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Odd Debt Reduction Reasons

There are no wrong reasons to get out of debt. There are some queer reasons for debt reduction.

Strange Debt Reduction Reasons

Stolen from Dave Ramsey, with minor quibbles with his assertions.

debt reduction by Dave Ramsey
An interesting list
  • So a Medical emergency isn’t also a Financial Emergency
    That is a very good reason. In Canada you are less likely to be wiped out by a $1M Hospital bill (although still possible), but if you get sick and can’t earn income, that is a problem.
  • So you aren’t declined at the cash register again
    Makes sense. Maybe cut down on spending too, not just eliminate debt.
  • To be able to buy a home
    Seems a bit of a dichotomy to lower debt so you can go into much larger debt.
  • So you can give generously
    It is good to think of others, but remember to pay yourself first. Martyrdom is fine for Joan of Arc, but don’t dig an enormous debt grave, as that is where debt martyrs end up.
  • So you can fill up your gas tank
    You could also take a bus instead.
  • To read the restaurant menu in order instead of by price
    Maybe don’t eat out so much? Debt reduction is easier when you aren’t debt-building simultaneously.
  • To go on a vacation that you don’t have to pay for afterwards
    Everyone deserves a vacation, maybe not one that could bankrupt you though?
  • To invest and earn interest, not pay it
    Solid! I would have made that #1 on the list.
  • To say “Yes” to invitations instead of trying to guess if you can afford it
    As a bit of a xenophobe, I start with “No”
  • To have margin to help your family
    An odd turn of phrase. I hope it meant having extra cash so you have a way to help out and not use credit for that.
  • To actually keep your hard-earned cash
    After all that is the goal of Debt Reduction always.

Odd Debt Reduction List?

A good list. Maybe the phraseology is a bit obtuse in spots.

Other thoughts on Debt

My list of debt commentary articles is quite long, so let’s stick with the basics.

Feel Free to Comment

  1. Kind of illustrates that he is out of touch with the current situation outside the Tennessee area. I used to Listen to him “religiously “. I use that work in quotes because it was his personal views that ultimately got in the way of the sold financial message. At least for me.

  2. “To be able to buy a home
    Seems a bit of a dichotomy to lower debt so you can go into much larger debt”

    To be precise, Dave Ramsey thinks that you should pay cash for a house. Ha ha maybe in Tennessee but not in the GTA. He does say he doesn’t get “angry” for people getting a mortgage.

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