Is it better to pay of one debt completely or make equal payments to several debts?

[Date_a_Snob]

scenario - you have three credit cards... it is better to pay $1000 towards the first card and pay it off completely or is better to pay $300 towards each card?

[Sirenboobzilla]

You effectively have 3 options:
1.) Make equal/semi-equal payments between all. This is the least effective method as it's going to wear your finances thin.
2.) Pay the minimum on low interest cards while focusing higher. Payments on the highest one. Takes longer to pay them all off, but a safer route than option 1.
3.) Transfer the balance of the 3 cards in to 1. Many banks offer cards with balance transfer promotions. Those promotions can easily start at 0% for an average of 12 months. Sometimes more. This is by far the most beneficial of the 3 as you're consolidating all 3 cards, saving on the interest, and it makes it easier as your managing 1 payment a minty vs 3 separate ones.

[Friendlybro79]

@Sirenboobzilla For the win. All this.

[Lliam]

Option 3 is the best, especially if you transfer the balances of all the cards to the one with the lowest interest rate.

[Anonymous]

Probably all at once because that way you still have the cash in your hands. I pay debts off right before extra fees or charges can be applied.

[Static_In_The_Attic]

Debt is debt & as for you I would recommend paying off the card with the highest interest rate & if all the interest rates are basically the same pay off the card with the lowest amount of debt & after you do that put the card away & don’t use it.

When it comes to buying there are WANTS & there are NEEDS & as for you & as for you when you go to buying something you are going to have to separate the two & only buy NEEDS & not WANTS.

Start cooking your own food, don’t eat out, don’t take extra trips to buy a over priced coffee when you can make it at home. Cut out side bullshit spending.

Your goal is to become debt free, you can do it!

[smne35]

Well posting 300 towards each card is stretching it out which means stretching out interest your paying reach mouth also if your able to pay it off completely don't but keep a balance small enough to manage, if you pay then if completely and not use them the card issue can cancel the card for inactivity, what I do is put like Netflix on one that way that's monthly activity and pay the 10 bucks off each month on other card I keep a small manageable balancei slowly pay off not much like 50 bucks and use in emergency only what ever I purchase pay cash for it and don't get tempted by offers thrown at you by credit cards company

[NaultD]

First minimum payments to all. Then the order is highest intrest to lowest.

Just imagine getting eaten alive by a pack of dogs. You feed the biggest one taking the biggest bite. Biggest dog fed and gone you got more to feed the next and the next.

But Let say you get some extra money and it pays off a small dog credit card to fuck off and it helps you breath better, gain more mental bandwidth helps you take on the biggest dog longer. That is non dollar value in that as well but dollar for dollor value, pay off the big dog and punt the little shit dog last.

[Fireguy17]

Pay off the highest interest one first and make the minimum payments on the other 2.
Then when that card is paid off keep making the same payments on that card plus the minimum you were paying on it, and when that one is paid off do the same on that card and you will be paid up sooner than you think.
Carrying a balance on 1 card is bad enough, not to mention multiple cards.
My other advise is to cancel 2 of them and don't charge more than you can pay off in 1 month.
It is too easy to get behind and the interest they charge is obscene, and it is almost impossible to get out from under.
That $100 item you charged will cost you thousands by the time you get it paid off.

[Anonymous]

I think it’s better to make the minimum payments on all the credit cards. But to also pay the most to the lowest balance also. That way it’s paid off quickly. It gives you a sense of achievement having paid one off. Once you pay that off than you add whatever amount you paid to the first credit card in addition to what you normally pay to the second credit card. Then you add what you used to pay to the first and second credit card to the last one. If your highest debt is a $1000, you’re not going to pay an extreme amount in interest on it. You would divide $1000 by 12 months, then times it by the interest rate to see what your interest would be each month. You could transfer balances to a new account like some people suggested, but there’s usually a fee on that. So you’re just adding to your debt.

[BoopBoopBeep]

Pay the highest interest first. Doesn't matter when you pay of who, but might as well minimize the fees and whatnot you're paying along the way. My mortgage is at 3.2%. I'm in no rush to pay that off early. If I had a HELOC opened tomorrow it'd be at 6 or 7%. Obviously that would be the one to hit first because on 10k balance that's nearly an extra $300/year, for example, that's getting tacked on.

[RavVid]

Best to minimize interest & charges. So paying towards all cards would be better but terms and conditions might be different e. g. zero interest for 3 months.

[Miristheiss]

Pay off debts.

Dave Ramsey approach. Payoff your debts one at a time from smallest to the largest.

[NathanDavis]

check out the interests... and what @Sirenboobzilla said, next

[love_conquers_lust]

Pay it off as quickly as possible to minimize compounding interest. However, if that interest is less than any opportunity cost you would occur, then it’s better to amortize.

[Sparkie460]

Pay off the one with the highest interest rate first. Put more money towards that one than the others. Once that is paid off, you work on the next highest rate.

[jamesgoldman]

If you can clear one clear one

N. b. I've just had my AMEX card cancelled for not using it

[BoopBoopBeep]

I put recurring charges on each card to keep them from getting cancelled. Utilities and amazon cards mainly since those are rarely bonus categories for airline miles

[jamesgoldman]

I think I'll have to do the same thing when I get a replacement sorted

[Mark987]

Pay several debts. I work in finance the worst debts to have are.. ( dept store credit card debt)

[msc545]

Pay in order of interest rate from high to low, assuming you are not late on any of them. If you are late, pay that first.

[jahaims]

You have 3 credit cards and don't know how interest works?

[Likes2drive]

It’s better to pay off the higher interest rate cards first

[Anonymous]

Make an effort to transfer the three cards into one at the same bank, and look for offers for a lower rate.

[Date_a_Snob]

in this scenario that isn't an option

[Opinion Owner]

Then pay off the one with the highest interest rate first.

[JamesRandiDebates]

Pick the one with the highest interest rate to pay off first, while making minimum payments on other debts.

[Twalli]

I think your score is better if you pay off each card individually.

[LunarEclipse433]

Pay off the one with the highest interest rate first

[Jerre]

Pay off the highest interest card, then work on the others.

[Amur8711]

Prioritize paying the higher interest rate one's first. But also if you have any that are very close to getting paid off, do those too.