Which Credit Card Do I Pay off First?
Before you can Fire Your Boss you need to reduce or eliminate all credit card debt.
The most common question I get about credit card debt is which card do I pay off first?
Some so-called “experts” say it is the card with the biggest monthly payment while other “experts” say it is the smallest payment first.
The real answer is the card with the highest interest rate.
If you put your credit cards in order, the highest rate card should be paid as much money each month as you can afford – everyone else gets the minimum payment. After that card is paid off, go to the next lowest rate and so on.
Both the payment amount and the balance are irrelevant. It is the interest rate charged each month that costs you the most.
Coming soon…How to get extra income to pay off those damn cards once and for all!