pay off 2 low interest lie amount cards or 1 high high interest card first

[grebber]

Ok I have $1200 and a $1500 cc that both under 10% interest rate. I also have a home depot card with like $6300 on it. I have been paying on that card faithfully every month $200 bucks. I thought I was doing ready good. Well before I decided to take charge of my finances I never paid attention to my statements. Yesterday I looked at the home depot statement and turns out I have been paying $125 in interest this whole time. I am literally sick to my stomach. Money thrown away!!*Well I get a nice size bonus at Christmas every year and was going to use it to pay off the home depot card and work on paying off the 2 smaller cards until then. But now that I seen that all my money is doing nothing for me on the home depot card I'm starting to wonder if I should just Focus On that card first. It's interest is like 29%*Any suggestions?*

[JoeP]

I'd focus everything on the HD card.

Not to beat you up, but how the heck did you rack up that much on such a high interest card? Hopefully, this will be a learning experience!

[disneysteve]

I would definitely focus on the 29% card and pay the minimums on the other 2. I'd be cutting back everything I could and selling everything I could to get that paid off as soon as possible.

[grebber]

Kitchen remodel. Had zero interest for 6 months and thought I could pay it off.
One thing led to another and that never happened.
Your not beating me up. It is what it is and now I'm paying for my mistakes. You can bet that will never happen again.
I opened my eyes and realised that I have done really dumb things in the past. Now I'm fixing them. That will be paid off in December at the latest

[JoeP]

Good news you're paying it off, and I wish you the best! You'll find this group to be very supportive.

Dave Ramsey has often said that even those 0% offers can make you poor. It feels like free money, and while most have the intention of paying it off before the deadline, some are not successful. Some of these offers will charge you retroactive interest accrued during the "no payments" period (furniture stores are famous for this) if you miss the payoff date by even a day.

[grebber]

Called hd and found out the interest rate is 22 and not 29.98 like I thought. Better but still discusting

[Petunia 100]

How is your credit rating? If you have good credit, there are plenty of 0% balance transfer offers out there, some with no balance transfer fee to boot. Get one and transfer all of your credit card debt to it. Then, pay it off as quickly as you can. The no interest part will really help.

[grebber]

My cedit rating is good so that's a good thought

[Permanent Temp]

I second the balance transfer idea. I have a card with a rate like this because I missed a payment 7 years ago and they still refuse to lower my interest rate although I recently got them to convert it to a rewards card after calling them up and telling them I had no reason to activate it unless they did something for me. I had about 2.8K on it. I put every last bit of money I had toward paying it off and never looked back. I used to make 200 payments on it which would still only make a small dent.

I say do your best to throw as much money toward it as possible for now until you can transfer it and then don't use your home depot card again. It was a hard lesson to learn but you know now to not charge something with a 0% rate for x amount of months. I had a teacher that explained this to us in high school. I'm glad because aside from a couch I bought right after college and put on my credit card I've always made purchases with money I know I have.

[grebber]

you are so right. Lesson was learned. That card will never see the light of day again. Should just close that account down when it'soaid off

[dojo]

Oh my God. 22%? 29% ARE THEY OUT OF THEIR MINDS?

Yep, I'd do anything possible to clear out that debt. It's horrifying what interest some of these 'zero interest rate for 6 months' cards carry. Good luck