Plan of attack requested for paying credit card balances

[csryang]

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@Anonymous wrote:

Thanks for all of the responses and sorry about the slow reply.  Our goal is to completely pay off these balances but there is the house purchase to think about this summer. In the next few weeks we should have the $25,000 + $5,000 from tax refund. Thanks for the advice on changing our withholding llowances, that's not a bad idea.  I forgot to mention this before that with the proceeds of the house sale we could pay off the remaining balance of the cards after the $30,000 above.

WIthout further ado, here's the ugly truth below. Hopefully it pastes well.  I've included everything we have and it comes up to $68K. 

I keep trying to paste an excel spreadsheet and it doesn't like it.  Any idea how this can be done? It looks good when I paste it into the box but when I try to post, it doesn't work. Can this be done or do I need to type it here instead?

Thanks

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You could try to type them out or you could take a screen shot and cut out the right portion before you paste it here with right tool

[Anonymous]

Let's try this again.

Wife BOA: $14,700 Balance with $15,300 limit; 10.74% interest

Wife Citicard: $5,197 Balance with $6,000 limit; 14.49%

Wife Discover: $4,259 Balance with $5,000 limit; 25.49%

Wife Citicard: $3,466 Balance with $4,300 limit; 22.99%

Wife Chase: $2,905 Balance with $3,200 limit; 23.49%

Wife Kohls: $1,236 Balance with $3,000 limit; 24.90%

Me BOA: $13,800 Balance with $17,300 limit; 15.24% interest

Me Citicard: $6,000 Balance with $6,900 limit; 22.99%

Me Sears: $5,725 Balance with $6,000 limit; 25.74%

Me US Bank: $3,600 Balance with $8,000 limit; 17.49%

Me US Bank: $3,900 Balance with $5,000 limit; 18.49%

Me Chase: $2,500 Balance with $3,200 limit; 23.49%

Me Best Buy: $877 Balance with $1,500 limit; 28.49%

[Anonymous]

How does this sound?

Payoff Wife Discover, Citicard $3,466 and Wife Chase. My Citicard, Sears, $3,600 US Bank and Chase.  That pays off highest rates (except small balance Kohls and Best Buy).  It also reduces our min payments by $840/month which we could apply to the other balances.

Thoughts?  

Part of me wants to just payoff the 2 BOA's too just to get rid of them. Other times I want to payoff lowest balance cards first.  Can't make up my mind.

[Chris679]

It sounds like a smart plan. Paying high apr first is cheaper and faster because you pay less interest.

[Anonymous]

One thing to remind ya of here- your DTI ratio. If you can pay off the smaller ones, it'll have a bigger impact on that. Helpful in the mortgage process.

When you pay off the smaller cards first, that payment isn't just reduced, it's gone, which has been proven in many focus groups and success stories of clearing debt to be a pathway to finishing what you start with this "snowball" method of paying debt down. 

Good luck!

[SouthJamaica]

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@Anonymous wrote:

How does this sound?

Payoff Wife Discover, Citicard $3,466 and Wife Chase. My Citicard, Sears, $3,600 US Bank and Chase.  That pays off highest rates (except small balance Kohls and Best Buy).  It also reduces our min payments by $840/month which we could apply to the other balances.

Thoughts?  

Part of me wants to just payoff the 2 BOA's too just to get rid of them. Other times I want to payoff lowest balance cards first.  Can't make up my mind.

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I agree with paying off the high interest cards, but I don't think you should stop at those with the larger balances. Just go down the line and pay off the highest interest cards completely.