Should I pay my credit cards off by highest intest rate or by lowest balance????

Quote

Anonymous

Guest
I have $2,100 and was wanting to pay off credit card debt with it. Should I pay off lowest balance first and go from there or pay off highest interest first??

Credit Cards

Bank of America- $845.64 with APR 3.50%
Dell- $868.65 with APR 29.99%
Capital One-$493.76 with APR 22.90%
2nd Capital One-$498.98 with APR 24.90$
Credit One-$381.39 with a APR of 23.90%
Walmart Credit Card- $393.58 with APR 24.99%

Need help...dont know what the best route it!!!!

Thanks!!!! :)
 
















Seriously. At best, limit yourself to one credit card. Preferably one with a low interest rate and low or no annual fee. Stop using all the other cards.

Pick the lowest balance, continue to pay minimums on all other cards PLUS current purchases, and put as much money as you can towards that lowest balance. Pay it off (hint: use that next bonus check to pay off all these cards instead of a new toy, computer, or trip). Go on to the next one and get rid of all of those.

Debt is bad news for those of us who want to survive in Obama's America. It's time to hunker down and debt makes you a target in the downturn.
 








Target 1 card at a time pay it in full and close it out if it has annual fees. Keep 2 credit cards but choose the ones with the best benefits to keep open. Also keep the 2 open that has been open the longest, that way if your credit gets pulled for making a big purchase (car or house) it shows you have a long credit history. Close out the rest. 1 at a time when you pay them off. Whatever cards are left because you don't have enough to pay them all, make the minimum payments .
 








Bad advice. While attacking the balances with a vengeance is the right answer, keeping any of the credit cards active is not. Build up some funds to where you don't need the security blanket called a credit card. They're more likely to cause financial problems than to bail you out in tough times.
 








Anonymous said:
Bad advice. While attacking the balances with a vengeance is the right answer, keeping any of the credit cards active is not. Build up some funds to where you don't need the security blanket called a credit card. They're more likely to cause financial problems than to bail you out in tough times.
Click to expand...

I'll agree that to some folks, credit cards are like a drunk swigging drinks from a booze bottle. Those folks should cut up every credit card and shred every piece of mail from Citibank, Capital One, Discover, American Express and anyone trying to push another piece of plastic in front of them.

But if you can manage your finances properly, budget and understand that credit (or debit) cards are tools and PAY OFF balances in full each month, you can use them as a part of your budgeting and daily finances.
 








Payoff the lowest balances first. Then, look for a card that offers a low/no interest promotion rate. Then, free up every bit of cash that you can and wipe out the cards. Once paid off, NEVER carry a balance again.
 
















Anonymous said:
I have $2,100 and was wanting to pay off credit card debt with it. Should I pay off lowest balance first and go from there or pay off highest interest first??

Credit Cards

Bank of America- $845.64 with APR 3.50%
Dell- $868.65 with APR 29.99%
Capital One-$493.76 with APR 22.90%
2nd Capital One-$498.98 with APR 24.90$
Credit One-$381.39 with a APR of 23.90%
Walmart Credit Card- $393.58 with APR 24.99%

Need help...dont know what the best route it!!!!

Thanks!!!! :)
Click to expand...

Your question is irrelevant. Just pay them off as soon as possible.

Here is a hint that will help you for your life: NEVER take any credit, from anyone, for anything.

In short, don't lend and don't borrow. If you have friends or family in need, just give what you can to them, but don't let them take advantage of you by any means, as people are mostly selfish and will seek to destroy you.

Good luck.
 








Anonymous said:
Your question is irrelevant. Just pay them off as soon as possible.

Here is a hint that will help you for your life: NEVER take any credit, from anyone, for anything.

In short, don't lend and don't borrow. If you have friends or family in need, just give what you can to them, but don't let them take advantage of you by any means, as people are mostly selfish and will seek to destroy you.

Good luck.
Click to expand...

Excellent advice. But seeing the lack of activity on this site it'll fall on deaf ears. Their loss.
 
















Debt is a part of life.

The sooner you realize that, the less time and money you can waste trying to eliminate it. The debt really isn’t the problem: the worry about debt is. As soon as you become ambivalent to your debt, the better quality of life you can live.

Besides, being debt-free is not going to make you rich. Many rich people are in debt and they even manage to get richer while being in debt. The fantasies about wealth were written decades ago. You NEED debt in order to get rich!
 








Anonymous said:
I have $2,100 and was wanting to pay off credit card debt with it. Should I pay off lowest balance first and go from there or pay off highest interest first??

Credit Cards

Bank of America- $845.64 with APR 3.50%
Dell- $868.65 with APR 29.99%
Capital One-$493.76 with APR 22.90%
2nd Capital One-$498.98 with APR 24.90$
Credit One-$381.39 with a APR of 23.90%
Walmart Credit Card- $393.58 with APR 24.99%

Need help...dont know what the best route it!!!!

Thanks!!!! :)
Click to expand...

Pay off the highest interest rate and this will lower you total debt interest payments earlier. Bottom line you will save money.
 








Top Bottom
Back
Quote