If you’re a fair-minded person, you probably grew up thinking everyone is generally equally capable, deserves the same fair shot, and outcomes are 80% dependent on work ethic, not innate traits.
I still mostly believe that, but there’s a huge caveat: you can’t give people challenges too far ahead of where they’re at, nor can you give them advice too far ahead of themselves. Capability changes over time and every skill is learned.
This post will offer some slight redemption for Dave Ramsey, of all people.
In the clip above, Dave is saying he wouldn’t take a 0% interest loan, even to put the loan into the safest asset in existence (US Treasuries) and then return the loan. He’s essentially saying he would turn down free money if it means taking a loan.
Obviously, he’s very very mistaken here. BUT I understand him now.
His audience are financially illiterate people. That’s not an insult—everyone starts there.
The illiterate don’t need to hear about how they can get a loan to improve their lives. They are more likely to get into trouble if they try to be clever before understanding the fundamentals. First, they need to get out of credit card debt.
If you’re financially literate, I hope you haven’t read Money magazine in years—but totally give it to your teenager so they understand the basics.
Before taking advice, recognize who the advice is for, and look for advice for someone at your level, and one level above where you are.
