I would first make the home repairs. Then I would pay off all the high interest cards leaving DISCO at 0% interest. Marcus monthly pay
Those high interest accounts pay a whole 2% . if you pay off the cards you can always use them again. With better scores perhaps in 6 months you can get them to lower interest rates.
Personally, I would do as a few others have said and get the house fixed up, pay off the high interest cards, put $1000 in high interest savings, pay as much as possible on Discover. The money you would be paying monthly for the card payments could go to the savings too so you could build up a good buffer.
As part of my divorce (yay!) settlement, we’re pulling some cash out of the house that I am keeping. I will pocket roughly $25K. I don’t want to throw all of it at cc debt. Some of it needs to go to a few home repairs, nothing major, probably less than $5K.
My cc utilization is off the charts at 80%. The ex was having his checks direct deposited into secret accounts, over drawing the joint account ($37 a throw), and all kinds of gross financial mismanagement. Thus, I was forced to put way too much on ccs (he has none, for obvious reasons).
Credit One $1396 @ 26.15% ($1800 limit) I would pay this
Cap One $898 @ 25.15% ($1500 limit) I would pay this
Ollo $1507 @ 25.74% ($2600 limit) I would pay this
Ulta MC $1373 @29.24% ($2500 limit) I would pay this
Discover $13,142 @0% ($15K limit) This needs clarification...how much longer does the 0% last? If not paid then it will cost a lot.
Marcus/Goldman Sachs $5K @15.99% (unsecured personal loan)
Of course, the utilization is pushing my FICO down. My payment history is 100% on time since 2015 when I had one a 30 day late on a cc. It was a total oops thing.
So, how much cash should I take and throw at the ccs? Which ones?
We should never have gotten into this mess. There was sufficient money coming in to cover expenses. The ex somehow made a complete shambles of things. Everything was hidden from me.
I need guidance on how to fix this. Thoughts? Thank you.
Keep in mind the ones I said I would pay is dependant on being able to pay the one that is at 0% off before the 0% intro rate expires. That needs to be at 0 before then, or they will charge interest from the date of the charges. I would look to either have it paid off by then or get another card with a 0% offer by then to transfer the balance to.
@sarge12, the 0% is on a Discover card. There's no deferred interest.
So once the 0% expires it just charges interest on the balance that exists at that time, and does not charge interest for the time it was at 0?