So I got about 35k out of my house refinance that I plan to use to payoff some credit cards, personal loans, or student loan debt. I have a lot of debt, but relative to my income it’s not bad. I want to get rid of it fast now though. I am familiar with the debt snowball method Ramsey teaches, where you pay off smallest loans first. Another way is to pay off highest interest debts first. I have another approach I am thinking about.
What if I figure out which debts I should pay off to give me the highest net cash flow? For instance, I have a student loan about 10k. Interest rate is low, but it takes $250 from me each month. Then, I funnel that 250 to my other debts, to really get the snowball going. What do you think?
Submitted November 20, 2021 at 09:37AM by poolhero https://ift.tt/30KFxZv
