dave ramsey turq 300KENTUCKY (9/29/13) - This week Dave discusses 'Lumping It' and 'Cut the Health Insurance?'

Dear Dave,
I have $400 in debt on a credit card, and I haven’t made a payment on it in about two years. The debt has been sold several times, and now the amount they’re asking for is over $1,000. I’d like to work something out, but how do I know the collection company that is calling me now is legitimate? - Lorenzo

Dear Lorenzo,
It’s normal for a debt this old to have been sold a few times. My guess is the company that’s calling you is legit, and they probably bought the debt for pennies on the dollar.

Whatever you do, don’t set up a payment arrangement. They’re asking for over $1,000 because they’ve added stuff like late charges and interest. Let’s go back to the original amount of $400 and see if they’ll accept a one-time, cash payment to settle things. Make sure you get it in writing if they accept and don’t give them a dime until after you get the written agreement. Then, once you have the agreement, send them $400. Do not, under any circumstances, give them electronic access to your checking account.

You’ve waited a long time to take care of this, and in the process you’ve made things more difficult. I’m glad you’ve decided to clean up your mess, though. Late is better than never, Lorenzo. Just remember, you’re still responsible for debts you incur—even if the company you originally borrowed from has sold it to someone else! - Dave
 
Dear Dave,
Is it ever okay to stop paying or drop health insurance altogether in order to pay off debt? - Shauna

Dear Shauna,
No! The No. 1 cause of bankruptcy in America today is medical bills, and credit card debt is a close second. That doesn’t mean medical bills only of the uninsured. It also includes money from co-payments, deductibles and the fact that people didn’t have any savings. One accident or unexpected event can leave you with thousands of dollars in medical bills, and that’s even with a good health insurance policy.

I don’t want anyone walking around without health insurance. But I’m not talking about the Affordable Care Act and all the other mandated crap the government is trying to shove down our throats. I’m talking about a solid health insurance plan along with having some money saved. Do this first then you can have all the philosophical discussions you want about whether or not you’re supposed to pay for someone else’s healthcare and upkeep.

At the end of the day, it’s absolutely vital that you have your own health insurance. I hope I haven’t been unclear on this topic! - Dave

Dave Ramsey is America’s trusted voice on money and business. He’s authored four New York Times best-selling books: Financial Peace, More Than Enough, The Total Money Makeover and EntreLeadership. The Dave Ramsey Show is heard by more than 6 million listeners each week on more than 500 radio stations. Follow Dave on Twitter at @DaveRamsey and on the web at daveramsey.com.
 

Disclaimer: The content supplied by columnists and letters to the Editor on this site does not in any way, shape or form, implied or otherwise, necessarily express or suggest endorsement or support of any of such content, statement, or opinions therein. SurfKY News does not necessarily adhere to or endorse content provided by outside non-staff sources.

e-max.it: your social media marketing partner

LIKE SurfKY on Facebook - Click here to LIKE us now.

© Copyright 2015 SurfKY News Group, Inc. All rights reserved. This material may not be published, broadcast, or rewritten without permission. SurfKY News encourages you to share this story on social media.

Posted on 2/2/14
3/13 - 16
3/13 - 16

Most Read This Week

September 04, 2015 20872

UPDATE: Attack on WKP Never Happened, Say Police

by SurfKY News
August 31, 2015 6891

Man Convicted of Hopkins Countian's Death Granted…

by Doreen Dennis, SurfKY News
September 02, 2015 6247

Madisonville Gaining Two New Businesses

by Ron Sanders
August 30, 2015 4061

UPDATED: 'He Fought the Law ... but, the Law Won'

by Doreen Dennis, SurfKY News
September 02, 2015 3452

Investigation Leads to Meth Trafficking Charge

by SurfKY News

Most Read This Month

September 04, 2015 20872

UPDATE: Attack on WKP Never Happened, Say Police

by SurfKY News
August 24, 2015 12416

Teen Reports Slasher Attempted to Attack Him on…

by Doreen Dennis, SurfKY News

Stories Trending Now

September 04, 2015 20872

UPDATE: Attack on WKP Never Happened, Say Police

by SurfKY News
September 02, 2015 2366

Crime Stoppers Top Most Wanted - September 2, 2015

by SurfKY News
September 04, 2015 1768

Man Charged with Kidnapping 8-Year-Old Girl

by SurfKY News
September 03, 2015 1271

One Injured when Motorcycle, SUV Collide

by Doreen Dennis, SurfKY News
September 03, 2015 1082

Madisonville Police Arrest Reports – Sept. 3, 2015

by SurfKY News
September 03, 2015 1005

TMS Automotive to Locate in Bowling Green

by SurfKY News
September 03, 2015 964

Nortonville New Water Treatment Plant Another…

by Tammy Holloway, SurfKY News
September 03, 2015 953

TVA Touts Progress of Combined Cycle Project

by Doreen Dennis, SurfKY News
September 02, 2015 951

Ministry Reaches People from Region to Honduras

by Focus on Hopkins County
September 03, 2015 772

Gubernatorial Candidate Spot-on about Head Start

by SurfKY News