Although more expensive, it might be worth doing it that way for some people if they need the psychological boost of completely paying off a card.There may also be other practical considerations. Recently, I had a choice between paying off my remaining car loan (4.9 apy) or a portion of my credit card debt (at 7%). I ended up going with the car loan because a) it freed up more cash than the same payment to my cc would have and b) in a worst case scenario, if I couldn't make my car payment, it is a lot easier for them to come take it than it would be for a credit card to come after me. Both my wife and I have been laid off a couple times recently (we are in the tech field, and were with companies that died), so I tend to think 'worst-case' a little more than most. If I got laid off again, my bare minimum monthly expense was reduced substantially, and I could count on the car being there.-Brad
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