A United States Postal Service worker's attempt to make quick money through day trading has left him $180,000 in the hole, facing massive debt, potential job loss, and personal turmoil, prompting urgent advice from The Ramsey Show hosts.
USPS Employee Loses Massive Cash In Day Trading Gamble
In the July episode, Caller Alex explained that after losing package volume at his USPS job, he turned to day trading, initially making $120,000 but borrowing $60,000 to fund trades.
"I ended up losing the money and I took out another loan to try and make it back and lost it, too," he said.
Alex now faces $6,200 in monthly expenses with only $4,000 in income and fears he could lose his job due to not being able to afford a delivery vehicle required by his contract.
Ramsey Show Hosts Warn Against Risky Financial Decisions
Ken Coleman reassured him, saying, "You're not a loser. You've had some losses and those losses sting, but welcome to the human race."
He emphasized that family support could provide short-term relief and urged Alex to consider working extra jobs to regain stability.
George Kamel warned against relying on risky financial schemes. "Alex, this is not Oceans 11. You're not going to hit the roulette table and strike it rich," Kamel said.
He encouraged Alex to cut off access to day trading entirely, noting that desperation and greed only deepen financial trouble. "You are the solution," he added, advocating for hard work and discipline over shortcuts.
Ramsey Warns Against Risky Investments, Misconceptions About Passive Income
In May, Dave Ramsey addressed a caller who had lost $300,000 from an inherited IRA through day trading during her husband's manic episode.
He noted that 78% of day traders lose money and cautioned against trying to recoup losses through further risky investments, emphasizing the dangers of treating investing like gambling.
Last month, Debra from Sacramento shared that her husband had gambled away over $1 million of their savings, leaving them with just $15,000 despite a $350,000 annual income.
Ramsey called out the unrealistic plan of cutting expenses slightly to recover massive losses, stressing the seriousness of gambling addiction.
In the same month, Ramsey also criticized the idea that real estate generates effortless wealth, warning that property management requires ongoing work and responsibility.
He contrasted this with mutual funds, which provide genuine passive income without the day-to-day hassles.
Read Next:
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
