Dave Ramsey Caller Lost $487K To An Online Investment Scam. ‘You Lost Your Retirement Money, You’re Not Going To Get That Back’

A recent episode of “The Ramsey Show” featured a heartbreaking call from a 68-year-old Texas woman named Cathy, who revealed she lost her entire retirement savings to an online investment scam. In total, she lost $487,000 and also convinced her brother to invest. He lost an additional $110,000, including $50,000 that Cathy had borrowed from him.

“I retired from my company. I took out all my 401(k) and pension,” Cathy explained. “And last month [the online investment group] ghosted us and froze our accounts, and we lost it all.”

Don’t Miss:

Her brother now wants the $50,000 she borrowed repaid, but Cathy, who is now living on $2,000 a month in Social Security, says she simply can’t afford it. She also has around $33,000 in debt, including a loan from American Express. Her house is paid off and estimated to be worth around $400,000, but she’s struggling to make ends meet.

“You lost your retirement money. You’re not going to get that back,” co-host George Kamel told her. “Bankruptcy would clear the American Express debt, but I don’t think it’s worth filing over this.”

Cathy said she has applied for jobs but hasn’t had success. She previously worked in sales for 36 years before retiring in May. “I’m easily replaceable,” she said of her old employer.

Trending: Backed by $300M+ in Assets and Microsoft’s Climate Fund, Farmland LP Opens Vital Farmland III to Accredited Investors

She also looked into a reverse mortgage but was told her home wasn’t in good enough condition to qualify. Kamel quickly dismissed that option. “They will just screw you with all the fees. You’re going to lose all the equity in your home. It’s a terrible, horrible financial product and they prey on desperate people like our friend Cathy.”

The hosts were straightforward: getting back to work is non-negotiable. “One of the best things you can do is get to work,” co-host Ken Coleman said. “You’re going to have to take some opportunities that you wouldn’t normally think about now. That’s maybe Starbucks, Walmart, Target. We need income.”

He encouraged Cathy to be open about her story, even if it’s uncomfortable. “I completely understand what I’m asking you to do, which is to share your story. It is going to be difficult because you’re ashamed, and I understand that. But you aren’t the only person who has been duped before.”

As for the $500 monthly payments she promised her brother, the hosts were direct. “The promises are over. You don’t have the money,” Kamel said. “Brother is on his own,” Coleman interjected.

See Also: The ECG Hasn’t Changed in 100 Years — This AI Upgrade Could Help Detect Heart Disease Years Earlier

Cathy’s home is currently her only asset. Coleman and Kamel advised her to keep it for now and only consider selling it later as a last resort. “Try to stay afloat. Try to get a job,” Kamel said. “There’s a worst-case scenario here where five years from now, if you’re out of options, you could sell the house, downsize, and invest the difference.”

In closing, Kamel added, “The relationship with your brother—it’s not going to be the same. The future you had, the retirement you dreamed of—it’s not going to be the same. So, you’ve got to grieve what was and just create a realistic picture of what comes next.”

Read Next: 7 Million Gamers Already Trust Gameflip With Their Digital Assets — Now You Can Own a Stake in the Platform

Image: Shutterstock

Up Next: Transform your trading with Benzinga Edge’s one-of-a-kind market trade ideas and tools. Click now to access unique insights that can set you ahead in today’s competitive market.

Get the latest stock analysis from Benzinga?

This article Dave Ramsey Caller Lost $487K To An Online Investment Scam. ‘You Lost Your Retirement Money, You’re Not Going To Get That Back’ originally appeared on Benzinga.com

© 2025 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.