Paying Off Debts Flagstaff AZ

A reader with credit card debt wants to know whether his repayment plan will work.

A New Beginning Credit Consulting
(480) 695-6435
P.O. Box 30522
Flagstaff, AZ
 
A New Beginning Credit Consulting
(480) 695-6435
P.O. Box 30522
Flagstaff, AZ
 
Finefrock Law Firm Pllc
(480) 584-4886
770 N Monterey St
Gilbert, AZ
 
Law Office Of Randall J Craig PLLC
(480) 767-0400
9449 N. 90th St. Suite 207
Scottsdale, AZ
 
Sun Country Credit Union
(623) 975-2100
19436 North R H Johnson Blvd
Sun City, AZ
 
Global Debt Solutions
(480) 429-3807
7201 E Camelback RD
Scottsdale, AZ
 
Past Lives Healing LLC
(928) 300-1611
31 Spur Circle
Sedona, AZ
 
Kersting Zalena M Atty
(480) 345-2300
633 E Ray Rd
Gilbert, AZ
 
The Credit Pros
(928) 420-9352
1183 Luane
Prescott, AZ
 
LifeLock
(480) 457-5110
60 E. Rio Salado Parkway
Tempe, AZ
 

Paying Off Debts

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Q: I have three active credit cards. My VISA balance is $1,726, MasterCard is $330 and First Premier Bank is $248. I was thinking of paying VISA just the minimum monthly payment for a while. I was thinking of sending MasterCard $100 every month to keep the balance at a manageable level. And I send Premier Bank $20 every month.

In your opinion, is my plan a smart one and should I keep following it? Thank you.

A: Your plan seems fine since you only owe a total of $2,304. You should be able to knock out this debt very quickly, especially if you get a little more aggressive and try to pay $200 toward the debt each month, which would help you pay it off within 15 months if you don't add more debt to the cards.

(Editor's Note: In most cases, you'll be able to cut your debt faster by first paying off the debt carrying the highest interest rate. Most credit counselors recommend prioritizing your repayment based on the interest rate - highest to lowest. However, this reader didn't mention which of his credit cards has the highest interest rate.)

I might try this approach. Pay half toward First Premier Bank ($124 or more) when the next payment is due and pay the minimum required payment to the other two accounts. In two months, First Premier will be paid off. Then do the same with the MasterCard account paying $165 for two months in a row and paying the minimum Visa payment. Once the MasterCard debt is paid off you can focus totally on eliminating the Visa balance with a monthly payment of $200 or more....


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