I have $9,000 in credit card debt and I have $9,000 to pay it off. My credit has taken a hit because of how long I’ve carried the debt. I would like some advice on the best way to improve my credit and handle my debt. Should I pay off part of the $9,000 over the next few months without adding any new charges or just pay it all off at once?
If that debt isn’t on a low or zero percent APR, pay it all off at once. Credit card debt can cost you a lot, so get rid of it.
Miller said:
If that debt isn’t on a low or zero percent APR, pay it all off at once. Credit card debt can cost you a lot, so get rid of it.
Using numbers in this situation is definitely a good idea
Pay it off completely today.
Paying it off in full right now matters more than helping your credit (it won’t help). Take care of your finances over your credit score.
Full payment, right now.
Go to your credit card apps and pay 100% of the balance right away.
Just pay all your credit card debt right away if you can. You will feel so much less stressed afterwards.
INFO: Why would waiting to pay it off be better for your credit?
Meech said:
INFO: Why would waiting to pay it off be better for your credit?
Only if the interest rate on the credit card is lower than your savings rate.
The only reason not to pay in full would be if you have no emergency fund and could face unexpected expenses. Focus on getting rid of that debt rather than worrying about your credit score.
Reid said:
The only reason not to pay in full would be if you have no emergency fund and could face unexpected expenses. Focus on getting rid of that debt rather than worrying about your credit score.
Don’t let fear of future expenses keep you from paying it off. Pay it today and stop accruing interest. If emergencies arise later, at least you saved on interest.
@kain
I see your point, but often, people get into a cycle of handling debt and then falling back into it.
Pay it off as soon as you can. Your credit score will take care of itself once the debt is gone. Take care of the high-interest rates first and then worry about credit.
Pay it off right away and don’t spend anything on it until the next statement comes out.
Your credit score will improve over time. Get out of debt as soon as possible. Being in debt is really stressful, trust me.
I agree with everyone who says to pay it off right away. Just make sure to rebuild your savings with the amount you used to pay off the cards.
This has been answered many times before. You can search this forum for more discussions. It might also be better suited for a personal finance forum.
What cards do you have now? Seriously, those interest rates can be brutal.
I’d probably just pay it all off. Credit card debt is awful.
Consider holding back your biggest insurance co-pay and using the rest to pay off as much credit card debt as you can, then tackle the rest quickly.