Debt Support Group

Well, the news that I got a parttime job is amazing! But it made me realize that I need a plan of attack. I tend to just throw money at things willy nilly and hope it works out for the best (not the smartest thing to do!!!). So here is an outline of what I have left and some goals. Which way would you go at it?

CC Mastercard: Balance is $12990.00.  Minimum payment in $301. I always pay at least $650 a month toward this

The Brick (appliances). I have $400 owing that is interest free until March 2010 and then another $1000 interest free until November 2010. I have paid off $600 so far. I am just randomly throwing money at this one as it comes.

Efund is pretty low. Only about $425. I would like to see that higher.

We may need new tires for the SUV, but we have a friend who can get them at cost so hopefully we're not talking too much. I have $150 set aside for that just in case (will likely need more but its a start!)

I already know that I have $600 over the next two months above my normal paycheck because of maxing things out. How should I apply it?

I am thinking of using $400 of it to pay off the part of the appliances that will accrue interest in March so I don't have to worry about it (if I don't pay off the whole thing then I have to pay interest backdated to when I bought the appliances . . . at $29.9%!!!) Don't want to risk effing this one up. That will give me another 10 months to worry about the second $1000.

I will use $200 to boost my efund. This way if I do need tires, there is cash set aside.

Now what should I do with the $100 a week from my parttime job? Do I focus on the appliances to get them taken care (even though its not costing me any interest) of or should I pay more on the CC? Or put it in the efund? Thoughts?

Bex -

"Yesterday is history, tomorrow is a mystery, today is a gift -thats why its called the present."

Personally I would get rid of the appliance debt and put away what you will actually need for the tires (I paid $650 for bottom end tires for my SUV last year so you are probably looking at a good sum even at cost).

Then you can snowball anything you were paying towards these smaller debts to the credit card. You'll feel better knowing that you don't have the appliance debt hanging over your head anymore as well.

JMO
stacy

I suggest a 50/50 split.  50% to the appliances (get it out of the way) and 50% to the efund (feel good money). 

Be prepared for the a high cost on the tires.  My little Cobalt has 17" wheels.  Two tire cost me $245 and that was from a dealer my son knows.  YEAKS!  And with the price of oil going up, they will not get any cheaper. 

(Congrats on the part time job!)

I'm not sure how you think posting this question was going to help you LOL, simply because we all have such different answers. I will try to tailor this to Bex specifically.

Get the appliances paid off asap. It is bothering you because there is a deadline with interest. All extra should go to this.

Write down your goals for the next year and DON'T change them(make one of them a long term one, I think the one for a house or marriage was really great). Try that. You are pulling yourself in so many directions already(and add to it daily it seems) you lose site of the longer term. Take a breather and do some real planning. Don't start anything new for a few months and this will all look very different.

Did you not just get that SUV new? And it needs tires already? Put this one off a bit.

JMO

Love ya Bex!