Afraid To Use Savings To Pay Debt!

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[InvestingHustler]

The worst feeling ever is working hard for your money seeing your account grow then having to use that money to pay off debts. But it’s totally worth it when you’re debt free 🙏

[thefall]

Just took 43, 000 put of my savings and paid off my debt. Left with $3000 in my account, following the program and trusting that we will survive.

[Ethiodawg]

I had $48k student loan debt in September 2018 when I learned about Dave Ramsey and his baby step method. It took me almost 6 months to decide and use my savings to pay off. As of February 15, I’m 100% debt free and I sleep well at night.

[Jeter]

I paid my car loan an hour after seeing this video. This young lady was literally in the same situation I was in. Dave finally gave me the stones to pull the trigger.

[coachbahman]

Pay your debts, i learned the hard way. It will eat at you.

[mentalhealingwithelaine]

This is my call and to answer questions. I am 27 years old. I graduated my masters program two years ago. I was a teacher for a year before becoming a counselor.

Before this call I had more saved but payed off $12, 500 in debt. On average I save 18-19k a year. But have been paying other things down. Thanks

Update: sorry for the long wait but, ... I am debt free and now am fixing up my property so it can become a rental property ❤️

[yamamancha]

I used to have this fear until I took the plunge. I then immediately realized how STUPID I'd been for valuing a savings balance over the reality that I was paying interest on something.

[chassiddywilliams]

“If you have a negative net worth, YOU’RE

Yikes!

[dukeduke]

I’m in the same situation.... I have $15, 000 saved and owe $4, 000 on a vehicle, and scared to pay it off.... I feel more comfortable putting $1, 000 a month towards it every month until it’s paid hard to save money and I don’t ever want to be broke again or live check to

[jculver]

I've never related to one of these calls more. I'm a natural saver, to the point that I drive my wife nuts with my stinginess. We're doing okay on income and savings, and I want to pay our debts off, but I have this irrational fear that it will wipe out our savings and we'll end up broke. I grew up broke, and as a dad I'm determined to never do that to my family. Very glad I heard this call.

EDIT: Thanks for the thoughtful and encouraging responses, everyone! We have since paid off our home and are debt-free! It was scary but worth it to do.

[jeanethazcue]

I just paid off my student loan because of this call, thanks Monique and above all Mr Ramsey :)

[franciscortez]

I like the idea of keeping $12, 000 in cash and pay off the loans until you have a $12, 000 balance left . . .then pay it all off and be instantly debt free. This keeps you with a safety net.

[TheThrivingLady]

I can relate to her so, so much. This was me just a few months ago. I struggled so much with letting the money go. But, I did. Making a five figure debt payment took my breath away. But, I'm still breathing. And, I'm also debt free. She can do it.

[roxannenompmoht]

The interest you are paying on debts is much higher than what you will make in a savings account. That's what pushed me to pay of my debt using savings. Now it's easier to save when you have no payments

[VanessaSanchez]

Biggest thing that stuck with me was Dave saying “you feel like you’re not broke right now but you’re broke” y’all I was holding on my savings up until earlier this week. I went ahead and kept the $1k recommendation but he’s right. When I had a “safety” net I didn’t feel broke but now I feel super broke and have a super aggressive plan to get debt free

[mattcrouch]

I think she has a correct instinct: Dave's $1k emergency fund really isnt enough in 2019; I feel like 3k is a better minimum for safety

[kylerider]

I get how she feels I had a similar situation but after I wrote the check and cleared the debt and had hardly no money left I actually felt much better. Because I knew everything I saved going forward was mine mine mine

[mr.speyside]

No debt is the # 1 priority. Get there. You can truly start saving after that.

[raulgolfs]

Ahh I was right here in the beginning of paying down my debt on my debt free journey in baby step 2. But once you do it. A total other relief happens! 🙌🏽👍🏽

[joshford]

I love Dave's point. Your broke but you dont know it. Having debt gives you a negative net worth. So much wisdom there.