The Motley Fool Discussion Boards

Previous Page

Personal Finances / Credit Cards and Consumer Debt

URL:  http://boards.fool.com/mini-dance-13728067.aspx

Subject:  Mini Dance Date:  11/17/2000  10:59 AM
Author:  JRockne Number:  49624 of 312189

I paid off my United Airlines Card with savings yesturday. While I don't like to drop my savings, I felt that I needed to do this. Now I only have once card with a balance (at 3.4%) and my student loans.
My total debt is down to $15,000 (It was $50,000 eight years ago).

Side note: My debts would probably have been paid off by now if I had not fully contributed to 401ks and IRAs along the way. But I felt that it was important (and still believe it is important) to take full advantage of these savings vehicles.

Now here's the next question...

I now have a considerable amount of money in my retirment accounts (enought that if i let it go for thirty years and made no further contributions I could probably have a decent retirement). I have some savings accounts that are earmarked for college education of my two year old daughter and other "short term savings."

Should I stop contributing to retirement accounts and stop other savings until I slay the debt dragon?

I know how to do the math and the math says that probably should (at least with respect to the short term savings). I'm interested in the psychological affect of paying off the debt.

What do you think?

--Joe
Copyright 1996-2018 trademark and the "Fool" logo is a trademark of The Motley Fool, Inc. Contact Us