How to best tackle this debt?

Answers:1   |   LastUpdateAt:2012-08-12 19:57:03  

Question
mmj
Asked at 2012-08-06 20:30:03
My husband and I have accumulated a large amount of debt piddly little. Most small things like a few hundred to shop local car repair , a thousand local veterinarian, a few hundred in the bills of lawyers , a few hundred on a credit card, etc. We live in a small town and everyone knows everyone , so let companies get away with making payments on unexpected expenses. All said and done we have less than $ 4,000 of debt. Our problem , we have large chunks of cash for only in these small loans. And pick on me because it seems you can never get paid. How should we attack? Focus on one debt at a time? Or out small payments across the board ? Indeed , we have a balance of $ 700 on our credit card alone. It is our only small debts that really takes an interest. I was hoping we would get a tax refund this year of decent size , we could use to wipe the slate clean . We did not . In fact , is another area we must. Only $ 160, but we have yet. Suggestions? Your advice is appreciated.
Answer1daiyanaAnswered at 2012-08-07 00:29:03
First, stop borrowing . Create an emergency fund of $ 1000, then against each debt from smallest to largest (regardless of interest rate) . You only pay the minimum. larger debt , beat them one by one.
Answer2AdewaleAnswered at 2012-08-12 19:57:03
You should try to consolidate that into one loan . You can try to request a new credit card and get the introductory rate of interest of 0 % -3 % with a limit of $ 4 - 5K. Pay bills to transfer all the debt of your credit card to the new and then start paying it all down. A lot of very small debt can ruin your credit rating.
Related Questions
1
  • Answer This Question:How to best tackle this debt?