The Ramsey Show Episode Summary

Episode: You Can’t Make the Same Money Mistakes and Get Better Outcomes
Date: January 28, 2026
Hosts: George Campbell & Rachel Cruze
Podcast: The Ramsey Show (Ramsey Network)

Episode Overview

In this episode, George Campbell and Rachel Cruze, both prominent Ramsey personalities, answer a range of listener questions about overcoming past money mistakes, building wealth, partnerships in business, debt payoff, investing for kids, real estate, and more. Drawing from their signature “baby steps” approach, the hosts reinforce the core Ramsey principles: budget with intention, avoid debt, plan for emergencies, invest wisely, and never repeat the same financial mistakes expecting a better outcome. The show blends empathetic coaching, tough love, and real-world advice for callers in all stages of their financial journeys.

Key Discussion Points & Insights

1. Turning a Side Hustle into a Business (Paranormal Investigations)

• Caller Jake (00:58): Runs a small paranormal investigation business with his cousin and friend, earning $10-20k/year; wants to know how to scale to full time.
• Advice:
  • Don’t go full-time until side income matches/exceeds your current salary.
  • Clarity in partnership agreements (ownership, buyouts, what happens on death, divorce, etc.) is crucial to avoid relational fallout.
  • Clearly define roles and responsibilities; written agreements are vital.
  • Focus on building your client base—only level up when you have to turn down business for lack of time.
  • Don’t go into debt for equipment; grow with profit and save for business investments.
• Quote (Rachel Cruze, 04:19): “You guys need to write out very, very, very, very clearly...kind of this almost contract between you all for when the worst case happens.”
• Actionable Tip: Consider leveraging content creation (YouTube/media) to scale awareness and potential revenue.

Relevant Segment: 00:57–09:01

2. Overcoming Financial Scams and Setting Boundaries

• Caller George (10:37): Lost ~$45k to a Ponzi scam, plus legal fees, and asks if he should keep pursuing the scammer.
• Advice:
  • After a judgment, if the person has no assets or income, more legal costs won’t likely recover lost funds.
  • Sometimes you have to emotionally write it off as the “stupid tax.”
  • Use painful lessons to fuel future financial discipline and get back on track.
• Quote (George Campbell, 13:19): “If you spend 25 grand chasing this guy down...it may be time to emotionally write this off and call it a stupid tax and move on.”

Relevant Segment: 10:37–15:55

3. Credit Scores, Mortgages, and FICO Myths

• Caller Dominic (15:55): Wonders if a mortgage alone keeps a “good enough” credit score for his next home purchase.
• Advice:
  • Yes, history of on-time mortgage payments generally leads to a solid score.
  • No need to open new debt accounts to “build credit.”
  • Once debts are fully paid and accounts closed, the score will fade out in 6-12 months (“zero credit score”).
  • Manual underwriting is available for those with no score.
• Quote (Rachel Cruze, 19:14): “We just like to say that because it sounds cool. What’s your credit score? Zero.”

Relevant Segment: 15:55–19:32

4. Facing Special Assessments and HOA Headaches

• Caller Tommy (22:55): Bought a house in Colorado; HOA is levying a $5,000 special assessment due to $1 million in deferred maintenance, with talk of more increases.
• Advice:
  • If you sell now, you still pay the assessment and eat selling losses (~$25k estimated).
  • Stay for at least a few more years if you like where you live; re-evaluate when more is clear.
  • Weigh housing costs, special assessments, and rising insurance against income growth/stretch.
• Quote (George Campbell, 27:12): “I don’t want to, you know, eat 25 grand to save five.”

Relevant Segment: 22:55–27:37

5. Whole Life vs. Term Life Insurance and Self-Insuring

• Caller Mark (27:55): At 63, has a whole life policy (over $40k cash value, $160k death benefit), asks if he should cash it out.
• Advice:
  • Most whole life policies only pay out the death benefit, not the cash value, if you die.
  • At retirement age, consider if you’re already “self-insured” through savings/investments.
  • May be better to surrender the policy, invest the cash value, and skip high premiums going forward.
• Quote (George Campbell, 28:57): “You might be at a spot...just put $1,700 bucks in a savings account...you might be better off.”

Relevant Segment: 27:55–30:25

6. Surviving a High Mortgage after Divorce

• Caller Anna (32:27): Divorced, two kids, used settlement for a home in Seattle; mortgage is 50%+ of take-home pay.
• Advice:
  • Consider holding the house for 1-2 years to build equity and avoid a loss.
  • Get serious about budgeting; cut all access to credit cards to break cycle.
  • Use this temporary discomfort as a reset and be “hardcore” about avoiding debt.
  • Utilize EveryDollar and track every expense; only sell when you can exit safely.
• Quote (Rachel Cruze, 38:42): “You’re kind of on this whole new journey, whole new chapter...it’s a new identity. So different.”

Relevant Segment: 32:27–41:38

7. Profit Margins and the Morality of Business Pricing

• Caller Katie (43:54): Feels guilt about profit margins in family trucking business; wonders if they’re overcharging.
• Advice:
  • There’s nothing immoral about healthy (even high) profit if you’re not cheating customers and are providing value.
  • If compelled, earmark some jobs every year for reduced price or charity.
  • Profits enable generosity; don’t compromise business viability.
• Quote (George Campbell, 47:03): “Is there a moral profit margin...that’s immoral to charge?”
• Quote (Rachel Cruze, 49:19): “Could you scratch this itch...for situations you feel led to, but don’t change the whole structure.”

Relevant Segment: 43:54–51:35

8. Borrowing from Family for Real Estate Investing

• Caller Matthew (53:13): Considers borrowing $100k from dad to buy an 8-unit property via creative financing.
• Advice:
  • Massive risk: borrowing from family, balloon payments, multi-party deals, low experience in property management.
  • Violates three Ramsey rules: don’t buy investment property with debt, don’t buy before primary home is paid off, and never borrow from family.
  • Start small with cash investments, not risky “shortcut” deals.
• Quote (Rachel Cruze, 59:13): “You tell this lady you’re a real estate investor...Ding ding ding, here’s my ticket out.”

Relevant Segment: 53:13–62:20

9. Paying off Student Debt & Car Leases

• Caller Caitlin (64:33): At 24, new MBA grad, $50k in loans, earning only $50k/year, also has a car lease.
• Advice:
  • Income is key: consider side jobs; paying off $1k/month cuts payoff to about four years, but push to accelerate this.
  • Lease was a bad move; learn to not put yourself in a corner with “only one” (expensive) option.
• Quote (Rachel Cruze, 73:04): “When you paint yourself in a corner of having just one option, that’s usually when we make really bad financial decisions.”

Relevant Segment: 64:33–73:59

10. Investing for Kids—529s, Brokerage, and Roth IRAs

• Caller Austin (76:29): On Baby Step 5, wants the best ways to save/invest for children; has three young daughters.
• Advice:
  • Use a mix: 529 for college (tax-advantaged, flexible, even transferable), plus a regular brokerage account in parents' name for other big life events.
  • Avoid UTMAs/UGMAs due to loss of control at 18.
  • Once kids have earned income, start a Roth IRA for them—a huge headstart.
• Quotes:
  • (George, 81:39): “I just don’t like the idea that the kids are going to have control at 18...I hope they’re wonderful, but you never know.”
  • (Rachel, 82:20): “If you have a SmartVestor Pro, they can give you a map...the difference just in case they do go to school.”

Relevant Segment: 76:29–85:27

11. Budgeting & Dealing with Financial Uncertainty (Illness, Job Security)

• Caller Jason (86:14): Diagnosed with MS, high health insurance needs, fears job loss.
• Advice:
  • Stick with the baby steps; focus on debt payoff, bolster savings for emergencies.
  • Seek (even expensive) long-term disability insurance and pursue life insurance (but acknowledge diagnosis complications).
  • Prioritize financial margin to be ready for change; use uncertainty as motivation to become “self-insured” and debt-free.
• Quote (George Campbell, 94:02): “This is going to be your why as to why you become debt free even faster...make sure your family’s taken care of.”

Relevant Segment: 86:14–94:02

12. Emergency Fund: Gold, Crypto, or Cash?

• Caller Natalie (95:51): Husband wants to keep the emergency fund in gold/crypto; she prefers savings.
• Advice:
  • Emergency fund should be accessible, liquid—best in a high-yield savings account, not investments or speculative assets.
  • Investing is for wealth-building, not for emergencies.
• Quote (George Campbell, 98:17): “This is way beyond just where should we put our savings. This is a fundamental disagreement on what is an investment.”

Relevant Segment: 95:51–98:38

13. Should You Get Life Insurance While in Debt?

• Caller Marissa (98:38): On Baby Step 2, considering pausing debt payoff to afford term life insurance.
• Advice:
  • Life insurance is non-negotiable if you have dependents; cut lifestyle and get the coverage now, not later.
  • If expecting, save aggressively until baby is born and healthy, then resume debt payoff with gusto.
• Quote (George Campbell, 104:51): “Do not sit on the fence with this life insurance. Get it done today.”

Relevant Segment: 98:38–105:18

14. Simplifying Retirement Accounts as a Married Couple

• Caller Jade (106:34): Newlywed couple, multiple accounts (pensions, 401ks, crypto, etc.), $70k windfall soon.
• Advice:
  • Use windfall to clear all consumer debt and fully fund an emergency fund.
  • Each person’s accounts remain in their name, but consolidate for convenience (with a SmartVestor Pro’s help).
  • Crypto is not “diversification” if it’s 100% of your spouse’s portfolio; mutual funds/ETFs should make up the core.
  • Be wary of overextending on housing—review mortgage against income.
• Quote (George Campbell, 111:12): “His risk meter is broken if he’s putting 100% of his investing in crypto.”

Relevant Segment: 106:34–115:57

15. Lending Advice as a Mortgage Officer

• Caller Dave (117:04): Loan officer struggles with clients (widows) seeking mortgages when selling assets may be better.
• Advice:
  • Approach with empathy; clarify you want the home to fit their lives, not just the approval amount.
  • Share wisdom, then let clients make their choices.
• Quote (George Campbell, 118:22): “I want to make sure this house fits your life, not just your approval amount.”

Relevant Segment: 117:04–121:45

16. How Long Should You Live “Cheap” at a Parent’s House?

• Caller Brian (121:45): 28, living in dad’s extra house in Alaska, minimal expenses, wants to know how long to keep “the good deal.”
• Advice:
  • Don’t just coast—use savings to make aggressive progress on debt and save a down payment.
  • Set a specific exit plan (e.g., age 30), get focused about financial independence.
• Quote (Rachel Cruze, 125:40): “If you could live off 40 grand, you could bank so much...not only pay off this airplane, but have six figures saved up by end of year.”

Relevant Segment: 121:50–126:04

Notable Quotes (with Timestamps)

• “You guys need to write out very, very, very, very clearly...almost a contract between you all for when the worst case happens.”
  — Rachel Cruze (04:19)
• “If you spend 25 grand chasing this guy down...it may be time to emotionally write this off and call it a stupid tax and move on.”
  — George Campbell (13:19)
• “Zero credit score. What’s your credit score? Zero. That’s the real flex.”
  — George Campbell & Rachel Cruze (19:14)
• “I don’t want to, you know, eat 25 grand to save five.”
  — George Campbell (27:12)
• “You might be at a spot...put $1,700 bucks in a savings account...you might be better off.”
  — George Campbell (28:57)
• “You’re kind of on this whole new journey, whole new chapter...it’s a new identity. So different.”
  — Rachel Cruze (38:42)
• “Is there a moral profit margin...that’s immoral to charge?”
  — George Campbell (47:03)
• “You tell this lady you’re a real estate investor...Ding ding ding, here’s my ticket out.”
  — Rachel Cruze (59:13)
• “When you paint yourself in a corner of having just one option, that’s usually when we make really bad financial decisions.”
  — Rachel Cruze (73:04)
• “This is going to be your why as to why you become debt free even faster...make sure your family’s taken care of.”
  — George Campbell (94:02)
• “This is way beyond just where should we put our savings. This is a fundamental disagreement on what is an investment.”
  — George Campbell (98:17)
• “Do not sit on the fence with this life insurance. Get it done today.”
  — George Campbell (104:51)
• “His risk meter is broken if he’s putting 100% of his investing in crypto.”
  — George Campbell (111:12)
• “I want to make sure this house fits your life, not just your approval amount.”
  — George Campbell (118:22)

Key Takeaways

• You cannot fix past money mistakes by repeating them—only radically different behavior brings new results.
• Clarity and written agreements are vital in both partnerships and marriages.
• The emotional toll of money mistakes can be heavier than the financial one—“stupid tax” can be a powerful motivator.
• A budget is your most powerful tool for freedom—even more important when you’re in crisis or change.
• Don’t worry about having a credit score—worry about your real-life financial margin and liquidity.
• Avoid debt, especially for investments or from family—take the slow, steady route to wealth.
• Don’t sacrifice your peace or marriage for questionable investments or excessive risk.
• Generosity as a business owner is great—but it must operate within a solid, profit-generating framework.
• Have a concrete plan and timeline for leveraging “cheap” housing (e.g., living with parents) toward independence, not complacency.

For more information, visit: RamseySolutions.com

Timestamps for Main Segments

• 00:57–09:01 – Side Hustle/Partnerships
• 10:37–15:55 – Scam Recovery/Stupid Tax
• 15:55–19:32 – Credit Score & Mortgages
• 22:55–27:37 – HOA/Special Assessments
• 27:55–30:25 – Whole Life vs. Term Life
• 32:27–41:38 – Mortgage & Single Parent
• 43:54–51:35 – Business Ethics & Pricing
• 53:13–62:20 – Investing via Family Loans
• 64:33–73:59 – Early Career/Student Debt
• 76:29–85:27 – Investing for Kids/529s
• 86:14–94:02 – Illness & Uncertainty
• 95:51–98:38 – Emergency Fund: Cash vs. Crypto
• 98:38–105:18 – Life Insurance While in Debt
• 106:34–115:57 – Retirement Consolidation
• 117:04–121:45 – Mortgage Advice Ethics
• 121:50–126:04 – Living Cheap with Parents

The Ramsey Show continues to help millions avoid common pitfalls and build a financially solid future—by learning, forgiving themselves, and courageously making different choices.