Pay off credit card or personal loan first?
Date: Sat, 01/29/2011 - 17:07
Just found this site and have been reading a lot. I am making a very concerted effort to eliminate close to $50K in debt across 4 credit cards and a personal loan. In March, I expect to come into about $17K in cash. I have one credit card with balance of $16K and I already turned that into a fixed loan. The interest rate is at 9% and the fixed payment is $371/month. I also have a personal loan with about the same balance at 9.9%, and the monthly payment is $831. Would you suggest paying off the personal loan first and then turn around and use the $831 on the credit card? Seems to me that makes the most sense because it frees up the most cash the quickest.
Thanks for any feedback.
Frank
Thanks for any feedback.
Frank