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Need Some Advice On How to PayOff My Debt

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Anonymous
Not applicable

Need Some Advice On How to PayOff My Debt

Hey guys, so I am in a tough spot and not sure how to proceed. So first where I am at:

 

5600/7000 Chase Freedom 16.49% (I put 305/mo towards it)

1862/2000 Citi 0% til Sept 2017

977/1000 Slate 0% til June 2017

2990/3000 BofA 0% til Dec 2016

 

So, I had to put my masters tuition on my credit cards, because there was an issue in processing of my student loans. So now everything is maxed out. What stinks is I just paid off everything TWICE now (meaning Slate, BofA, and Citi) one went towards new computer, desk etc. for masters, one went towards tuition. So now I am feeling...i guess hopeless? that its just going to happen again.

 

On the other hand, my Freedom I am actually very excited about, I had that thing at 97%-102% util from April 2012-Jan 2016. I have since cut up the card, and have been making payments of 305 every single month. I get super excited every time the statement cuts to see how far down the min payment has gone, and how much less interest I am paying.

 

My mind keeps wanting to throw a bunch of money at Chase Freedom and kncock out the other ones after, but would they close my cards if they are getting only min payments with no extra activity? I get a bonus in March that will wipe it out so it would only be maxed from now to March.

 

Its just that Chase Freedom debt has been haunting me for YEARS and want it done, but dont want my other cards closed. So what should I do? I am getting a $600 bonus in Aug, $1000 in Nov, $1000 in Dec, and $1200 in Jan.

 

Message 1 of 5
4 REPLIES 4
Anonymous
Not applicable

Re: Need Some Advice On How to PayOff My Debt

Here's how I would attack it since I don't personally like anything close to minimums:

1. Chase if you have the extra cash if you can do your usual $305 + the statement interest amount you'd make a big dent fast since that's your only card it looks like charging interest currently

2. Citi  $160/month

3. Slate $90/month

4. BOA you only have 5 months roughly left until the balance starts acrruing interest, that would mean like $600/month to hit it...But if you don't have that kind of money to squash it each month do what you can as close to $600 or wait on that August bonus and split the $300 here and on the Chase card $300

Then rinse and repeat with your Nov bonus smack $500 towards Chase and $500 towards BOA

 

 

Above all else don't stress yourself if you can't make that schedule...I would really focus hard on the Chase (interest charging) and the BOA (interest is coming)

Message 2 of 5
SouthJamaica
Mega Contributor

Re: Need Some Advice On How to PayOff My Debt


@Anonymous wrote:

Hey guys, so I am in a tough spot and not sure how to proceed. So first where I am at:

 

5600/7000 Chase Freedom 16.49% (I put 305/mo towards it)

1862/2000 Citi 0% til Sept 2017

977/1000 Slate 0% til June 2017

2990/3000 BofA 0% til Dec 2016

 

So, I had to put my masters tuition on my credit cards, because there was an issue in processing of my student loans. So now everything is maxed out. What stinks is I just paid off everything TWICE now (meaning Slate, BofA, and Citi) one went towards new computer, desk etc. for masters, one went towards tuition. So now I am feeling...i guess hopeless? that its just going to happen again.

 

On the other hand, my Freedom I am actually very excited about, I had that thing at 97%-102% util from April 2012-Jan 2016. I have since cut up the card, and have been making payments of 305 every single month. I get super excited every time the statement cuts to see how far down the min payment has gone, and how much less interest I am paying.

 

My mind keeps wanting to throw a bunch of money at Chase Freedom and kncock out the other ones after, but would they close my cards if they are getting only min payments with no extra activity? I get a bonus in March that will wipe it out so it would only be maxed from now to March.

 

Its just that Chase Freedom debt has been haunting me for YEARS and want it done, but dont want my other cards closed. So what should I do? I am getting a $600 bonus in Aug, $1000 in Nov, $1000 in Dec, and $1200 in Jan.

 


Try to get all cards below 90%

Then 80%

Then 70%

etc

Once below 30% start zeroing out cards, but let one report a small balance


Total revolving limits 741200 (620700 reporting) FICO 8: EQ 703 TU 704 EX 687

Message 3 of 5
Anonymous
Not applicable

Re: Need Some Advice On How to PayOff My Debt

Ok thank you guys for all the advice. So is there any way to know if there would be any adverse action take against any of my accounts if I just focus on Chase Freedom and put everything else on back burner? I mean I wanted to contact B of A and Citi but that would be uh awkward. And its only for like 9 months, and balance will go down a tick every month.

 

I remember Syncrony SP me and made my trade line go down years ago due to "other high balances" but my overall uti is 51% thank goodness for a not in use snycrony card and kay card.

 

I guess I am just trying to talk myself into putting Chase Freedom in the cross hairs and finally pulling the trigger. Any outright negative can come from focusing only on Freedom?

Message 4 of 5
Grafton88
Established Contributor

Re: Need Some Advice On How to PayOff My Debt


@Anonymous wrote:

Hey guys, so I am in a tough spot and not sure how to proceed. So first where I am at:

 

5600/7000 Chase Freedom 16.49% (I put 305/mo towards it)

1862/2000 Citi 0% til Sept 2017

977/1000 Slate 0% til June 2017

2990/3000 BofA 0% til Dec 2016

 

So, I had to put my masters tuition on my credit cards, because there was an issue in processing of my student loans. So now everything is maxed out. What stinks is I just paid off everything TWICE now (meaning Slate, BofA, and Citi) one went towards new computer, desk etc. for masters, one went towards tuition. So now I am feeling...i guess hopeless? that its just going to happen again.

 

On the other hand, my Freedom I am actually very excited about, I had that thing at 97%-102% util from April 2012-Jan 2016. I have since cut up the card, and have been making payments of 305 every single month. I get super excited every time the statement cuts to see how far down the min payment has gone, and how much less interest I am paying.

 

My mind keeps wanting to throw a bunch of money at Chase Freedom and kncock out the other ones after, but would they close my cards if they are getting only min payments with no extra activity? I get a bonus in March that will wipe it out so it would only be maxed from now to March.

 

Its just that Chase Freedom debt has been haunting me for YEARS and want it done, but dont want my other cards closed. So what should I do? I am getting a $600 bonus in Aug, $1000 in Nov, $1000 in Dec, and $1200 in Jan.

 


The basic problem that I see is that you have 3 cards, while they have zero interest, are considered for scoring purposes maxed out.  That means if anything bad happens to you, the possibility to get added credit is severely cut.

 

If you can focus on getting those 3 cards under 80% it will ease the scoring pressures.  You could also try to make small purchases of items you normally buy on those cards.  That would show some activity without hurting your budget.

Message 5 of 5
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