Help!

[danimarie0820]

I want to work on paying off my credit cards. I have about $1500 in credit card debt and so far $12,000 on a student loan. I was told to help make paying off the credit cards easier to apply for a card with a 0% interest on balance transfers. Any opinons?

[frugalfarmwife]

Most 0% balance transfer cards have a 3% fee, that said, if you can get it transferred and paid off before a regular interest rate kicks in and can KEEP YOURSELF FROM USING THE CARD then by all means yes this is a good way to go. I did that last year to pay off some dental work, I just really buckled down and paid that puppy off within 5 months

kj

[danimarie0820]

Ok thank you! Do you recommend any company? I heard chase is a company to stay away from. I'm going to tackle the high interest rate one first. I want to close the accounts when I pay them off but I heard that isn't good.

[frugalfarmwife]

Closing the accounts will actually ding your credit, especially if you've had them for a long time. I'd keep them, put them where you can't get them, heck freeze them in a block of ice, lol.

Just keep that goal in mind

I got the best deal with a Discover card to do this.

We do use a CC, but only for gas and pay it off monthly, we earn 3% on all gas purchases so they pay US to use it

kj

[Edna_E]

Your credit is partially dependent upon the ratio of your actual debt to your available credit - so cancelling the cards does hurt rather than help. I'd just work at paying more than the minimum on the CC - you'll be surprised how fast the extra payments take it down, because they not only reduce the principal, but they reduce the total interest you are paying also.