Flashback: Choose carefully which debt you repay first
Free Money Finance hosted Carnival of Debt Reduction #12, and the post by Retire at 30 entitled Don’t Repay Your Student Loans isn’t exactly the crux of the post, but the point inside is a good one. Some loans are worth paying off early. (Actually, all non-productive loans are worth paying off as quickly as possible.) But given the choice between a credit card balance and a student loan, paying off the credit card balance before accelerating the student loan payment is usually a good thing. The terms of a student loan are usually a whole lot better than credit card terms. In the case of Retire at 30, the student loan interest rate was 3.43% which is actually less than inflation now, so it’s really super cheap money. It may be even advantageous to invest the money instead of pay it off early. So, the point of the article is, pay off the debt, but if the terms are really good, don’t necessarily hurry.
Related Posts - Flashback: Pay down debt before you save a lot K's Financial Progress hosted the 4th Carnival of Debt Reduction. The top article on that carnival was written by Jim over at Blueprint for Financial Prosperity: Don't save, pay off debt! His argument is a good one. If you have a lot of credit card debt or loans to pay......
- Man vs. Debt has posted the Marathon Carnival (UPDATE 5/10: Dang, I forgot the link again! Sorry about that!) Thanks to Man Vs. Debt for hosting this week's Carnival of Debt Reduction! His picks for this week: Ask Mr. Credit Card interviews Tricia from Blogging Away Debt following her elimination of $37,614 of credit card debt! Money Ning......
Related Websites - Everything You Need To Know About Credit Cards Over the last twenty years, credit cards have become one of the most common ways to purchase items. No longer just for financially established people, now almost anyone can obtain a credit card as soon as they become an adult. This easy access to credit cards has become a problem......
- How to Negotiate with Credit Card Companies to Reduce Your Debt Today's article is a guest post by Andrew Wang... With consumers facing tough times in the wake of the financial crisis of 2008, it's a good opportunity to discuss the possibility of getting your credit card debt sorted. Most people assume credit card companies care only about the profits they......
[...] Read the rest of this great post here [...]