Best way to pay down these cards

[JMMD]

Between my husband and I we have 10 credit cards, two have 0 balances, 1 is at 28% UTI but five are at 90-95% UTI. Would we be better off paying all the higher UTI cards down to 80% or payng off as many of the cards as we can and then work on snowballing the rest over time. Either way we would be paying down debt which is our first prority but building credit is very important to us too as we hope to buy a house soon.

Thanks.

[Bankrupt2019]

I've personally used the DOLP method. Works like a charm.

[JMMD]

---

@Bankrupt2019 wrote:

I've personally used the DOLP method. Works like a charm.

---

I have no idea what that means lol

[Anonymous]

Any interest getting charged on these debts? The more specifics you can give the better. I think snowballing is a good strategy in most cases though.

How soon are we talking for the mortgage? Will you pay off all the cc debt first? 

[JMMD]

---

@Anonymous wrote:

Any interest getting charged on these debts? The more specifics you can give the better. I think snowballing is a good strategy in most cases though.

How soon are we talking for the mortgage? Will you pay off all the cc debt first? 

---

All but one of the 5 have interest rates from 24-27. I'd love to ditch the 27% card first! One of the cards is 0% until next year. We'd like to apply for a mortgage April 1st. We couldd either pay off all ( or most off) our CC debt or buy a house but we can't do both. We will have enough to pay down all the cards to 80% and buy a house though.

[Anonymous]

Unless the goal is raising the fico up ASAP to get a 0% card like the chase slate for a balance transfer or to qualify for that mortgage I would go after snowballing the smallest balance on the interest rate cards first and then work back to the 0% card last. I have heard good things about this website called readyforzero but never signed up my self. Pretty sure it is free though, if you do use it any feedback would be appreciated. 

[Bankrupt2019]

---

@JMMD wrote:

---

@Bankrupt2019 wrote:

I've personally used the DOLP method. Works like a charm.

---

I have no idea what that means lol

---

www.finishrich.com/dolp/

[Anonymous]

---

@JMMD wrote:

---

@Anonymous wrote:

Any interest getting charged on these debts? The more specifics you can give the better. I think snowballing is a good strategy in most cases though.

How soon are we talking for the mortgage? Will you pay off all the cc debt first? 

---

All but one of the 5 have interest rates from 24-27. I'd love to ditch the 27% card first! One of the cards is 0% until next year. We'd like to apply for a mortgage April 1st. We couldd either pay off all ( or most off) our CC debt or buy a house but we can't do both. We will have enough to pay down all the cards to 80% and buy a house though.

---

Are you working with someone on a mortgage yet? I see three competing things (only two of which have been mentioned so far): raising your scores, paying the least interest, and your debt-to-income ratio (DTI). 

April 1 isn't that far away. So you're right that you should decide now what will best suit your purpose. I'd first find out how you are on DTI. It may be that by knocking out your highest interest card(s) that you will improve your DTI AND lower your interest paid. DTI is a non-negotiable on most mortgages, while your credit score just means you qualify for a better or worse rate (assuming you're in the ballpark). 

The more info you post, the more people can help. I'm not sure if this is the best board or if the mortgage board might be a better place as a mortgage is your main concern. 

[JMMD]

---

@Bankrupt2019 wrote:

---

@JMMD wrote:

---

@Bankrupt2019 wrote:

I've personally used the DOLP method. Works like a charm.

---

I have no idea what that means lol

---

www.finishrich.com/dolp/

---

Thanks!

[JMMD]

---

@Anonymous wrote:

---

@JMMD wrote:

---

@Anonymous wrote:

Any interest getting charged on these debts? The more specifics you can give the better. I think snowballing is a good strategy in most cases though.

How soon are we talking for the mortgage? Will you pay off all the cc debt first? 

---

All but one of the 5 have interest rates from 24-27. I'd love to ditch the 27% card first! One of the cards is 0% until next year. We'd like to apply for a mortgage April 1st. We couldd either pay off all ( or most off) our CC debt or buy a house but we can't do both. We will have enough to pay down all the cards to 80% and buy a house though.

---

Are you working with someone on a mortgage yet? I see three competing things (only two of which have been mentioned so far): raising your scores, paying the least interest, and your debt-to-income ratio (DTI). 

April 1 isn't that far away. So you're right that you should decide now what will best suit your purpose. I'd first find out how you are on DTI. It may be that by knocking out your highest interest card(s) that you will improve your DTI AND lower your interest paid. DTI is a non-negotiable on most mortgages, while your credit score just means you qualify for a better or worse rate (assuming you're in the ballpark). 

The more info you post, the more people can help. I'm not sure if this is the best board or if the mortgage board might be a better place as a mortgage is your main concern. 

---

Our DTI is fine for both conventional and FHA. We are looking into FHA for the lower downpayment and because we have a major derog from 4 years ago. We have spoken wih a mortgage broker who said we should be fine to get a mortgage with the cards as is, but we want to lower our UTI because a. its high b. to save money on interest payments.We also want to be debt free. The problem is we can only do two things here pay off cards OR pay down cards and buy a house. I wish we couldd pay them off and buy right now but it isn't feasible.