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Personal Finances / Credit Cards and Consumer Debt


Subject:  Re: The Plan Date:  1/28/2014  8:42 PM
Author:  aj485 Number:  307755 of 312293

So, I feel like the credit card is dirty debt and I want it gone. Eliminated. Sleeping with the fishes.

But...$582 is $582....I'll think about this.

Well, the sleep at night factor is worth something, too. It's up to you to determine if it's worth $582.

However, money is fungible, and the fact that you have debt from stuff that you don't feel so good about vs. debt from stuff that you feel good about doesn't change the fact that it is all debt, and costing you some of that fungible money. So, from a strictly mathematical standpoint, it makes sense to pay off the highest rate debt first.

For another possibility, I've been seeing some 0% - 3% until mid/late 2015 offers on credit cards lately. Do you have any offers available on either of your empty cards? Or would you be willing to sign up for a new card to get a promo rate? Transferring the signature loan to a 0%/low rate card would probably cost you $400 or so (4%). But if it will save you, say $1500 in interest, plus allow you to pay down the other credit card debt faster, it's probably worth it.

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