Why This One Money Expert Can’t Stand Dave Ramsey’s Advice

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Money expert Tori Dunlap is the founder of Her First $100K and host of a top-ranking women’s finance podcast. She recently made a YouTube video called “Why I Hate Dave Ramsey,” where she broke down many of the points she feels he gets wrong.

Here are her most significant criticisms.

Guilt-Based Frugality Messaging

Dunlap understands why Ramsey is so strict with his advice. His black-and-white recommendations leave no room for excuses and force people to take their finances seriously.

Ultimately, however, she believes his recommendations are too unyielding and don’t acknowledge systemic barriers. Student debt averages over $42,000 per borrower as of 2025, and borrowers can take decades to pay it off. Meanwhile, wage stagnation has left a reported 73% of employees struggling to afford anything beyond necessities.

Dunlap recognizes the difficulty that this disconnect causes for people trying to pay off debt, criticizing Ramsey for his continued focus on discipline and willpower. 

“It’s rigid, it’s strict and it’s also shaming,” she said. “If you don’t acknowledge the biggest factors why somebody can’t build wealth, you’re selling them a lie. And you are making them feel guilty for any outcome that isn’t 100%.”

Overly General Debt Recommendations

Dunlap criticizes Ramsey for his insistence on avoiding all debt.

“If you view all of your debt as the same, you’re going to lose tens of thousands, if not hundreds of thousands of dollars,” Dunlap warned. “Debt is different depending on the type.”

For example, undergraduate student loan interest rates have generally fluctuated from 3.4% to 6.8% over the past decade, except for a dramatic dip during the COVID-19 pandemic. Average credit card interest has been above 20% since 2023. 

Dunlap said that if you pay off both types of debt with equal fervor, as Ramsey recommends, you’re wasting valuable time when your money could be compounding in the market.

The S&P 500, a measure of market performance, has given investors a nearly 13% annual return over the past 10 years. If you’re paying off low-interest debt before investing, Dunlap said, you’re probably losing money.

Dismissal of Credit Scores

Dave Ramsey refers to a credit score as an “I Love Debt” score. Dunlap strongly disagrees, calling it “one of the best tools you have for accelerating your financial life.” 

Dunlap believes that credit cards are beneficial for most people when used responsibly, and many other money experts agree. One is Grant Cardone, author of The 10X Rule, who uses a credit card for every purchase. He uses it to track everything he buys and accumulate points. If you don’t accumulate debt month to month, this strategy can help you save.

A Dangerously Small Emergency Fund

Ramsey recommends saving $1,000 before you start to pay off debt. He does recommend saving a bigger emergency fund later, but starting with just $1,000 before turning to other goals. Dunlap believes that’s unrealistic in 2025, when the median rent for a one-bedroom apartment in the United States is $1,495.  

Saving only $1,000 and then moving onto other financial goals can be dangerous, Dunlap said, especially for those who need to cut ties with a toxic job or living situation. 

Alternative Guidelines for Financial Success

Dunlap has three recommendations she believes are safer and wiser than Ramsey’s system. They are:

• Saving three months of expenses: Do this before paying off credit cards. “I don’t want you going into more debt trying to pay for an emergency,” she said. 
• Paying off high-interest debt: If the interest is more than 7%, Dunlap wants you to pay off that debt first. “It is costing you more money than you could be making in the stock market,” she urged.
• Saving for retirement, then other life goals: Dunlap recommended saving for retirement first, then funding other life goals.

Finally, she encouraged people to let these steps evolve alongside their circumstances. These are guidelines, not hard-and-fast rules like Ramsey’s.

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