Quora Answer: Why Does David Lawrence Ramsey III Teach That Credit Scores are Bad?

The following is my answer to a Quora question: “Why does David Lawrence Ramsey III teach that credit scores are bad?” 

David Lawrence Ramsey III filed for bankruptcy in September 1988.  It was bank refinancing of his over-leveraged notes that lead to his bankruptcy and loss of his property portfolio.  Understandably, he does not like credit scores.  It shaped his belief that all debt instruments are bad, and that is extended to credit. 

Frankly, this is stupid advise.  Managed debt is necessary to create liquidity in business, and for the average consumer.  Otherwise, if we had to acquire the funds prior to anything, no one would have a house, a car, or an education.