Hi there!
I have an idea of the best line of action for this, but I wanted to check if I would be making the right decision. Here’s the situation:
On my DiscoverIt credit card, I have a value of roughly $500 in rewards. There are a few options on hour to redeem it; cash in my bank account, a credit on my Discover card, or for gift cards, where Discover would add an extra $5 to each gift card (ex: $25 gift card would only cost me $20).
Here’s where I’m tied. I have roughly $11.5k in credit card debt, which is about 16% utilization on my total credit. My Discover card has an $8k balance from a balance transfer I did that is not gaining interest currently. I have an American Express card with about $3.5k on it, which is gaining interest. My student loans total to about $100k, and are in deferment until May. I also have developed a savings account with American Express that yields an interest rate of 1.7% APY. Should I use that $500 to: •Pay down my DiscoverIt card, •Transfer the $500 to my bank, and pay down my American Express card, •Redeem for gift cards to places I’d use, rather than swiping my cards for it, •Transfer the $500 to my bank, and put it into my savings, or •Transfer the $500 to my bank, and put it towards my student loans.
Thank you in advance, and thank you for reading this far!!!
Submitted December 30, 2019 at 07:50PM by skwx https://ift.tt/36boXzf
