Dave Ramsey advice

[corn18]

Again I stated a simple fact for thought - what if you are still alive at 78 and your investments did not pan out to enough to replace necessary income?

What good is life insurance in that case?

[disneysteve]

If you travel at all, not having a credit card is a complete show-stopper, I don't care if you're the Queen Mother.

You don't need a credit card. A debit card works just fine. The only difference is they will place a hold on your account so you need to have ad adequate cushion in the account to avoid problems.

[disneysteve]

Term life policies are not in force at the time someone is most likely to die.

This is very true, and that makes perfect sense. The purpose of life insurance isn't to give someone a big payout when you die at a ripe old age. It's to protect those who are financially dependent on your income in the event that you die prematurely. When I'm 60 or 70 or 80, we won't need life insurance. The mortgage will be paid off. The kid will be grown and independent. Our personal savings and investments will be more than sufficient to support my wife for the rest of her life.

That's why term life is the way to go.

[AJSimon]

You don't need a credit card. A debit card works just fine. The only difference is they will place a hold on your account so you need to have ad adequate cushion in the account to avoid problems.

I don't have a credit card, and never have. It hasn't stopped me from buying airline tickets or reserving hotel rooms. I've never used a rental car, and I understand some places won't let you rent from them without one, but some places certainly will, and it's just a matter of calling them in advance and seeing what's up.

Dave Ramsey has said on his show that he and his business have a contract or a corporate account with a certain car rental company that allows them to get around the whole credit card issue, whenever it would otherwise be an issue.

[tkennedy]

This is very true, and that makes perfect sense. The purpose of life insurance isn't to give someone a big payout when you die at a ripe old age. It's to protect those who are financially dependent on your income in the event that you die prematurely. When I'm 60 or 70 or 80, we won't need life insurance. The mortgage will be paid off. The kid will be grown and independent. Our personal savings and investments will be more than sufficient to support my wife for the rest of her life.

That's why term life is the way to go.

This is my last post - BUT BEFORE I GO - answer this question based on your statement above. WHAT IF the mortgage is not paid off (which statistics show most 60-80 year olds it will not be).

WHAT IF the personal savings and investments did not work out the way you though they would?? Many many people are in that situation.

Based off of YOUR ADVICE AND DR what if you bought only term insurance and it runs out when you are older?? Where does THAT leave your spouse? I can tell you from PERSONAL experiences over many years - it leaves those left behind in a horrible financial situation.

I have been in the insurance business now for 39 years. I have sold a ton of term insurance over the years - it has a time and a use. I have also sold permanent insurance that saved many surviving spouses financial hardship at older ages. This is the REAL WORLD and I have lived and worked in the real world for decades.

So guys like you and DR throwing out generalized advice and statements for "one size fits all" is dangerous at best.

ADIOS

[corn18]

How’s those commissions on permanent life vs term?

[TexasHusker]

Dave Ramsey has said on his show that he and his business have a contract or a corporate account with a certain car rental company that allows them to get around the whole credit card issue, whenever it would otherwise be an issue.

I find all of that business very hard to believe, but whatever. If the guy can't handle carrying a credit card for his travel without abusing it, so be it.

I own quite a few guns, but I don't walk out into the street every time someone ticks me off and start shooting at people.

[disneysteve]

If the guy can't handle carrying a credit card for his travel without abusing it, so be it.

I love my credit cards. I earn hundreds every year in rewards. But we pay our bill in full each and every month and never pay a penny in interest. And we don't overspend just because we're using a card.

Many people don't and can't do that and shouldn't have or use a credit card. If you're one of those people, the best thing you can do for yourself is get rid of your credit cards and never go near them again. That's what Dave Ramsey did and it clearly worked for him and it works for many of his followers who were drowning in debt until they took that step, among other changes. I have no problem with that at all. In many ways, it's no different than an alcoholic completely abstaining from alcohol because they don't have the ability to drink responsibly. Some people can't ever use credit responsibly.

[disneysteve]

I have also sold permanent insurance

Boy, who would have ever guessed that you were a whole life insurance salesman?

[AJSimon]

I find all of that business very hard to believe, but whatever. If the guy can't handle carrying a credit card for his travel without abusing it, so be it.

I own quite a few guns, but I don't walk out into the street every time someone ticks me off and start shooting at people.

I've little doubt that Dave Ramsey could make use of credit cards without abusing them. The point is that many people can't, and if he's going to go on the radio and preach a zero tolerance policy towards the use of credit, he can't well be living the opposite example. Nobody would take him seriously.

[disneysteve]

I've little doubt that Dave Ramsey could make use of credit cards without abusing them. The point is that many people can't, and if he's going to go on the radio and preach a zero tolerance policy towards the use of credit, he can't well be living the opposite example. Nobody would take him seriously.

Yep. His company doesn't even accept credit cards at all for anything, not his courses, not his books, not any other merchandise he sells. If you go to his website to buy something, you can not pay with a credit card.

[Benderz]

He clarifies this all the time on the show. He says he doesn't need it but his wife wants it. I'm almost in the same boat once my kids get thru college, but my wife would feel better with a policy.

[tkennedy]

Boy, who would have ever guessed that you were a whole life insurance salesman?

I lied - not my last post - I notice you nor corn dog answer any questions I pose - reason? because YOU DO NOT HAVE ANY ANSWERS to my questions. So instead you throw out insults. That is a sign of ignorance

Almost 40 years of paying life insurance claims that have made all the difference in peoples lives and I am here wasting my time with guys like you who are truly clueless -

Ok - throw out more insults but ignore my questions -

[TexasHusker]

I lied - not my last post - I notice you nor corn dog answer any questions I pose - reason? because YOU DO NOT HAVE ANY ANSWERS to my questions. So instead you throw out insults. That is a sign of ignorance

Almost 40 years of paying life insurance claims that have made all the difference in peoples lives and I am here wasting my time with guys like you who are truly clueless -

Ok - throw out more insults but ignore my questions -

Whole Life policies are wrong for 98 percent of the population, yet 98 percent of the financial professionals out there are actively peddling whole life policies.

Yes, there are certain atypical situations that a whole life policy would be a viable option, just like there are certain situations that I need to give myself an enema.

[corn18]

Listening to his show today. He talks about the need for life insurance decreasing as we age and do away with debt and let our investments take over our life insurance needs. He stated that by age 50-60 one should be self insured.

Then in the next breath he is promoting Xander insurance and says that is where he buys all his term insurance. I have heard him many times before state that he "just bought a new term life policy" etc. Of all people should he not be totally self insured? Seems like a contradiction to me.

Yes, he should be self insured. Question answered.