I believe if you have money coming your way and are able to pay off a balance then it is better to do so, rather than continuing to pay down (it will cost you less in interest in the long run) BUT only if you have an emergency fund in place already. Based on what you have said, I would put aside the money for an EF, and if there is anything left put it towards reducing debt.
I agree with the previous posters. I would take $1000 out and put aside as an emergency fund and use the remainder to put toward paying down the credit card. The emergency fund really is a life saver and helps
Getting out of debt will feel fantastic! Going back into debt because of an emergency will feel horrible. Get your efund maxed and then plug away at the debt. There are no easy answers here. It takes awhile, but the getting out of debt will be that much sweeter!
I want to thank you all for the advice I will definitely put away into an EF first then start plugging at the debt. I wish I knew this stuff earlier on but the past is what it is. Again thank you all!!!
Based on what you have said, I would put aside the money for an EF, and if there is anything left put it towards reducing debt.
Sarah
http://marilynmonroeshop.info
I would put $1000 into an efund and then pay down the cc with whatever was left over.
stacy
Is your question about what debt repayment will do to your credit score?
Getting out of debt will feel fantastic! Going back into debt because of an emergency will feel horrible. Get your efund maxed and then plug away at the debt. There are no easy answers here. It takes awhile, but the getting out of debt will be that much sweeter!
Good luck.
I want to thank you all for the advice I will definitely put away into an EF first then start plugging at the debt. I wish I knew this stuff earlier on but the past is what it is. Again thank you all!!!
Dawn
I'm sure all of us wish that but sometimes you just have to live it yourself to really have the lesson sink in.
Becky
CL of 4th, 5th & 6th grade Scoliosis