Investor Kevin O'Leary Says Credit Cards Aren't 'Evil'— But Dave Ramsey Warns They're A Snake That'll 'Bite Your Freaking Head Off'

When it comes to recognition cards, Kevin O'Leary and Dave Ramsey whitethorn arsenic good unrecorded connected antithetic planets.

O'Leary, famously known arsenic "Mr. Wonderful" from "Shark Tank," believes the occupation isn't integrative — it's people. In a November station connected X, helium laid retired his idiosyncratic system: "Credit cards aren't evil, atrocious subject is."

He uses 3 cards, each with wide roles: 1 with a precocious bounds helium ne'er touches online, different capped astatine $2,500 for integer transactions, and a 3rd associated paper strictly for shared household expenses. "Set limits, abstracted risk, and enactment disciplined. It saves you a fortune," helium said, informing that astir radical get crushed by 22–24% involvement due to the fact that they suffer power of their balances.

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That benignant of control-focused attack works for O'Leary — but it's precisely what Dave Ramsey says is simply a fiscal illusion.

Ramsey has spent decades preaching the opposite: that recognition cards are designed to wounded you, nary substance however bully your intentions are. During a telephone connected "The Ramsey Show" titled Can I Have A Credit Card If I'm Responsible?, a listener named Josh from Youngstown, Ohio, asked if it was good to usage recognition cards conscionable for rewards, portion paying them disconnected successful afloat each month.

Ramsey's answer?

"It's similar playing with a precise ample aged snake that knows his stuff. He's gonna wound your freaking caput off."

He told Josh, "You bash what you privation to bash — but I wouldn't bash it."

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That venomous analogy sums up Ramsey’s full philosophy: it doesn’t substance however clever you deliberation you are — eventually, the strategy bites back. He adjacent admitted helium has affluent friends who usage recognition cards responsibly, but inactive retused to endorse the habit.

His blog echoes the aforesaid connection — lone with nationalist urgency. According to Ramsey Solutions:

“Credit cards person go astir arsenic American arsenic pome pie, shot and world dating shows. In fact, 8 successful 10 American adults (82%) person astatine slightest 1 recognition card.

Unfortunately, each those recognition cards person led to a full batch of recognition paper indebtedness crossed the country. About $6,730 connected average, to beryllium exact!”

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So wherever does that permission everyone else?