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Hey guys.. noob here with questions

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Anonymous
Not applicable

Re: Hey guys.. noob here with questions

I appreciate all the feedback... I have not made much progress on the cards, because 1. I'm in a much different situation than prior to losing my job. I make about 30% less than before. 2. I'm just getting to have some breathing room now where I can pay down some and make some progress.

 

3900 balance with a 4000 limit on one card with an 18.65% APR

532$ balance with a 500$ limit (not even sure how that happened)  15.65% APR

1200$ balance with a 1300$ limit 20.55% APR

Vehicle loan balance 10,847$, payments 353.88 2.49% APR

Personal loan balance 13,019$, payments 382.74$ 17.99% APR

And the big boy...Credit Card balance 29,000$ with a 29.500$ limit 10.74% APR

 

Obviously, I want to lower the balances on the higher APR's first... but my thoughts are to pay off the smaller cards first, and then use the extra saved from that monthly payment towards the next smallest, etc, etc. If you guys have any additional feedback, that would be great too. Also... my big credit card offers 0% for 12 months when you transfer a balance. So my other thought is, if I were to knock down the big one, I could xfr balances there to get rid of the interest until they are all gone too. What are your thoughts on that process?

Message 11 of 12
joltdude
Senior Contributor

Re: Hey guys.. noob here with questions


@Anonymous wrote:

I appreciate all the feedback... I have not made much progress on the cards, because 1. I'm in a much different situation than prior to losing my job. I make about 30% less than before. 2. I'm just getting to have some breathing room now where I can pay down some and make some progress.

 

532$ balance with a 500$ limit (not even sure how that happened)  15.65% APR <--- THIS needs to be taken care of ASAP even with the lower APR

This can affect your score being overlimit like that ... can you bring it down to 80% or more now?

1200$ balance with a 1300$ limit 20.55% APR <-- id bring this down below 80% next ... 

3900 balance with a 4000 limit on one card with an 18.65% APR

And the big boy...Credit Card balance 29,000$ with a 29.500$ limit 10.74% APR

Vehicle loan balance 10,847$, payments 353.88 2.49% APR

Personal loan balance 13,019$, payments 382.74$ 17.99% APR

 

 

Obviously, I want to lower the balances on the higher APR's first... but my thoughts are to pay off the smaller cards first, and then use the extra saved from that monthly payment towards the next smallest, etc, etc. If you guys have any additional feedback, that would be great too. Also... my big credit card offers 0% for 12 months when you transfer a balance. So my other thought is, if I were to knock down the big one, I could xfr balances there to get rid of the interest until they are all gone too. What are your thoughts on that process


Id work on getting all the cards below 80% first. Try to pay down the 532 card down as much as possible *NOW* . that overlimit is not a good situation to be in and you want to put that fire out...

 

I like your idea of whittling down the large card and possibly BT to it.. even if theres a BT fee by the time you can take advantage of the BT.. the APR makes it tempting but you need to free up much more... but after your cards are below the maxxed out point... 

 

In your case a mixed approach vs just a snowball method might work out better for you in the long run...

 

Others might have suggestions but i like the thought.. still might be worried about balance chasing. but well hit that problem if/when it comes up...

 

-J

 

 

 

Message 12 of 12
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