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Hello, i figured id come here first before paying for a service. Im in a lot of debt and trying to get my credit back up. ill post a list of everything with APR's below. Im also wanting to get a new car soon thats around 35k. lately i have almost paid off two credit cards. i recently started making good money (1900 a week). which debt would you eliminate first to effect my credit? currently sitting around a 600 depending what company you check. Any help is much appreciated navy fed credit card 18% $129 16th $6500 $6500limit consolidation 18% $195 11th $2267 evo 7.29% $271 11th $8704 checking line 14.90% $50 11th $1400 $1500limit pioneer 23.81% $279 1st $1529 one main 30% $89 1st & 15th $5500 one main 30% $73 1st & 15th $3204 capitol 1 silver 24.74% $59 $414 $2300limit capitol 1 red 24.74% $50 $440 $500limit Navy fed cred.
@Anonymous wrote:Hello, i figured id come here first before paying for a service. Im in a lot of debt and trying to get my credit back up. ill post a list of everything with APR's below. Im also wanting to get a new car soon thats around 35k. lately i have almost paid off two credit cards. i recently started making good money (1900 a week). which debt would you eliminate first to effect my credit? currently sitting around a 600 depending what company you check. Any help is much appreciated navy fed credit card 18% $129 16th $6500 $6500limit consolidation 18% $195 11th $2267 evo 7.29% $271 11th $8704 checking line 14.90% $50 11th $1400 $1500limit pioneer 23.81% $279 1st $1529 one main 30% $89 1st & 15th $5500 one main 30% $73 1st & 15th $3204 capitol 1 silver 24.74% $59 $414 $2300limit capitol 1 red 24.74% $50 $440 $500limit Navy fed cred.
You might want to break down the your list a little better, that is really hard to understand??
The debt to eliminate is all of it
Don't be so quick to spend $ you just started earning. Kill your debt, build an emergency fund, then go into the car you want with a nice down payment, good rate and a reasonable monthly payment.
@Anonymous wrote:The debt to eliminate is all of it
Don't be so quick to spend $ you just started earning. Kill your debt, build an emergency fund, then go into the car you want with a nice down payment, good rate and a reasonable monthly payment.
+1
While formatting is always nice, if you know your APR's simply start paying off the highest first and then move to the next highest.
That will get you out of debt the quickest with the least money spent overall in doing so. Absolutely concur with not buying a new car which is just going to put you further behind: pay off the existing debt first.
FWIW I can empathize: I had a ~70k Tesla on order that I *really* wanted; while I absolutely could have afforded it, I realized it made no rational sense to be burdening myself with additional debt (regardless of financing rate or that $7500 tax credit I would've received) when my current car still has life in it and is completely paid off, and I'm in a situation where I don't have to drive as much.
Being coldly rational about the opportunity cost: I could put that 70k towards reducing my mortgage by 1/3 or otherwise put it into the market instead... either of which would move my marker towards functional retirement up by a non-trivial amount.
I think the best advice I could offer anyone is don't be a blind consumer: absolutely justify any non-trivial purchase and I would suggest a new car is non-trivial for the vast majority of people.
@Revelate wrote:
FWIW I can empathize: I had a ~70k Tesla on order that I *really* wanted; while I absolutely could have afforded it, I realized it made no rational sense to be burdening myself with additional debt (regardless of financing rate or that $7500 tax credit I would've received) when my current car still has life in it and is completely paid off, and I'm in a situation where I don't have to drive as much.
Being coldly rational about the opportunity cost: I could put that 70k towards reducing my mortgage by 1/3 or otherwise put it into the market instead... either of which would move my marker towards functional retirement up by a non-trivial amount.
From what I read in your other posts you have quite a few high flying equities. Consider some profit taking before the mid term elections and using proceeds to pay down the mortgage. I was enticed to purchase a new car back in April ($14k off $69k MSRP). Kept my old car (2006 Accord hybrid with 167k miles) which I still drive 90% of the time.
I could have paid off the remainder of my 15 year mortgage but, instead I have a new car with an additional $900 in yearly insurance. Next week I get to bring the new car to the dealer for some warranty work. Last month an uninsured motorist, driving a car registered in someone else's name with expired plates, nicked my new car's rear bumper. Don't want to file a claim and risk increased premiums. Hope the scratches can be buffed out. The joys of new car ownership
To the OP - As said above, payoff cards with highest APR while also making more than minimum payment amounts on all cards. Not sure what your utilizations are per card but, put a priority on paying down highly utilized cards (meaning 70% or higher) to a more moderate utilization as that may reduce the risk of adverse action such as a CLD.
@Thomas_Thumb wrote:@Revelate
From what I read in your other posts you have quite a few high flying equities. Consider some profit taking before the mid term elections and using proceeds to pay down the mortgage. I was enticed to purchase a new car back in April ($14k off $69k MSRP). Kept my old car (2006 Accord hybrid with 167k miles) which I still drive 90% of the time.
I could have paid off the remainder of my 15 year mortgage but, instead I have a new car with an additional $900 in yearly insurance. Next week I get to bring the new car to the dealer for some warranty work. Last month an uninsured motorist driving a car, registered in someone else's name, with expired plates nicked my new car's rear bumper. Don't want to file a claim and risk increased premiums. Hope the scratches can be buffed out.The joys of new car ownership
Hrm, I may well go do that. Likely things will be confused and the market will react badly and this is going to be my lowest income year for a while so taking the capital gains here might not be a shabby idea.
Appreciate the solid idea, thank you!