I have a large amount of CC debt. I have never been late on payments, I don't want to hurt my credit now. What the best way to pay off the cc debt? Thanks
Hi, I would suggest that you search this forum for previous responses from others that have asked the same question. I am a newbie, but, I have read them and they are very helpful and to me right on target. Just do a search and you should find the responses. Just a thought.
Thanks Jay, I did a one time search I will search through more with different wording because I didnt find much. Thanks
Make a spreadsheet listing all of your debts. Put in the balance, the interest rate, and the minimum payment. Sort by interest rate. The account with the highest interest rate is your "target." Pay the minimum payment on everything except the target. EVERY extra penny you have or can get (maybe a part-time job at McDonalds or 7-11 for a while) goes on the target account. When it is paid off, the account with the next-highest rate (which will be the highest rate with a balance) is your new target. Add the minimum you were paying on it to the amount you were paying on the previous target. In other words, pay the minimum on everything except the highest interest rate and pay everything else on the highest rate. Update every month. Interest rates can change, and then the target would change. But every month all extra money goes on the account with the highest rate. Watch your balance drop each month (your overall debt, don't watch each account). Once you pay off the first one and start to add more and more to the next one, you'll be surprised how fast your overall debt will decrease.
