I Asked People at Buc-ee’s What Their Car Payment Is

Summary

Podcast Summary

Podcast: George Kamel (Ramsey Network)

Episode: I Asked People at Buc-ee’s What Their Car Payment Is
Date: April 27, 2026
Host: George Kamel (with Dave Ramsey conducting street interviews at Buc-ee's)

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Episode Overview

In this episode, George Kamel—via interviews conducted by Dave Ramsey at Buc-ee’s, one of America’s largest gas stations—dives into the real numbers behind car ownership. Asking everyday people about their cars and payments, Dave exposes the shocking reality of car debt, busts myths about why people finance vehicles, and highlights the opportunity cost of car loans. Through candid conversations, he contrasts the dangers of high car payments with stories from folks who have avoided debt through saving, patience, and restraint. As always, the tone mixes financial hard truths with pop culture, humor, and a bit of snark.

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Key Discussion Points & Insights

1. The Reality of American Car Payments

• Average Car Payment: Dave sets the stage by sharing, "the average new car payment in America is a whopping $748 a month." (00:05)
• Increased Car Debt: People frequently finance large amounts, trading short-term comfort for long-term financial struggle.

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2. Snap Judgments: Real People, Real Numbers

Case 1: Dad with Hyundai Palisade

• Situation: Bought daughter a new Hyundai Palisade, cost after down payment was still $38,000.
• Monthly Payment: Nearly $1,000/month.
• Extras Inflated Price: Purchased warranties/services ("all the extra baloney they try to talk you into," (02:07)).
• Regret: "When I left that place, I felt stupid. Like, very stupid. Like, I can't believe I did that." (02:13, Dad)
• Justification & Rationalization: Bought for "safety" but admits logic may be flawed.
• Dave's Response: Sarcastically refutes, "If you don't buy a $45,000 vehicle, your child will die. That's all I heard." (02:51, Dave)

Case 2: Young Adult with Subaru Impreza

• Purchased Used Subaru: $25,000, $590/month, 9% interest, $16K remaining.
• Minimal Down Payment: Only $500 down.
• Underwater on Value: Car worth less than owed ("it's valued...maybe 12 grand" (05:42), owner).
• No More Car Payments: Once this is paid, plans to buy cars outright.
• Memorable Moment: Dave walks the guest through opportunity cost—investing $590/mo from age 26 to 62 at 10% returns could yield $2.5 MILLION. (07:04–07:15)
  • "That's what your Subaru is costing you." (07:13, Dave)

Case 3: Nurse & Minister with Toyota Highlander

• Debt-Free Example: Paid $25,000 cash for a used 2016 Highlander.
• How They Did It: Years of disciplined saving, living beneath their means despite modest incomes.
• Philosophy: "Not having a car payment—that's huge." (10:17, Nurse)
• Car Longevity: Not fazed by high mileage—"My 14 Camry has 223,000 miles on it." (10:08, Nurse)
• On Kids and Cars: Dismiss needing a luxury car for children, give them used vehicles, teach them value.
• Dave's Praise: "God bless your common sense. America needed this right now." (11:03, Dave)

Case 4: Retired Military Scientist with Corvette

• Luxury Choices, Not Luxury Debt: Drives a 2022 Corvette Stingray, paid $80,000 cash (list $111K).
• Philosophy on 'Toys': "I don't finance Corvettes. I pay cash for them." (13:26)
• Path to Wealth: Military and science career, family support, disciplined saving.
• Generational Wealth: "We're walking, talking millionaires." (14:31, Owner)

Case 5: Kia Soul Owner (with Camper)

• Car: 2023 Kia Soul, $450/month payment, $18,000 owed.
• Camper: $600/month on a 15-year loan, $45-47K owed.
• Living Situation: Lives in the camper now, originally bought for travel, now parked on son’s property.
• Payment Burden: Over $1,000/month in depreciating assets.
• Reality Check: Dave pushes back—“Is it yours if the bank owns it? It’ll be yours eventually in 15 years.” (17:23)
• Plan: Wants to downsize further, maybe to a tiny home.
• Self-Awareness: Admits, "Well, it sucks, but it's mine." (17:20, Owner)

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Notable Quotes & Memorable Moments

• Dave on car logic:
  • "If you don't buy a $45,000 vehicle, your child will die. That's all I heard." – (02:51)
• Dad’s regret on extras:
  • "I felt stupid. Like, very stupid. Like, I can't believe I did that." – (02:13)
• On opportunity cost of loans:
  • "You ready for this? ... $2.5 million. Yeah. That's what your Subaru is costing you." – (07:04-07:15, Dave)
• Nurse on paying cash:
  • "Not having a car payment—that's huge." – (10:17)
• Retired scientist on toys:
  • "I don't finance Corvettes. I pay cash for them." – (13:26)
  • "If you want something bad enough, save for it. It's a whole lot cheaper that way." – (14:57)
• Kia owner on debt:
  • "Well, it sucks, but it's mine. I'm not paying rent or nothing." – (17:20)
• Dave’s Summary:
  • "I am grateful to not have a car payment. I was legitimately shocked at how gigantic some of these payments were... These justifications are ridiculous and they're robbing people of serious wealth." – (18:16-Episode Wrap-Up)

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Timestamps for Important Segments

• 00:05 — Introduction, average car payment in America
• 00:44–03:13 — Dad with Hyundai Palisade (expensive loan for daughter, regret)
• 03:20–07:19 — Young Adult with Subaru Impreza (high payment, no down, opportunity cost)
• 08:14–11:03 — Nurse & Minister with Toyota Highlander (debt-free approach, car longevity)
• 12:30–14:57 — Retired Scientist with Corvette (cash for luxury, millionaire philosophy)
• 15:08–17:54 — Kia Soul owner with camper (multiple debts, lifestyle implications)

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Tone, Lessons, and Takeaways

• Tone: Witty, direct, slightly snarky—blending hard financial truth with humor and advice.
• Main Takeaway:
  • The normalization of big car loans is a financial trap, with huge opportunity costs for wealth-building.
  • Patience, saving, and avoiding debt—even for “safe” or “nice” cars—is not only possible, but the path most millionaires take.
  • Excuses for car debt ("safety," "necessity," "can't help it") often don't stand up to scrutiny.

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Summary Table of Interviewees

| Vehicle/Person | Loan? | Payment | Amount Owed | Key Point | |----------------------------------|-------------|--------------|-------------|-------------------------------------| | Hyundai Palisade (Dad/Daughter) | Yes | ~$1,000/mo | $38,000 | Regret, safety rationalization | | Subaru Impreza (Young Adult) | Yes | $590/mo | $16,000 | Underwater, 9% interest, regret | | Toyota Highlander (Nurse/Minister)| No | $0 | $0 | Cash purchase, saved over years | | Corvette (Retired Scientist) | No | $0 | $0 | Paid $80K cash, “toys” = cash only | | Kia Soul + Camper (Owner) | Yes | $450 + $600 | $18K+$45K | Multiple debts, living in camper |

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Final Wisdom

"Harness delayed gratification. Don’t let FOMO and dealer pitches rob your future. Buy only what you can afford, save aggressively, and let your money grow for you—not the lenders."

This episode delivers a candid, real-world look into car payments, highlighting why avoiding debt is a powerful wealth strategy.

Transcript

[Dave Ramsey]

Right now, the average new car payment in America is a whopping $748 a month. So today, I'm here at one of the largest gas stations in the world to ask people, what are they driving, how much it's costing them, and to pick up some beaver nugs. If you know, you know. So before we make it awkward, shout out to Deleteme for sponsoring this channel. Let's get to it. We're gonna play a game. Little financial snap judgment. So you got a beautiful Hyundai here. Hyundai. If you're nasty. How do you say it?

[Dad with Hyundai Palisade]

I don't know. Hyundai.

[Dave Ramsey]

Okay. You own it. I figure you're the expert. What Hyundai is this?

[Young adult with Subaru Impreza]

Palisade.

[Dave Ramsey]

Palisade. That's a great suv. It's the full size.

[Dad with Hyundai Palisade]

It's my daughter's car.

[Dave Ramsey]

Oh, nice. Okay, this makes it so much more interesting. I'm paying for it. I'm gonna guess if you have a loan on this car and what, the payment is true.

[Retired military scientist with Corvette]

Sure.

[Dave Ramsey]

Okay. I'm gonna go out on a limb and say you paid cash.

[Dad with Hyundai Palisade]

You should be correct. Cause I'm very financially responsible. But I made a huge mistake when I bought this car.

[Dave Ramsey]

No way. Tell us about it.

[Dad with Hyundai Palisade]

We wanted to buy a car for my daughter. And we went into the place and I normally do tend to not get loans and stuff, but I did get a loan for this car.

[Dave Ramsey]

Did they talk you into. It was like. The sales guy was like, well, you know, makes more. I can get the payment as low as you want, bud.

[Dad with Hyundai Palisade]

Like, they tried that, but, yeah, I don't really go for that. It's just like the lowest. Not the lowest payment, the lowest term.

[Dave Ramsey]

Yeah.

[Dad with Hyundai Palisade]

You know what I mean? I went with that instead.

[Dave Ramsey]

Okay, so I'll guess now I'll guess the balance and the monthly payment. I'm gonna say $26,000. 450amonth.

[Young adult with Subaru Impreza]

No.

[Dave Ramsey]

How much I owe?

[Dad with Hyundai Palisade]

38.

[Dave Ramsey]

I wanna say 38,000. Jumping Jehoshaphats. That's a lot for a teenager, right? Did you put a down payment on it?

[Dad with Hyundai Palisade]

Yeah.

[Dave Ramsey]

Okay.

[Dad with Hyundai Palisade]

I think so. Not much, though.

[Dave Ramsey]

After the down payment, it was still 38 plus for the loan. Right. What's the monthly payment?

[Dad with Hyundai Palisade]

We also made a huge mistake of getting all the extra bull.

[Retired military scientist with Corvette]

Oh.

[Dad with Hyundai Palisade]

I guess I can't swear, but you can.

[Dave Ramsey]

Hey, you can say whatever you want.

[Dad with Hyundai Palisade]

The extra baloney that they try to talk you into.

[Dave Ramsey]

So you got, like, the warranty?

[Nurse with Toyota Highlander]

Yes, all that.

[Dad with Hyundai Palisade]

And I really. When I left that place, I. I felt stupid. Like, very stupid. Like, I can't Believe I did that.

[Dave Ramsey]

So you immediately were like, this was a bad decision?

[Dad with Hyundai Palisade]

Yes.

[Dave Ramsey]

Yeah.

[Dad with Hyundai Palisade]

Immediately.

[Dave Ramsey]

You didn't walk back in and cancel it?

[Dad with Hyundai Palisade]

No.

[Dave Ramsey]

All right. What is the monthly payment on this Hyundai palisade?

[Dad with Hyundai Palisade]

It is 900, and I want to say nine something.

[Dave Ramsey]

Call it a thousand.

[Dad with Hyundai Palisade]

Mid 90s.

[Dave Ramsey]

Yeah, man. And you're paying that you're footing the bill for your daughter lost insurance as the dad of the year or not?

[Dad with Hyundai Palisade]

Well, you know, would you rather have a dead child or an expensive car?

[Dave Ramsey]

Well, here's what you just said. If you don't buy a $45,000 vehicle, your child will die. That's all I heard.

[Dad with Hyundai Palisade]

Well, that was my logic, because I was driving it.

[Dave Ramsey]

Now you're alive. What was your first car as a person who's alive?

[Dad with Hyundai Palisade]

A minivan. My dad.

[Dave Ramsey]

I think he let me drive. How much was that thing worth? I think it was free. I don't know. It was a piece of junk. And you lived to tell the tale. Right?

[Dad with Hyundai Palisade]

But I think I'm a better driver than she is.

[Dave Ramsey]

I believe that. Tell us the year, make and model of this car.

[Young adult with Subaru Impreza]

This is a 2019 Subaru Impreza Sport.

[Dave Ramsey]

All right. Did you buy it new or used?

[Young adult with Subaru Impreza]

Used.

[Dave Ramsey]

Bought it used. How many years ago?

[Young adult with Subaru Impreza]

Ooh, about three years now.

[Dave Ramsey]

Okay, so you bought it. It was about four years old when you bought it?

[Young adult with Subaru Impreza]

Yeah.

[Dave Ramsey]

Gosh, I'm gonna guess you got a small loan on this thing of about 15 grand. And the payment is 350amonth?

[Young adult with Subaru Impreza]

I wish. That'd be very nice.

[Dave Ramsey]

What's the balance?

[Young adult with Subaru Impreza]

Let's see here. I got. How much I got left on it? Yeah, I got 16,000 left on it.

[Dave Ramsey]

I said 15.

[Young adult with Subaru Impreza]

Oh, I thought you meant, like, what I bought it for.

[Dave Ramsey]

No, the current balance. The current balance. Okay, that's a win for me. All right, point for me. What's the payment?

[Young adult with Subaru Impreza]

590.

[Dave Ramsey]

590. I was way off with the payment.

[Young adult with Subaru Impreza]

I wish it was lower.

[Dave Ramsey]

Why is the payment so high?

[Young adult with Subaru Impreza]

It was my first car. First car I bought on my own. And, you know, I was young. I was like, in my 20s. I'm 26 now, so I was like, I don't know.

[Dave Ramsey]

What's the interest rate?

[Young adult with Subaru Impreza]

9%.

[Dave Ramsey]

9%. That's pretty high. Yeah, that'll do it for that payment. How many years? What's the loan terms?

[Young adult with Subaru Impreza]

I want to say it's either got to be six.

[Dave Ramsey]

Okay, about six years. Nine percent interest, 590amonth. What's your game plan to pay this off? Just keep.

[Young adult with Subaru Impreza]

Just Keep grinding. That's all I can do, you know, guess how much I put on it as a down payment.

[Dave Ramsey]

My guess is close to nothing, but maybe a couple thousand bucks if you're lucky.

[Young adult with Subaru Impreza]

Close to nothing's a good guess. It was. It was 500.

[Dave Ramsey]

500? They let you do that?

[Young adult with Subaru Impreza]

Yeah, I said, you know what? I want this car. Here's 500.

[Dad with Hyundai Palisade]

That's all I got.

[Dave Ramsey]

I'm surprised they didn't give it back to you. Like, you're good, bro. Yeah. Was this like a $25,000 purchase?

[Young adult with Subaru Impreza]

More or less, yeah.

[Dave Ramsey]

Will you ever get a car payment again once this thing's paid off?

[Young adult with Subaru Impreza]

Definitely not. Like, I got a motorcycle on Facebook. I might do the same with, you know, my next car if I'm trying.

[Dave Ramsey]

Still have the motorcycle?

[Young adult with Subaru Impreza]

Oh, yeah.

[Dave Ramsey]

What's that thing worth?

[Young adult with Subaru Impreza]

Okay, that is, like. It's an older bike, but I think it. It's like five grand. Six grand.

[Dave Ramsey]

Is it paid off?

[Young adult with Subaru Impreza]

Oh, yeah. Yeah.

[Dave Ramsey]

Why not sell that and throw the money toward the balance?

[Young adult with Subaru Impreza]

That bike's too fun, man. It's too, too fun.

[Dave Ramsey]

Okay, I want to do some fun math with you real quick.

[Young adult with Subaru Impreza]

Okay.

[Dave Ramsey]

So you said your payment's 590. Can I ask how old you are?

[Young adult with Subaru Impreza]

I am 26.

[Dave Ramsey]

Okay, you're 26 years old. Have you ever thought about what that 590 is really costing you?

[Young adult with Subaru Impreza]

Yeah, yeah, I thought about it. Yeah. Because this car, I mean, it's valued, like, at, you know, maybe 12 grand.

[Dave Ramsey]

So you're way underwater on it.

[Young adult with Subaru Impreza]

Yeah, yeah, like, definitely.

[Dave Ramsey]

But there's opportunity costs. Why don't we do some math and see if you put 590 in an investment account instead of giving it to a lender, what that could turn into. Okay, let's play how old are you?

[Young adult with Subaru Impreza]

26.

[Dave Ramsey]

26. How much do you currently have in investment accounts, if anything? It's okay if you have nothing.

[Young adult with Subaru Impreza]

200 bucks.

[Dave Ramsey]

Okay.

[Young adult with Subaru Impreza]

Yeah.

[Dave Ramsey]

I'm going to put $200 currently in investments. And what plan. What age do you plan on retiring at? Realistically? Realistically, 65.

[Young adult with Subaru Impreza]

Yeah, 66, probably 60.

[Dave Ramsey]

You want 60? That's what you're aiming at. Okay, I'll go 62 for fun.

[Young adult with Subaru Impreza]

All right.

[Dave Ramsey]

Because I think you're a working man. You're gonna get bored. All right, so we're gonna contribute just that car payment every month instead of giving it to lender. Because you have it. You have the money. You're making the payments on time.

[Retired military scientist with Corvette]

Right.

[Dave Ramsey]

So theoretically, if you didn't have the payment, you could be Investing that.

[Nurse with Toyota Highlander]

Right.

[Dave Ramsey]

All right, so 590 every month. I'm gonna go with a 10 annual rate of return.

[Dad with Hyundai Palisade]

Okay.

[Dave Ramsey]

That's the average we've seen from the stock market since, you know, 1950. It's actually been a little higher than that. So I'm put 10% in here. What do you think the number's gonna be from 26 to 62. If you invest that payment instead.

[Young adult with Subaru Impreza]

26 to 62, how much do you think you'd have? 590amonth.

[Dave Ramsey]

Don't hurt yourself.

[Young adult with Subaru Impreza]

I know, right? Quick math. 30,000.

[Dave Ramsey]

$30,000. All right, you ready for this? Hit the button. Hit calculate. $2.5 million. Yeah. That's what your Subaru is costing you.

[Young adult with Subaru Impreza]

That's a lot of money.

[Dave Ramsey]

Does that hit different?

[Young adult with Subaru Impreza]

Yeah, yeah.

[Dave Ramsey]

You want to see the math on this?

[Retired military scientist with Corvette]

Sure.

[Dave Ramsey]

You only contributed 250 grand.

[Retired military scientist with Corvette]

Oh, wow.

[Nurse with Toyota Highlander]

Okay.

[Dave Ramsey]

The growth was $2.2 million. See, when you invest, your money makes money, and that pile of money then makes more money because it's in the stock market. So it's. You own a little piece of companies that are growing in value, and so you get a piece of that. So instead of putting money into a depreciating asset and paying a lender interest on top of that, you could be sitting on 2.5 million. And if you get out of this cycle right fast.

[Young adult with Subaru Impreza]

Yeah.

[Dave Ramsey]

Now he's thinking maybe that bike would be worth getting out of debt faster because of this rate. Is it going to take you another five years to get out of this debt?

[Young adult with Subaru Impreza]

Hopefully less, but, yeah, I would.

[Dave Ramsey]

I would hope so. Let's get to investing. You just saw the numbers.

[Young adult with Subaru Impreza]

Sure did. Yeah.

[Dave Ramsey]

I'm rooting for you, man.

[Young adult with Subaru Impreza]

I do appreciate it.

[Dave Ramsey]

All right. We're talking cars today, and I'm doing financial snap judgment. It's a fun game where I guess, based on you, if you have debt on this car and what the payment is.

[Nurse with Toyota Highlander]

Okay, okay. No debt.

[Dave Ramsey]

Well, you just ruined the game.

[Nurse with Toyota Highlander]

Sorry, I misheard the question.

[Dave Ramsey]

But to be fair, I was going to guess that you didn't have debt because you guys follow Ramsay.

[Nurse with Toyota Highlander]

Yes.

[Kia Soul owner with camper]

Yes.

[Dave Ramsey]

You recognize me based on my shoes?

[Minister spouse of nurse]

Well, I've seen you on the podcast and I've seen your shoes because you've usually got your legs crossed. And I just noticed your shoes, your chicken legs.

[Dave Ramsey]

What's your snap judgment on me for crossing my legs? It's more comfortable.

[Minister spouse of nurse]

Well, you look very cool.

[Dave Ramsey]

You cross your legs when you sit sometimes.

[Minister spouse of nurse]

He does.

[Nurse with Toyota Highlander]

Yeah.

[Dave Ramsey]

See, he does it. He's a man's man, she don't look

[Nurse with Toyota Highlander]

at my legs like she does yours, apparently.

[Dave Ramsey]

Wow. She couldn't point out your shoes to save her life?

[Nurse with Toyota Highlander]

Probably not.

[Dave Ramsey]

Wow. But I guess because of that, because you said, I watch your show, that I was like, they gotta be debt free.

[Minister spouse of nurse]

Absolutely.

[Dave Ramsey]

Okay, so when did you get this car? Give me the year, make and model of this vehicle.

[Nurse with Toyota Highlander]

It's a 2016 Toyota Highlander, and we got it. Oh, goodness. About three years ago.

[Dave Ramsey]

Yeah, three years ago. Wow. So you bought it pretty used and you bought it with cash.

[Nurse with Toyota Highlander]

Yes.

[Dave Ramsey]

Okay. Can I ask how much it was?

[Nurse with Toyota Highlander]

25.

[Dave Ramsey]

$25,000. Now people watching out there go, wow, must be nice to be so privileged to have $25,000. What do you tell them?

[Minister spouse of nurse]

We started saving early. I'm a nurse, he was a minister, so not a lot of. Not a lot of money rolling in. But we started probably. I was 22, he was 25, and we just started saving every month and saving up. We've always lived beneath our means and have never, always feel like God's blessed us. So we're not going to spend. I'm not going to spend it all.

[Dave Ramsey]

Is this the most expensive car you've owned?

[Nurse with Toyota Highlander]

Yes.

[Minister spouse of nurse]

Yes.

[Dave Ramsey]

There you go.

[Minister spouse of nurse]

We started out with a Honda Accord. Used. We've always buy used until we got my Toyota RAV4. That was the first new car I'd ever had. And it's a 2008 and I'm still driving it.

[Dave Ramsey]

Wow.

[Nurse with Toyota Highlander]

It's got 2, 210, 215. My 16. No, my 14 Camry has 223,000 miles on it.

[Minister spouse of nurse]

But that's the biggest thing is not having a car payment. That's huge.

[Dave Ramsey]

And not being scared of a car having miles on it.

[Nurse with Toyota Highlander]

It took me a while to get over that because people go, well, if

[Dave Ramsey]

it's got 100,000 miles, it's over. Throw it in the trash.

[Nurse with Toyota Highlander]

Old school thought right there.

[Dave Ramsey]

Moments ago, I was talking to a gentleman who bought a 45,000 dol Hyundai SUV for his daughter because of reliability and safety. Now you guys have kids?

[Nurse with Toyota Highlander]

Yes, we do.

[Dave Ramsey]

How do you look at that?

[Nurse with Toyota Highlander]

That's crazy.

[Dave Ramsey]

He said, well, the other option is my daughter dies. And I go, so you're saying if you don't get a $45,000 SUV, the option is death?

[Nurse with Toyota Highlander]

No, they took over. My son took over my Honda Civic and drove it for a few years till he bought a used car.

[Dave Ramsey]

They're kids.

[Minister spouse of nurse]

They're 20s. They don't need a new car when they're 20. I didn't have a new car when I was 20.

[Nurse with Toyota Highlander]

Exactly.

[Dave Ramsey]

Well, you guys have done a great job raising some amazing. And they're not in death traps. They survived thus far in used cars. God bless your common sense. America needed this right now. We needed a win. Thank you, guys. Do you ever wish your digital life was as clean as the bathroom in this guy's house? Well, wish no more because Delete me exists in the response for today's video. And what they do is they scour hundreds of data broker sites that carry your information, that sell it to spammers and scammers and then remove it. And they even send you a custom report showing you what they've done and how much time they've saved you. And so far, they've removed me from hundreds of these. These sites and save me over 100 hours of time it would have taken me to do it on my own. So I'm very grateful for them. And you can check them [e-mail] George to get 20% off their annual plans. And while you're traveling on the road, I think your bank should travel with you. And that's why I love Fairwinds Credit Union, another sponsor of today's video. You see, they're nationwide. You sign up online in minutes. But then while you're on the road, you've got 5,000 partner credit union branches you can visit if you need to be in person. And 33,000 fee free ATMs so you're never dinged with those stupid transaction fees. They actually want you to win with money. They want to see you become debt free. And they have tons of tools to help you do that, including a smart bundle, which includes a fee, free checking account, and a high yield savings account. So go check it out for yourself and sign up in [e-mail] Ramsey. All right. See you later, bud. Okay, tell us the year, make and model of your car.

[Retired military scientist with Corvette]

This is a 2022 Corvette Stingray hardtop convertible.

[Dave Ramsey]

Okay. And what made you get this car?

[Retired military scientist with Corvette]

I had two other Corvettes before this and I kept trading up. This is my newest model. It's a C8.

[Dave Ramsey]

It's the latest and greatest. Is this the nicest car you've ever owned?

[Retired military scientist with Corvette]

Probably, yeah.

[Dave Ramsey]

Okay, well, we're playing a game called financial snap judgment. I'm going to try to guess if the car has a loan and what the payment is.

[Retired military scientist with Corvette]

Okay.

[Dave Ramsey]

Is this a fun game?

[Retired military scientist with Corvette]

Sure, why not?

[Dave Ramsey]

Okay. I don't know What? I have no. No clue what a Corvette like this Would cost because the cost ranges drastically. It's across the spectrum. But I'm gonna guess this thing's probably got $30,000 loan. $650 payment wrong. Oh, okay. What's the balance? That's paid for free and clear, baby. Is anything more American?

[Retired military scientist with Corvette]

I don't finance corvettes. I pay cash for them.

[Dave Ramsey]

You've done that your whole life?

[Retired military scientist with Corvette]

Yeah.

[Dave Ramsey]

You ever had a car payment?

[Retired military scientist with Corvette]

Yeah, I've had car payments, but not for corvettes. These are toys.

[Dave Ramsey]

You admit that these are toys?

[Retired military scientist with Corvette]

They are toys.

[Dave Ramsey]

They're fun toys. And therefore pay cash for a toy?

[Retired military scientist with Corvette]

Absolutely.

[Dave Ramsey]

Don't go into debt for toys. That's silly.

[Retired military scientist with Corvette]

That's what.

[Dave Ramsey]

Okay, so can I ask what a corvette like this costs?

[Retired military scientist with Corvette]

This one cost $111,000 brand new. I got it for a whole lot less than that. About $80,000.

[Dave Ramsey]

Okay. You got a nice discount. Cause someone owned it before you.

[Retired military scientist with Corvette]

Right.

[Nurse with Toyota Highlander]

Wow.

[Dave Ramsey]

But you saved up $80,000 in cash. I mean, that's amazing.

[Retired military scientist with Corvette]

On its own, I already had $80,000 in cash.

[Dave Ramsey]

Yeah, you're doing better than most of America. How so? If someone out there going, man, I want to be like you when I grow up. How do you save up $80,000?

[Retired military scientist with Corvette]

I'm retired military. Retired scientist, got a master's degree.

[Dave Ramsey]

Wow. So you lived on way less than you made, and you just socked money away in savings.

[Retired military scientist with Corvette]

Absolutely. And then I have family that donated towards my. My future from there, so.

[Dave Ramsey]

Wow.

[Retired military scientist with Corvette]

This is generational wealth. And, you know, we're walking. Talking millionaires, I guess, is what you'd say.

[Dave Ramsey]

Yeah, we. We call them baby steps. Millionaires. Everyday millionaires. You know, if I just saw you in the street, I'm not going, wow, that's a millionaire. But if I see you driving this, I have some. Some hunches. So what advice would you give to someone out there who says, well, you're always gonna have a car payment, you're always gonna have a loan. Nobody can save up and pay cash for a car in today's economy.

[Retired military scientist with Corvette]

If you want something bad enough, save for it. It's a whole lot cheaper that way.

[Dave Ramsey]

Amen. Amen. Congratulations.

[Retired military scientist with Corvette]

Thank you.

[Dave Ramsey]

All right, tell me the make, model, and year of your vehicle right now.

[Kia Soul owner with camper]

2023 Kia Soul.

[Dave Ramsey]

Nice. You enjoying it?

[Kia Soul owner with camper]

I do.

[Dave Ramsey]

Okay, so we're gonna play a game. I'm gonna guess a little financial snap judgment. If this car has a loan and what the payment is.

[Kia Soul owner with camper]

It does.

[Dave Ramsey]

Is that fair?

[Kia Soul owner with camper]

450amonth.

[Dave Ramsey]

I was go. Ruined the guessing game. I'll guess the balance at least. I'm gonna say $18,000 left on it.

[Kia Soul owner with camper]

You're right.

[Retired military scientist with Corvette]

Oh, really?

[Kia Soul owner with camper]

I'm serious. Yeah.

[Dave Ramsey]

And you can verify with these people we did not discuss this before?

[Kia Soul owner with camper]

We did not.

[Dave Ramsey]

I'm feeling pretty good about myself right now. Did you buy the car brand new?

[Kia Soul owner with camper]

Yes.

[Dave Ramsey]

Back in 23?

[Young adult with Subaru Impreza]

Yes.

[Dave Ramsey]

Okay, what's the game plan for paying this off?

[Kia Soul owner with camper]

I got a job.

[Dave Ramsey]

A job? Help. Are you making the minimum payment right now or extra on it?

[Kia Soul owner with camper]

I like extra on it.

[Dave Ramsey]

How much extra? Every month, $80.

[Kia Soul owner with camper]

Every month?

[Dave Ramsey]

$50. So how much faster will you pay it off based on that extra 50 bucks?

[Kia Soul owner with camper]

I don't know, because I've got it up like three months ahead right now. So, I mean, I don't know.

[Dave Ramsey]

So it's more like you just feel better throwing a little extra at it. There's no real game plan. You just know it'll happen a little faster. Okay. Do you have any other debts right now trying to pay off?

[Kia Soul owner with camper]

Yeah, I got a brand new camper.

[Dave Ramsey]

That one's got. That one makes this look like nothing. Okay, the camper is this like a $50,000 camper. What's the balance on that? 45, 47. Oh, my goodness. It's like I've done this before. This is wild. And I'm guessing the payment's a thousand bucks?

[Kia Soul owner with camper]

No, it's 600 bucks.

[Dave Ramsey]

Oh, they. So it's like over nine years, huh?

[Kia Soul owner with camper]

15 years.

[Dave Ramsey]

15 years. My mortgage was 15 years. This is crazy.

[Kia Soul owner with camper]

Well, I used to travel, so I bought a camper to travel in, and then I quit traveling. So I just put my camper on my son's property and I.

[Dave Ramsey]

So it's just parked? It's just parked. Are you living in the camper?

[Kia Soul owner with camper]

Yeah.

[Dave Ramsey]

Well, at least it's your home if it's on a 15 year loan.

[Kia Soul owner with camper]

Yeah.

[Dave Ramsey]

Wow, that is. So did you plan on living in the camper?

[Minister spouse of nurse]

Yeah, for a while, but not.

[Dave Ramsey]

This was not the plan?

[Kia Soul owner with camper]

No, it was not the plan.

[Dave Ramsey]

Wow. Okay. I got a heartburn after that one. Goodness gracious, man. So the camper is 600 something. This one's four. So you got over 1,000 bucks in payments on things going down in value. How does that feel?

[Kia Soul owner with camper]

Well, it sucks, but it's mine. I'm not paying rent or not.

[Dave Ramsey]

Is it yours? If the bank owns, it would be mine. Eventually, in 15 years, it'll be yours. Wow. Okay.

[Kia Soul owner with camper]

I plan on trying that sucker off.

[Dave Ramsey]

Okay. You plan working another 15 years?

[Kia Soul owner with camper]

No.

[Dave Ramsey]

So this feels like a conundrum here. Yeah, because you're going to have a hard time not working while still having these payments.

[Kia Soul owner with camper]

Yeah, that's true.

[Dave Ramsey]

And when you trade that thing in, there's going to be a big old difference on what you owe.

[Kia Soul owner with camper]

Well, I'm going to go down to a tiny home, hopefully. So I'm just going to trade it in and do me a tiny home.

[Dave Ramsey]

Okay. We're going to get smaller and smaller. Eventually. Be a box.

[Kia Soul owner with camper]

Yeah, maybe.

[Dave Ramsey]

Goodness gracious. Well, I wish you the best of luck on paying off all this debt and enjoy your trip to Gatlinburg.

[Kia Soul owner with camper]

Thank you.

[Dave Ramsey]

Oh, and I've got you a little something. A little parting gift. This is everydollar. It's our premium budgeting app. This gives you a whole year of it. It'll connect to your bank account, pull in all your transactions, recommend moves you can make to find more margin to pay off your debt faster.

[Kia Soul owner with camper]

Okay, cool.

[Minister spouse of nurse]

Check it out.

[Dave Ramsey]

You can download it on your fancy Dancy smartphone over so if I learned one thing today is that I am grateful to not have a car payment. I was legitimately shocked at how gigantic some of these payments were, especially the folks who have the camper and then need to buy the giant truck to haul the camper. And it's a necessity to have the newest, fanciest, latest and greatest. And I've gotta have a $45,000 SUV for my child so they don't die. These justifications are ridiculous and they're robbing people of serious wealth. You saw it using the investment calculator. There is serious opportunity costs when you give a lender a bunch of money while your car go value instead of using that money for you to build wealth. So I learned a lot. I was inspired by the folks who did have paid off cars who were driving really nice cars and just saved up over time with patience. That's called delayed gratification and it's the greatest wealth building strategy you can have. So harness it. If you enjoyed this video, check out this next one where I went to the streets of Franklin, Tennessee to ask more people about their car payments. Click here to watch it next or use the link in the description. Thanks for watching. We'll see you next time.