Snowball your debt:Start by paying off your highest interest rate accounts first, then work your way down. Be sure to make at least the minimum monthly payments on any other accounts.Example:Say you have 3 credit cards and a car loan with the following interest rates and minimum monthly payments:CC #1 19.99% $85CC #2 12.50% $78CC #3 9.99% $112Auto Ln 7.50% $214If you have $520 a month to put towards these bills, pay as follows:CC #1 $116 CC #2 $78CC #3 $112Auto Ln $214 **Most car loans are fixed pymts, so don't worry about paying extra on this.Put your extra $31 per month towards CC #1 until it is paid in full, then put the $116 per month towards CC #2 [$194/mo] until that is paid in full, etc.
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