topic Re: Bills Due... Please I need some quick guidance in Credit Cards

Bills Due... Please I need some quick guidance

pip3man — Wed, 20 Aug 2014 18:32:52 GMT

hey fellow myFICOers I need and would really appreciate some directions here. I will try to be as brief as possible. I have 6 bills due tomorrow but unfortunately I'm running low on funds right now and only got $2000 to split amongst the accounts. Most of them are either on special financing and/or zero percent APR

Citi balance $1915.86 - minimum due $29.90 (APR 17.99%) CL $2000

SYNCB balance $599.71 - minimum due $25 (0% 12months special financing APR for a new TV) CL $1500

Discover balance $1412.26 - minimum due $35 (0% 15months APR - did a BT) CL $1500

Barclay balance $864.33 - minimum due $20 (0% APR for 12months - did a BT) CL $1000

Macys AMEX balance $886.01 - minimum due $31 (24.50% APR) CL $3000

TD balance $342.69 - minimum due $35 (0% APR) CL $1000

Based on my limited funds, how and what will be the best way to allocate the payments in a cost effective way as well as not to have too many high/maxed balances reporting at the same time? Thank you so much for any guidance

Re: Bills Due... Please I need some quick guidance

myjourney — Wed, 20 Aug 2014 18:39:15 GMT

How much of the 2k can you afford to apply

Re: Bills Due... Please I need some quick guidance

Glkslngr — Wed, 20 Aug 2014 18:54:21 GMT

I would do:

Citi: $271.30
SYNCB: $100.00
Discover: $200.00
Barclay: $200.00
Macys: $886.01
TD: $342.69

I would do this to pay off smaller balances this month and keep at zero, so that I may allocate more funds to the accounts with higher interest rates next month.

Re: Bills Due... Please I need some quick guidance

Luscher — Wed, 20 Aug 2014 18:57:25 GMT

In the interest of you saving money and not boosting score I would pay the minimum on all crds that have 0% apr and put the rest to the other 2 cards.

Re: Bills Due... Please I need some quick guidance

ILBrian — Wed, 20 Aug 2014 18:57:28 GMT

Unless you need credit now I would do the following:

Citi balance $1915.86 - minimum due $29.90 (APR 17.99%) CL $2000 1020.67
SYNCB balance $599.71 - minimum due $25 (0% 12months special financing APR for a new TV) CL $1500 25
Discover balance $1412.26 - minimum due $35 (0% 15months APR - did a BT) CL $1500 35
Barclay balance $864.33 - minimum due $20 (0% APR for 12months - did a BT) CL $1000 864.33
Macys AMEX balance $886.01 - minimum due $31 (24.50% APR) CL $3000 20
TD balance $342.69 - minimum due $35 (0% APR) CL $1000 35

Pay highest APR balances first and min on all others.

Re: Bills Due... Please I need some quick guidance

CaptainAmerica — Wed, 20 Aug 2014 18:59:49 GMT

@pip3man wrote:
hey fellow myFICOers I need and would really appreciate some directions here. I will try to be as brief as possible. I have 6 bills due tomorrow but unfortunately I'm running low on funds right now and only got $2000 to split amongst the accounts. Most of them are either on special financing and/or zero percent APR

Citi balance $1915.86 - minimum due $29.90   (APR 17.99%) CL $2000
SYNCB balance $599.71 - minimum due $25   (0% 12months special financing APR for a new TV) CL $1500
Discover balance $1412.26 - minimum due $35 (0% 15months APR - did a BT) CL $1500
Barclay balance $864.33 - minimum due $20     (0% APR for 12months - did a BT) CL $1000
Macys AMEX balance $886.01 - minimum due $31         (24.50% APR) CL $3000
TD balance $342.69 - minimum due $35             (0% APR) CL $1000

Based on my limited funds, how and what will be the best way to allocate the payments in a cost effective way as well as not to have too many high/maxed balances reporting at the same time? Thank you so much for any guidance

Hi mister-endowed,

Based on what you've written, assuming you can apply the entire $2,000 towards these bills, I would allocate the funds accordingly:

Macys AMEX - Pay off the entire $886.01 (It's the highest interest credit card (24.50% APR) so you want to get rid of the balance ASAP)

SYNCB balance - pay minimum due $25 (since it has 0%, you can make the minimum payment for now until you pay off all of your cards with high APR)

Discover balance pay minimum due $35 (since it has 0%, you can make the minimum payment for now until you pay off all of your cards with high APR)

Barclay balance - pay minimum due $20 (since it has 0%, you can make the minimum payment for now until you pay off all of your cards with high APR)

TD balance - pay minimum due $35 (since it has 0%, you can make the minimum payment for now until you pay off all of your cards with high APR)

Citi balance - put the remaining money you have ($998.99) on this card since it has the second highest APR of 17.99% so you want to focus on this one until it's fully paid off so you aren't paying any more in interest than you have to.

Hope that helped!

Re: Bills Due... Please I need some quick guidance

heyarrnold — Wed, 20 Aug 2014 19:01:13 GMT

@pip3man wrote:
hey fellow myFICOers I need and would really appreciate some directions here. I will try to be as brief as possible. I have 6 bills due tomorrow but unfortunately I'm running low on funds right now and only got $2000 to split amongst the accounts. Most of them are either on special financing and/or zero percent APR

Citi balance $1915.86 - minimum due $29.90   (APR 17.99%) CL $2000 Quite maxed out. Lower this down. Pay $500
SYNCB balance $599.71 - minimum due $25   (0% 12months special financing APR for a new TV) CL $1500 Make the min payment
Discover balance $1412.26 - minimum due $35 (0% 15months APR - did a BT) CL $1500 Quite maxed out. Lower this down. Pay $500
Barclay balance $864.33 - minimum due $20     (0% APR for 12months - did a BT) CL $1000 Quite maxed out. Lower this down. Pay $500
Macys AMEX balance $886.01 - minimum due $31         (24.50% APR) CL $3000 Pay $440. Your interest would be $9.
TD balance $342.69 - minimum due $35             (0% APR) CL $1000 Make the min payment

Based on my limited funds, how and what will be the best way to allocate the payments in a cost effective way as well as not to have too many high/maxed balances reporting at the same time? Thank you so much for any guidance

Re: Bills Due... Please I need some quick guidance

Anonymous — Wed, 20 Aug 2014 19:08:47 GMT

As you can see from the responses, it depends on the goal.

1) Score. Worry about cards being maxed out

2) Interest charges. Pay minimums on 0% and as much as you can on the others, with the highest APR getting most

And it also depends on the longer term. If this is a temporary shortage of funds, then certainly I'm in camp 2. You shouldn't be apping anyway, so minimize interest.

If this is going to last longer, you may need to start thinking about reducing maxed out cards to avoid big score drops and balance chasing.

But for this month, my vote is route 2.

Re: Bills Due... Please I need some quick guidance

peaceonearth — Wed, 20 Aug 2014 19:12:02 GMT

@pip3man wrote:
hey fellow myFICOers I need and would really appreciate some directions here. I will try to be as brief as possible. I have 6 bills due tomorrow but unfortunately I'm running low on funds right now and only got $2000 to split amongst the accounts. Most of them are either on special financing and/or zero percent APR

Citi balance $1915.86 - minimum due $29.90   (APR 17.99%) CL $2000
SYNCB balance $599.71 - minimum due $25   (0% 12months special financing APR for a new TV) CL $1500
Discover balance $1412.26 - minimum due $35 (0% 15months APR - did a BT) CL $1500
Barclay balance $864.33 - minimum due $20     (0% APR for 12months - did a BT) CL $1000
Macys AMEX balance $886.01 - minimum due $31         (24.50% APR) CL $3000
TD balance $342.69 - minimum due $35             (0% APR) CL $1000

Based on my limited funds, how and what will be the best way to allocate the payments in a cost effective way as well as not to have too many high/maxed balances reporting at the same time? Thank you so much for any guidance

1) I pay off the Macy's AMEX with the 24.50% APR first.
2) Pay half of the balance on the Citi with 17.99% APR
3) Pay as much as you can on the remaining cards

Re: Bills Due... Please I need some quick guidance

Closingracer99 — Wed, 20 Aug 2014 20:05:17 GMT

@pip3man wrote:
hey fellow myFICOers I need and would really appreciate some directions here. I will try to be as brief as possible. I have 6 bills due tomorrow but unfortunately I'm running low on funds right now and only got $2000 to split amongst the accounts. Most of them are either on special financing and/or zero percent APR

Citi balance $1915.86 - minimum due $29.90   (APR 17.99%) CL $2000
SYNCB balance $599.71 - minimum due $25   (0% 12months special financing APR for a new TV) CL $1500
Discover balance $1412.26 - minimum due $35 (0% 15months APR - did a BT) CL $1500
Barclay balance $864.33 - minimum due $20     (0% APR for 12months - did a BT) CL $1000
Macys AMEX balance $886.01 - minimum due $31         (24.50% APR) CL $3000
TD balance $342.69 - minimum due $35             (0% APR) CL $1000

Based on my limited funds, how and what will be the best way to allocate the payments in a cost effective way as well as not to have too many high/maxed balances reporting at the same time? Thank you so much for any guidance

Personally I would Pay in Full the Barclay's and Amex or Amex and TD and spread the rest out evenly

Re: Bills Due... Please I need some quick guidance

Creditaddict — Wed, 20 Aug 2014 21:10:37 GMT

unless you are applying for a car or a house I think anyone more concerned about score than money is crazy!

Pay Macys Amex off

pay minimums on all the 0% and apply remaining money to your 18% card.

simple.

Re: Bills Due... Please I need some quick guidance

Anonymous — Wed, 20 Aug 2014 21:20:00 GMT

@Creditaddict wrote:
unless you are applying for a car or a house I think anyone more concerned about score than money is crazy!
Pay Macys Amex off
pay minimums on all the 0% and apply remaining money to your 18% card.

simple.

+1 agreed pay off the 2 cards you will have to pay interest on and minimums on the remaining.

Re: Bills Due... Please I need some quick guidance

ScarletFever — Wed, 20 Aug 2014 21:47:41 GMT

All good suggestions give here. Most revolve around paying highest interest cards first. This is what I would do, and have done, successfully. If you can spend the whole $2000, pay off ALL the three accounts with lowest balances: TD, SYNCB, 7 Barclay: Total-$1806.73 Apply the remaining $193.27 by applying about $100 or so to the next lowest balance-Macy's, and what's left goes to making slightly more than minimum payment to Citi and Discover. This approach does a few things: Gives you momentum in paying down or paying off smaller balances first, and, makes you feel better. Whatever spare cash you have at each billing cycle you pay more than the minimum to eliminate the next smallest balance while making slightly over minimum to the remaining accounts. Once Macy's is paid off, move onto the same method with Discover, than tackle largest balance last. Many people advocate largest interest being paid first: But, let's face it. As we see all the time, credit is a psychological game and you need success in order to build momentum and see the light at the end of the tunnel. If you have to charge for some reason, charge to accounts not paid off yet, do not slip backwards. Good luck!

Re: Bills Due... Please I need some quick guidance

Luscher — Wed, 20 Aug 2014 21:50:55 GMT

There really is endless amounts of ways to go about this. You can do pay off the small balances so it gives you a sense of success (but you will pay interest) or you can pay off those high apr cards and the minimum on the 0% cards. I recommend paying the minimum on the 0% and put the rest towards the non 0% cards. This way, you save yourself money in interest

Re: Bills Due... Please I need some quick guidance

Pat94108 — Wed, 20 Aug 2014 21:55:22 GMT

@ScarletFever wrote:
All good suggestions give here. Most revolve around paying highest interest cards first. This is what I would do, and have done, successfully. If you can spend the whole $2000, pay off ALL the three accounts with lowest balances: TD, SYNCB, 7 Barclay: Total-$1806.73 Apply the remaining $193.27 by applying about $100 or so to the next lowest balance-Macy's, and what's left goes to making slightly more than minimum payment to Citi and Discover. This approach does a few things: Gives you momentum in paying down or paying off smaller balances first, and, makes you feel better. Whatever spare cash you have at each billing cycle you pay more than the minimum to eliminate the next smallest balance while making slightly over minimum to the remaining accounts. Once Macy's is paid off, move onto the same method with Discover, than tackle largest balance last. Many people advocate largest interest being paid first: But, let's face it. As we see all the time, credit is a psychological game and you need success in order to build momentum and see the light at the end of the tunnel. If you have to charge for some reason, charge to accounts not paid off yet, do not slip backwards. Good luck!

Good suggestion as well. Like Longtimelurker said, it all depends on what the goal is.

Re: Bills Due... Please I need some quick guidance

ScarletFever — Wed, 20 Aug 2014 22:04:57 GMT

I eliminated nearly $30,000 of combined cc and auto loans in two years paying off smaller balances first. I strongly recommend forgetting complicated calculations of how much you will save paying higher balances first. Make tangible progress you can see to catapult you to more success. Don't worry about paying more interest. Credit is psychological game. Whatever you choose, good luck!

Re: Bills Due... Please I need some quick guidance

bada_bing — Wed, 20 Aug 2014 23:15:48 GMT

Going forward, interest trumps rewards by a wide margin.

I'd pay off/down the interest bearing cards and minimums/what's left on the 0% teaser cards.

If you need to make new charges for living expenses as you whittle away the remaining debt,

be aware that cards with carried over balances have no grace period on new charges. Make new charges

on cards that are PIF or cards with 0% teaser. I'd probably totally sock drawer your interest bearing

cards until you can get back to PIF.

Someone has a signature here that "0% financing is where the devil lives". That's very true. 0%

teaser rates lure a person into spending they wouldn't otherwise do and balances they can't shed before

the interest kicks in. They are designed that way. Don't fall for the credit card companies' tricks.

Re: Bills Due... Please I need some quick guidance

woodyman100 — Thu, 21 Aug 2014 01:05:12 GMT

@pip3man wrote:
hey fellow myFICOers I need and would really appreciate some directions here. I will try to be as brief as possible. I have 6 bills due tomorrow but unfortunately I'm running low on funds right now and only got $2000 to split amongst the accounts. Most of them are either on special financing and/or zero percent APR

Citi balance $1915.86 - minimum due $29.90   (APR 17.99%) CL $2000
SYNCB balance $599.71 - minimum due $25   (0% 12months special financing APR for a new TV) CL $1500
Discover balance $1412.26 - minimum due $35 (0% 15months APR - did a BT) CL $1500
Barclay balance $864.33 - minimum due $20     (0% APR for 12months - did a BT) CL $1000
Macys AMEX balance $886.01 - minimum due $31         (24.50% APR) CL $3000
TD balance $342.69 - minimum due $35             (0% APR) CL $1000

Based on my limited funds, how and what will be the best way to allocate the payments in a cost effective way as well as not to have too many high/maxed balances reporting at the same time? Thank you so much for any guidance

My vote is $50 each on the 0% cards! then pay the Amex 24.9% off completely and then put the other 900+ on the 17.9% card. You'll sleep better not compiling interest charges

Re: Bills Due... Please I need some quick guidance

ScarletFever — Thu, 21 Aug 2014 01:16:00 GMT

Interest calculations too abstract. You won't know what interest will amount to anyway, especially if you charge more items . If it's peace of mind you are after, go with eliminating balances from each card. Let us know what you decide, and how successful you are.

Re: Bills Due... Please I need some quick guidance

efranklin23 — Thu, 21 Aug 2014 01:25:57 GMT

@pip3man wrote:
hey fellow myFICOers I need and would really appreciate some directions here. I will try to be as brief as possible. I have 6 bills due tomorrow but unfortunately I'm running low on funds right now and only got $2000 to split amongst the accounts. Most of them are either on special financing and/or zero percent APR

Citi balance $1915.86 - minimum due $29.90   (APR 17.99%) CL $2000
SYNCB balance $599.71 - minimum due $25   (0% 12months special financing APR for a new TV) CL $1500
Discover balance $1412.26 - minimum due $35 (0% 15months APR - did a BT) CL $1500
Barclay balance $864.33 - minimum due $20     (0% APR for 12months - did a BT) CL $1000
Macys AMEX balance $886.01 - minimum due $31         (24.50% APR) CL $3000
TD balance $342.69 - minimum due $35             (0% APR) CL $1000

Based on my limited funds, how and what will be the best way to allocate the payments in a cost effective way as well as not to have too many high/maxed balances reporting at the same time? Thank you so much for any guidance

Hey there, to help you out, you should focus on credit util % for the cards and the fact you have some cards with high APRs that should be addressed first. To get started, I would first start by:

- Paying 1215.86 to bring the Citi account bringing to 700 balance and 35% Credit Util

- Paying 586.01 to the Macy's Card account bringing to 300 blanace and 10% Credit Util

- Paying 119.00 to Discover card (last as it's still under 0% APR but I brought it up as it has over 80% Util. Rate)

- Then I would pay off the remaining minimum payments (80.00) for the months as there's no rush to pay them as there's no APR being charged to them.

At this moment, I would strongly recomend to stop using credit cards until the over utilization is under 20%. At the moment, you have 2 cards (Barclays and Discover) over the limit and those should be addressed directly next moth to keep your Credit Util down. I picked the Discover as it has the higher debt involved.

Hope this helps!!!