After just one month of listening to "The Ramsey Show" and putting herself on a budget, a caller named Mary faced a moment that would shake most people: a credit card debt collector threatening to sue her over a $6,000 balance.
But Mary had been doing her homework.
"I just listened to an episode of Dave Ramsey telling them that, you know, I'm going to file bankruptcy — leave me alone. And that's what I did," she told Jade Warshaw and Ken Coleman during a recent show. "I was like, ‘My financial advisor told me that I might file bankruptcy, so if I do, you'll get the call. Uh, remove me off your call list.' And I hung up."
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That move, while terrifying to her in the moment, earned instant praise from the hosts.
"I love it," Jade said. "My financial advisor — she was like, ‘I'm going to file bankruptcy,' and then like hung it up. Good for you!"
Still shaken, Mary asked if she had done the right thing. Jade assured her she had.
"What you essentially told them is, ‘I don't have the money that you're asking for and I'm broke.' And so if you think you're going to get that money from me, you're wrong," Jade explained. "You're basically saying, ‘Yeah, if you're going to sue me, sue me.'"
According to the Ramsey team, collection agencies rarely follow through with lawsuits — and in most cases, the debts have already been sold for pennies on the dollar. The smart strategy, they said, is to stop paying them small amounts and instead save up enough to make a settlement offer.
Mary had already sent a $445 payment via money order and tracked it, but she admitted she was still figuring things out. "I don't know if I did that right," she said.
"That's great that you did that," Jade responded. "I would stop doing that, because at this point I would stack up money so that you can make them an offer."
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She advised Mary to eventually say something like: "You've been blowing me up and blowing me up — this is the only money I have. And you're going to make a deal with me."
When Mary confessed how terrified she was after that first call, Jade and Ken reassured her that the fear was normal — but the power she felt afterward was real.
"Didn't it feel good a little bit?" Jade asked.
"Yes, it did. It actually did," Mary said. "Because after I said, ‘Remove my phone number,' I don't know — something broke in the spirit, I believe. And I'm like, if another debt collector calls me right now, I'm going to see this."
"That is my favorite line," Ken said. "‘Something broke in the spirit,' she said. That's really good."
While Mary was not officially sued, it's worth noting what the Federal Trade Commission recommends if that day ever comes. According to the FTC, responding to a debt collection lawsuit is critical — even if you don't believe the debt is valid. By answering the complaint or showing up in court, you protect your rights and force the debt collector to prove they have the legal authority to collect. Ignoring a lawsuit, on the other hand, can result in a default judgment, wage garnishment, or even seizure of funds.
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Mary's confidence and momentum didn't go unnoticed. The hosts gifted her the premium version of the EveryDollar budgeting app, Ramsey's new book, "Build the Business You Love," and a copy of Coleman's "The Proximity Principle."
As it turns out, Mary just launched her own meal prep and nutrition business — the same one she went into student loan debt to pursue. She now makes $2,400 per month and has a $261 monthly surplus.
While she still carries $10,000 in student loans and $9,000 in collections, she's not backing down. Jade summed it up best:
"You're capable of far more than you ever thought possible. You really, really are."
Ken couldn't resist tying it all together: "I got goosebumps, because we heard Mary roar."
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