(Closed) Pay off debt or save?

posted 7 years ago in Money
  • poll: Pay off debt immediately or continue to pay off in pieces
    Now! Why not, you have the money! : (48 votes)
    94 %
    Pay it off in time. Just save your money. : (3 votes)
    6 %
  • Post # 3
    538 posts
    Busy bee
    • Wedding: October 2013

    If I were you I would pay it off now to save on the interest.

    Post # 4
    981 posts
    Busy bee
    • Wedding: June 2012

    Pay now! The money you are paying in interest is a total waste!!!

    Post # 5
    2854 posts
    Sugar bee
    • Wedding: May 2012

    Pay off the CC based on interest rate first (highest to lowest). Then divide the min payments within the time frame of your furniture loan and have that paid off before (if?) the interest rate goes up.

    Are those numbers right, you maintaint $20,000 in your checking account? How do you calculate your emergency fund needs?

    Post # 6
    654 posts
    Busy bee
    • Wedding: October 2011

    If your credit cards have an interest rate (and of course they do) absolutely pay that off.

    Post # 7
    2018 posts
    Buzzing bee
    • Wedding: December 2010

    That is not a lot of debt compared to your savings. Definitely pay it off in this case so you don’t incur any more interest charges. Then just make a purchase or two each month and pay it in full to keep your credit rating up. You’re a smart, lucky girl:)

    Post # 8
    5655 posts
    Bee Keeper
    • Wedding: April 2011

    As long as you have your emergency funds in a good place I say pay off debt…..

    BUT that’s only if you’re going to stop using your CC… cut them up or freeze them. Otherwise all you’re doing is paying them off to throw your money away.

    I personally would pay them off and then possibly keep the one with the highest limit frozen in my freezer… just incase I ever needed it (which since you have a good emergency fund should be never)

    Congrats to already having paid off your other debt! I hope to be able to tackle mine head on in the next year!!!!

    Post # 9
    5668 posts
    Bee Keeper

    You already have an emergency fund so I’d definitely say pay it off now. After it’s paid off you can go back to being a miser. If it helps you can think of it as saving money by paying it off now because you’ll be paying less in interest.

    Post # 11
    2854 posts
    Sugar bee
    • Wedding: May 2012

    @claireos: Wow. I so want a big person job so I can have that kind of safety net (I’m a student). Just think of that awesome “I paid it off” feeling and focus on that. πŸ˜€

    Post # 12
    7173 posts
    Busy Beekeeper

    Always pay off debt before you save.  And, if the 20K is an emergency fund, you might as well put it in an interest yielding CD.  It will still be there if you need it, but at least you’ll be earning interest on it (assuming you don’t already).

    Post # 13
    893 posts
    Busy bee
    • Wedding: May 2013

    @claireos:  Kill the credit card debt!  Increasing savings money will make you happier than paying credit cards monthly. =)

    Post # 14
    132 posts
    Blushing bee

    Definitely pay it off.  If I were in your postion, it wouldn’t even be a question. 

    Post # 15
    16213 posts
    Honey Beekeeper

    Because of the interest you’re paying on your debt alone, I say pay it off

    The topic ‘Pay off debt or save?’ is closed to new replies.

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