Archive for March 29th, 2010
What to pay off the Dave Ramsey way?
jjhull03 asked:
I am about to start Baby Step 2.Here are my debts and interest rates: $2343 personal loan for carpet at 0%, $1590 personal loan for braces at 0%, and a student loan for $19500 at 1.625%. I have the cash that I can pay off the first loan, and the braces I use my flex health account at work to pay for pre-tax. However, with both of these at 0% should I just keep making the minimum payments and put the money in a high interest savings account? Or should I pay off the carpet now and the braces at the start of the new year when my flex account has money again and start paying double on the student loan? I think you will all tell me to pay them off and snowball, but I’m so scared and nervous!
Fermin Goldsworthy
I am about to start Baby Step 2.Here are my debts and interest rates: $2343 personal loan for carpet at 0%, $1590 personal loan for braces at 0%, and a student loan for $19500 at 1.625%. I have the cash that I can pay off the first loan, and the braces I use my flex health account at work to pay for pre-tax. However, with both of these at 0% should I just keep making the minimum payments and put the money in a high interest savings account? Or should I pay off the carpet now and the braces at the start of the new year when my flex account has money again and start paying double on the student loan? I think you will all tell me to pay them off and snowball, but I’m so scared and nervous!
Fermin Goldsworthy