Atlanta man bought a business on credit cards and now has too much debt. Ramsey offers him his take

Manny, a man from Atlanta, bought a business using credit cards and seller financing, but the business isn't generating enough revenue to cover his debts. In addition to the business debt, he has a mortgage on a rental property, his own home, and about $30,000 in personal debt. Ramsey advised Manny to sell the rental property to pay off the $60,000 he owes on the seller financing and other debts.

Manny's business was purchased for $200,000, with some of the purchase price financed through credit card debt and the rest through seller financing. His wife also works for the business, although Manny didn't provide details about its performance. The couple also has a rental property that generates approximately $1,100 in monthly cash flow.

While selling the rental property would mean giving up this income, Ramsey argued that it would eliminate numerous monthly payments and allow Manny to become 100% debt-free.