Pilgrim
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It really depends on the interest rates on the car loan vs the card.
Cards are usually real reamers, they're probably draining you white. If you're willing to cut up the cards, by all means, pay them off.
If you're in a salt-the-roads state, you've got to plan your cars ahead of time, or plan trips to California once every 5 years to buy a good used car with no cancer. So, the more you pay your car down, the more available credit you'll qualify for your next car.
If your disintegrating relationship goes belly-up, your choices may change. If it's a real marriage that's going to result in community property being divided up, it's better to pay off the car if you think you're going to get it in the split. The credit card debt will be split, but a car payment will not be, it generally goes to the one who gets the car all things equal. Though I got nothing when I divorced. |
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Ginger/Virginia
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I'd suggest putting $1,000 aside for a contingency fund. You may need it for deposits on an apartment, phone, etc. if you need to leave this relationship. Put the money where the significant other can't get it.
Use the rest to pay off whichever debt (car or credit card) is charging the most interest. Then cut back your expenses as much as you can and try to get the rest of your debt cleared up.
Make a fresh start, if you can. |
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hahaha
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probably the credit cards, they are most likely higher interest so just go on that...lowest interest rate keep, high interest pay off ASAP! |
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grc
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I would only use half to pay off whatever has the highest interest rate and then put the rest in a savings account and do not it! Use the money when you "have" to have it, like when something breaks or there is a real emergency. |
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maniacus69
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Pay off the car, This way you can switch to a liability only policy. (unless of course you are prone to accidents) You can use the additional money you will save in auto coverage to make much larger payments on the credit cards getting them paid off much faster. |
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hjbergel
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Pay off your credit cards the credit card companies charge nutty interest rates and put whatever is left over into a retirement account I prefer and recommend (ROTH TYPE) accounts the main difference is with a regular (IRA) individual retirement account your money grows tax deferred until you start using it and at that point you pay the taxes on what it earned at a lower rate due to your age where as a Roth type the taxes are paid as you earn interest and when you start taking the money out it's all yours. PERSONALLY I DEPOSIT MY TAX REFUNDS UP TO THE MAX ALLOWED AMOUNT EACH YEAR INTO MY ROTH IRA> My best advice to you is to talk to a financial planner and see what he thinks would benefit you best. |
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dawn18417
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pay off the vehicle first then attack the cards.Being able to drive a round for multiple years without a vehicle payment will give you the opertunity to save alot of money and your next vehicle say in 10 years you will be able to buy with cash, vehicles are depreciating assets, however banks do and will reposse vehicle if payments are not made, this is not true of credit cards.By not having a vehicle payment you also could then use the amount of what the payment was too pay down other debt if you did not want to save it. |
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bootylicious_1baby
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well if u got that from a person u love then u shouldn't but if u did u should pay off ur bills cuz if u dont get that done then u credit will get bad and its going to make geting things like a house or a car harder!!!! |
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Via Bruce
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Only you can know the best answer to this. Normally I would suggest that you pay off the higher rate credit cards. However this is only if you are certain that you can control your credit card spending. If you pay off the credit card now and then run up the balance again, you have not accomplished anything. If you are prone to impulse spending, pay off the car now. You are less likely to borrow against the car because title loans are so much more difficult to get than just whipping out a credit card at the store. Once you no longer have the car payment, start using the extra cash to pay more on the credit card until its paid off. |
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Debbie L
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Pay off the one with the higher interest rate. |
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Chris h
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You don't say if your housing is involved in the disintigrating relashoinship. If it is not, I would put 1/2 toward the highest interest loan and stash the rest. If your home is involved I would stash the entire 10,000. Setting up new houskeeping is VERY expensive, Especially here in L.A.
Good Luck! |
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JazLive
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Buy a house; build up equity; continue the current payments on CC and Car. When your equity builds, you can payoff your CC loans and your car. |
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kristinjoy
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That answer is actually pretty easy.... pay off whatever has the higher interest rate. It's a better use of your money. |
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markinbaltimore
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Pay off the bill that charges the most in interest. Call the bank on the car loan and get a pay now figure. |
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daniel b
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put the 10k in your savings. borrow the 10k using ur savings as
collateral. the interest will be low becuz the loan is guaranteed by
cash. use what u borrow to pay ur bills. |
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Misty B
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This is what I would do: I would pay all but about 2k on credit cards, since they probably have a higher interest rate, and take the money you'd be paying on all the cards and apply to whatever is left. Put the 2k in savings to set up new housing. Assuming you're not married, and you don't have to give up the car, sell it. Use the money to buy something a little older, just as reliable and pocket the difference! It is a wise choice to set up a savings plan of some sort. Good luck. |
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guj1982
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You need at least a few thousand dollars put aside as an emergency fund. The rest should pay off the bill with the highest interest rate. |
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brenthamrick@sbcglobal.net
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Goto www.bankonyourself.com for a way to make a savings plan for yourself. |
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PussyCat MeowMeow
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Your credit card probably has a higher interest rate. So pay that off. |
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Gia S
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Attack the credit cards and put them in a drawer. Keep them, but don't use them. |
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the_biggest_bear
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pay off the credit cards since they probably are at a higher rate.
then refinance your car if you can get a lower rate. in the process of refinancing, pay off a chunk of it.
invest the rest of the 10k in a high yield mutual fund. |
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micky_blueyez
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Pay off the credit card, the interest rates are a *********. put a little back in savings tho. |
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