I Was Scammed By A Friend For $8,000,000

Summary

The Ramsey Show Highlights: “I Was Scammed By A Friend For $8,000,000”

Episode Overview Released on May 13, 2025, "The Ramsey Show Highlights" delves into a harrowing tale of financial betrayal and recovery. Hosted by the Ramsey Network, this episode features a caller who shares her devastating experience of being scammed by a trusted family friend, resulting in the loss of $8 million. The discussion offers valuable insights into navigating financial setbacks, rebuilding trust, and regaining financial stability.

Caller’s Story: A Devastating Betrayal At the heart of this episode is a heartfelt call from a woman who lost her husband in a work accident in 2008. Following his passing, she received a settlement intended to secure her family's future. Entrusting her finances to a family friend who was a trust officer at a regional bank, she believed her and her children’s financial well-being was in safe hands. However, two years ago, she uncovered that her trusted friend had embezzled the entire $8 million from her accounts.

Key Details from the Call:

• Financial Loss: The caller lost $8 million entrusted to a family friend acting as a trust officer. (00:06)
• Recent Settlement: She recently received a malpractice settlement of $531,000 but struggled to manage the check due to fear, eventually securing it in a money market account offering 3.75% interest. (00:39)
• Legal Action: Although she has attorneys working on her case, she estimates only a partial recovery of about $200,000. The scammer is currently in Florida, and there are indications he has defrauded other widows. (01:58)

Discussion and Expert Advice Dave Ramsey and his co-host engage with the caller to assess her situation and provide actionable advice. They focus on immediate financial steps, emotional resilience, and long-term financial planning.

Financial Assessment and Action Plan:

1. Debt Management: The caller owes approximately $12,000 on a camper and has a $5,500 credit card balance. Ramsey advises selling the camper, which is currently worth around $20,000, to pay off the debt and eliminate the credit card balance. This move would free her from existing debts and provide a foundation to rebuild. (05:02)

   Dave Ramsey [05:02]: “You could sell the camper, use the profits to pay off the credit cards, never touch debt again. Build up an emergency fund with some of the settlement money and invest the rest.”

2. Emergency Fund and Investments: With the recent settlement, Ramsey recommends allocating funds to create an emergency reserve and invest the remaining amount to ensure future financial growth. He emphasizes the importance of not relying solely on a fixed income from workers' compensation.

3. Employment and Income Generation: Considering the caller’s health challenges prevent her from securing traditional employment, Ramsey encourages exploring work-from-home opportunities to generate additional income. This step is crucial for gaining financial independence and improving her quality of life.

   Co-host [06:00]: “It's about momentum across the board. ... if you do what George told you to do. We also want you to go see a smartvestor pro in your area or two or three, and have them explain how they're going to help you invest that money.”

Emotional and Psychological Support Ramsey acknowledges the emotional turmoil the caller is experiencing, including grief, anger, and fear. He underscores the necessity of moving forward, building confidence, and creating a stable financial foundation despite past betrayals.

Dave Ramsey [05:53]: “There's a lot going on here, and I think we just need to move forward, and I hope that you can get some resolution.”

Promoting Privacy and Security A brief interlude features a promotion for Deleteme, a service that helps protect personal information from being exploited by shady companies. While not directly related to the caller’s situation, it underscores the importance of safeguarding personal data to prevent further scams.

Key Takeaways and Insights

• Trust but Verify: Even trusted individuals can betray confidence; always monitor and verify financial accounts regularly.
• Debt Elimination: Prioritizing debt repayment, especially high-interest debts, is crucial for financial recovery.
• Emergency Funds: Establishing an emergency fund provides a safety net during unexpected financial crises.
• Invest Wisely: Diversifying investments helps in building long-term wealth and securing financial independence.
• Adapt and Overcome: Exploring alternative income streams, such as work-from-home opportunities, is essential when traditional employment is not feasible.
• Emotional Resilience: Addressing emotional impacts of financial loss is as important as the financial strategies employed to recover.

Notable Quotes

• Caller [00:06]: “I lost my husband in 2008 and got a settlement because he died in a work accident... two years ago I found out that he stole all the money.”
• Dave Ramsey [05:02]: “You could sell the camper, use the profits to pay off the credit cards, never touch debt again. Build up an emergency fund with some of the settlement money and invest the rest.”
• Dave Ramsey [05:53]: “There's a lot going on here, and I think we just need to move forward, and I hope that you can get some resolution.”
• Co-host [06:00]: “It's about momentum across the board... if you do what George told you to do.”

Conclusion This episode of "The Ramsey Show Highlights" offers a profound exploration of recovering from significant financial betrayal. Through compassionate guidance and practical financial strategies, Dave Ramsey and his co-host empower listeners to overcome adversity, rebuild their financial lives, and maintain emotional resilience. The caller's story serves as a poignant reminder of the importance of vigilance in financial matters and the transformative power of sound financial advice.

Timestamp References

• 00:06: Caller introduces her situation of being scammed.
• 00:39: Discussion about recent settlement and current financial status.
• 01:58: Caller talks about legal actions and potential recovery.
• 05:02: Advice on selling the camper and debt elimination.
• 05:53: Ramsey addresses the caller's emotional state.
• 06:00: Co-host emphasizes the importance of momentum and investment advice.

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Note: For full episode content and more insights, visit the Ramsey Network’s official website or tune into "The Ramsey Show Highlights" daily.

Transcript

[Dave Ramsey]

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[Caller]

I'm having a little issue. I lost my husband in 2008 and got a settlement because he died in a work accident and had a family friend who was a trust officer at a regional bank and offered to help me walk through the whole process and drew up some trust for me and my kids. And two years ago I found out that he stole all the money.

[Co-host]

Oh my goodness.

[Dave Ramsey]

Two years ago?

[Caller]

Yeah. $8 million in the accounts and there was nothing. So I just recently received a malpractice settlement for $531. 531,000 and took me two weeks to even put it in the bank because I was scared to let go of the check. Sure. So I've just got it in a money market account right now at 3.75 interest because I just needed it somewhere safe. But I need it to grow and I'm just scared to do anything with it now. Sure.

[Co-host]

Can we just ask what happened? Did you report this to the law? Is there any. Anything working on this?

[Dave Ramsey]

Hey, George here in the control booth. And I bet you're wondering what they're going to say next. Get out of debt, Sell the horse, yada yada yada. The advice may be predictable, but the Internet is anything but. You see, your personal info is out there up for grabs by shady companies ready to add more scam and spam to your life. And that's why I use Deleteme. Deleteme will scrub your data from all of these sites so that you can focus on the Ramsey show instead of who's buying and selling your info. And Ramsey fans get 20% [e-mail] Ramsey or by using the link in the description below. So go take control of your privacy as soon as this call is over.

[Co-host]

Anything working on this?

[Caller]

We have. I have some attorneys that are working on it, but it looks like he has spent all of the money. I might possibly recover a couple hundred thousand dollars maybe.

[Dave Ramsey]

Wow. Is he in prison now? Where is this guy?

[Caller]

He's in Florida right now. And we found out there's other widows. He's done it too.

[Co-host]

Oh, sure. Well, I'm hoping that he's going to be arrested soon.

[Caller]

Well, that's. That's the hope.

[Co-host]

Okay.

[Caller]

But we all.

[Co-host]

In the meantime, you. We've got to help you with this 530 some thousand dollars. Do you have any debt right now?

[Caller]

I moved into a trailer when I found out. Or in a key into a camper when I found out the money was gone because I panicked and didn't want to be spending any more money. So I owe about 12 on the camper and I have a little bit on a credit card because that accounted in my backup while I was figuring things out.

[Co-host]

Do you have a job?

[Caller]

No. I still medically am not in a place that I can really get a job, but I do get workers comp. My husband's accident.

[Co-host]

Okay, so what are your monthly expenses and then are you able to cover those with your medical?

[Caller]

Well, I just recently the guy who took the money was giving me a paycheck, so I had Obamacare. And when he took the paycheck, now I'm on Medicaid. And then I just found out that because of this settlement, I'll probably lose the Medicaid. So just little things that are up in the air that I'm not sure what to do. But I don't have a lot of expenses. I get about $27.83 a month from workers comp and I have about $1500, give or take. I pay extra on the camper and medical bills and things like that.

[Dave Ramsey]

Do you have any family? Do you have kids?

[Caller]

I have two grown children and I actually, my camper is on my mother's property.

[Dave Ramsey]

Okay, and where were you living before?

[Caller]

I had an apartment. I went straight from my mom and dad's house to my husband's house. I got an apartment and decided I would live in town and do that for a few.

[Dave Ramsey]

And so what would it cost you to rent somewhere? Let's say you got rid of the camper.

[Caller]

Everything I've looked at the camper's better than what I would spend to rent.

[Dave Ramsey]

Well, better is. I want to argue with that word. I don't know that your quality of life is amazing right now, living in this camper on your mom's property. I think you need to stand on your own two feet and. And do some sort of work that you can do, because I don't know that this is going to provide enough income for you to cover for the rest of your life. When does this worker's comp end?

[Caller]

I get it. Until I'm 70.

[Dave Ramsey]

And how old are you now?

[Caller]

53.

[Dave Ramsey]

Okay, so you got another 17 years of this. 2783. But that's not enough to cover your bills and have a life.

[Caller]

No, that's why I need to know what to do with the money.

[Dave Ramsey]

Well, you're gonna need to invest the money. You don't need a big portion of it right now. Other than paying off this debt, which I would just suggest selling this camper and getting rid of it. Are you underwater on the camper?

[Caller]

No, I went very minimal on one.

[Dave Ramsey]

So you owe 12K. What is the camper worth?

[Caller]

It's probably worth 20.

[Dave Ramsey]

Okay. So you could profit off of that, and then what's the credit card balance?

[Caller]

It's like 5,500 right now. Okay. Medical stuff on it.

[Dave Ramsey]

So you could sell the camper, use the profits to pay off the credit cards, never touch debt again. Build up an emergency fund with some of the settlement money and invest the rest. Yes, that's what I would.

[Caller]

My brother, my husband and I did financial peace before he passed away. So I've just. I've just been in this situation now that it's that I had a little bit of credit card debt in the camper because of what happened.

[Dave Ramsey]

Well, you're going to start a new chapter now, and it's been a long time, and I think you've been stuck in the sort of fight or flight, and then all the grief of learning that this money's gone, and the frustration, the resentment, the anger that you must be feeling. There's a lot going on here, and I think we just need to move forward, and I hope that you can get some resolution. I don't think you're gonna get all your money back. I do hope this guy gets what he deserves, but for now, you gotta go find something you can do and create a life for yourself.

[Caller]

Yes.

[Dave Ramsey]

You're in survival mode.

[Caller]

I am. Very much so.

[Dave Ramsey]

So what would it take for you to be able to do some sort of work? Is it physical therapy? Rehab therapy? What would it take?

[Caller]

It's all surgical. I just have a lot of internal issues now from all the surgeries.

[Dave Ramsey]

Could you do something from home customer service? You're talking to us, and so I feel like there's got to be something out there you can do to create some income.

[Caller]

Plausibly, I could do something from home. I guess it's probably a little lack of confidence, too. I was going to stay home, mom, since I was 24, so.

[Co-host]

Well, you've got a good personality. You've got good common sense. Your. Your brain's working fine, and you need to be working for momentum's sake. It's not about a ton of money that you need, but it's about momentum across the board. Your shoulders will go back a little bit more. Your head gets a little higher as you begin to see that I can take care of myself. And the good news is if you do what George told you to do. We also want you to go see a smartvestor pro in your area or two or three, and have them explain how they're going to help you invest that money. And then your confidence begins to grow and you can still climb back here. Thank you for calling.

[Dave Ramsey]

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