so, and we'll turn around and pay it off right after we make the purchase. Before we leave the store, in fact.

There's one credit card I suggest some people keep, and that's Discover. Discover gives you a % of your spendings back in cash each year. If you pay your balance in full each month you don't pay anything extra - no interest, no annual fee, etc. Yet you get your cash back each year. DH and I did this once, during a year when we had some significant purchases, and got several hundreds of dollars at the end of the year. "For free" (for us). We were going to make the purchases anyway - paying cash - so we charged them instead, then turned around and paid the cost off - but the total still applied toward the cash back. If you do this, use the card for everything you would normally buy - groceries, entertainment, clothing, etc. Just make absolute certain you don't charge more than you can pay off in full every month.

Having any debt on my credit cards make me feel very uneasy, so I too am some one who pays them off immediately if I have to use them for what ever rare reason.

I really think the key to having no financial woes is simply living with in your means. If you earn $50k a year, thats what you have to live off...money to pay off those credit cards doesn't just magically appear (although I wish it did!).

Nor did I want one but they do come in handy since I travel a lot & have to rent a car. I know now some rental car places take debit cards but they also usually charge an enormous security deposit fee for using it. There's been times I just didn't have the cash for gas as well & so I can use my card for emergencies. My policy has always been if I don't have the cash, I don't need the item or service but that's been changed somwhat since I do travel now, for one reason & also having to recently get my car fixed cost a few hundred dollars that we just didn't have the extra cash for, we can use the card if necessary, it just comes in handy for me for special purposes like that. I do try to be careful now though coz I got into some debt a few yrs ago when I lost my job so I try to stay below my means now.:paranoid :straight

ok I confess...I am one of those credit card suckers...cant live without it. Maybe I need to get the book.

Becky

I would be very interested in this book. I have a VISA card for emergencies only, also....we live 2 hours n/e of Toronto....all our family and friends are in the Toronto area so we make several trips to the city for visiting and usually stay over....you can't book a hotel now without a credit card....however, we always pay with debit card on our way out. Its a very rare occassion when we make a charge to our card.

My Mom taught my Sister and I a few very valuable lessons when growing up....how to make great pastry (my ass proves I learned that one well), how to sew anything, learn to do it yourself and keep the money in your pocket, and don't spend unless you have cash the to pay for it....if you can't pay cash then you don't need it that bad.

We don't live by those rules to a T but we certainly do stick close.

Carol

Thanks a lot for the information--I'll look him up. Maybe I can read the book while I'm recovering from surgery!

He has a radio show; I listen when I can in the Dallas area. He is on KLIF 570 from 2-4...or maybe from 1-4. Also, he has a website: www.daveramsey.com

He is a straight-talker, which I appreciate. I wish I had heard this advice long ago. I don't follow his advice to a "T", but I'm sure I'd be better off if I did.

Check him out; he's worth the effort.

For thoseof you like us who use credit cards to benefit yourselves, and pay them in full monthly---we have found another use for them! Anytime we buy anything electronic, computer equipment, appliances, etc. , we charge it, then pay the bill in full. BUT...using the card (ours happens to be a MasterCard) adds an additional year to the warranty at no charge. Plus if there is a problem, and the store or company will notmake it right, the credit card company fights it for you. We bought our first flatscreen TV from Best Buy 3 years ago, and it woked for 3 months, and one morning we turned it on, and there was 1/2 the screen one color, 1/2 another color. No adjusting worked...the store said they only honor 90 days...it had been 92! We called the 800 number in our manual--and could notmake the person understand the problem...major language barrier. Then another person there, told us to repackageit in the original box and packing material and ship it back----overseas...mmmhmmm right!!! We called the credit card company, and 5 days later we had a new TV delivered, and a box with a label, and instructions for P/U. All at no additional cost to us!

We like Wheetsin will use a card at Sears for instance, when they offer an additional 20% off if you use it, and then I go back to the counter and pay it off with a check before even leaving the store! Every little bit helps!!!

Kat

I use my credit card for emergencies and internet shopping. When i can't use paypal, I just feel safer using my mastercard then my bank debit card. I pay it off each month - except this month- I went a bit over on internet shopping for the holidays so it may take me 2 months but never any longer then that. I have a new problem tho- since I have gotten a bit smaller i seem to like clothes shopping more then before............

My DH and I took Dave Ramsey’s Financial Peace University class at church and it was awesome. He teaches you to not use credit cards, pay off bills using the debt snowball system and live off of the envelope system. We have started doing this again and it works great. One of his first rules is to build a $1000 emergency fund in your savings account so you don’t have to use credit cards for emergency. His debt snowball teaches you to pay off existing debts by paying off the smallest debt first and when you pay it off, then use that monthly payment for the next bill. Eventually you will have them all paid off. The envelope system is an old school system for using cash. Do your monthly budget and figure out how much money can go to what. We use the envelope for things like groceries, eating out, etc. If you walk in the grocery store with $100 cash and don’t allow yourself to use your debit card or credit card you will not overspend and you’d be surprised how you can make your money stretch. It is an awesome system and has saved us so much money! I highly recommend it to anyone who is struggling to get out of debt or who just wants to live practically.