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URL:  http://boards.fool.com/nancy-you-make-a-lot-of-good-points-to-answer-23593788.aspx

Subject:  Re: Should I pay off a cc with my ING fund? Date:  1/22/2006  9:50 PM
Author:  FIgirl Number:  219063 of 308881

Nancy, you make a lot of good points. To answer your questions:

If you tear apart your savings now, how far back will that put you in terms of your regular snowball?

It shouldn't put me back on the regular snowball - mostly because my regular snowball is a little on the small side. It will definitely reduce the "extra" that I usually throw at the cards at end of month, since that's leftover money which I won't have if I need to up my ING transfers.

Of course, this whole plan is predicated on nothing going wrong. If an unexpected expense comes up, I won't have any cushion and I'll have to reduce my snowball.

Will the other cards just get the minimum until you've saved up enough money to pay your other expenses?

Well, if I knock out the MBNA card, the Fidelity card (actually this is also an MBNA card, so I won't be MBNA-free, rah) will then be the snowball priority, and will get more than the minimum. The other two cards will still just get the minimum.

I don't recall your other minimums right now, but I'll assume that they aren't at the $20.00 level.

Right now, the other minimums are:
Fidelity/MBNA: $315
AmEx Blue: $135
Citi: $42

Do you have other cards that are open? Could you get a cheap balance transfer for one of them, and move the residue?

I do have other cards, but I am loathe to start moving balances again. I did that for a few years before I got serious about debt repayment, so in my mind I associate it with backsliding. Plus, I'm afraid I'll be turned down - I recently got rejected for a CapOne card, probably because I've done so much balance transferring that my credit report is 15 pages long. It's an effort to make the requests, and I don't know if I'm up to making the effort or bearing the rejection (or taking the FICO hit). Yeesh, I sound like a coward. But I don't feel very tough or courageous right now.

If you got a good offer could you call MBNA, tell them you got a good offer, and can they match it?

See above, I guess. Also, they gave me 0% for close to a year on this debt - I doubt they will want to sweeten that deal any further.

The more I think about it, the more I am inclined to take your advice and stay the course. Having the security and sense of well-being/grown-upness that comes with my periodic expense fund is worth too much to me, I think.

Plus, if I'm going to fund my Roth by April 15 that's going to be enough of a challenge.

Still would love others' input, though.

FIgirl

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