Savvy Spender
Live Well For Less

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    More on Getting Out Of Debt

    Tuesday, October 25, 2005
    Please be careful about how you get out of debt - I have heard a ton of really bad advice lately. The worst is to pay off the smallest amounts owed first regardless of interest rates. This is terrible advice!!! The fastest and smartest way to pay the least while getting out of debt is to pay off the highest interest rate loans first, regardless of the payment amount due. This will save you a ton of money and create a snowball effect. Once you pay off the highest credit card by putting as much extra as you can on the payment, then take that payment amount and apply it to the next debt. The first step is always the hardest, but pretty soon you will see that your debt is disappearing. Disappearing debt is cool!!!