A single father from Los Angeles called into “The Ramsey Show” recently with a gut-wrenching story and a mountain of credit card debt. The caller, Dave, said he found the show for the first time just days before reaching out for help. Crushed By Debt Dave explained that he went through a life-or-death family crisis three years ago, which left him with $140,000 in credit card debt. “I have no regrets. I would do that again every day,” he said, adding that resolving the crisis was worth every dollar. Don't ...

Core Perspective - Personal finance commentator Dave Ramsey advises a caller to liquidate his stock portfolio to pay down a mortgage, despite the low interest rate of 2.875% [1][5]. Group 1: Caller’s Financial Situation - The caller, Nick, has a household budget deficit of $500 per month, with $30,000 in emergency savings, $100,000 in a high-yield money market account, and $150,000 invested in stocks [2]. - Nick and his wife have a mortgage of $329,000 [2]. Group 2: Ramsey's Advice - Ramsey suggests that holding onto stocks while having a mortgage is equivalent to taking a loan against the house to buy stocks, which he deems illogical [4]. - He recommends reducing the emergency fund to $30,000 and using the remaining $250,000 to pay down the mortgage, arguing that the family's total backup cash of $280,000 is excessive [4][5]. - Ramsey emphasizes prioritizing peace of mind and security over potential investment returns, contrasting with conventional financial advice that suggests investing excess cash due to low mortgage rates [5]. Group 3: Financial Philosophy - Ramsey cites research indicating that self-made millionaires often pay off their homes before aggressively funding retirement accounts, with an average millionaire having around $800,000 in paid-off real estate by their late 40s [6].