GRS Home  Forum Home
Bank Rates Center
   Savings Account Rates
   Money Market Rates
   Highest CD Rates
Insurance Rates Center
  Auto           Health
   Life              Home
Mortgage Rates Center
  Mortgage Rates
  Mortgage Quotes

Last visit was:
A place for Get Rich Slowly readers to ask questions
and exchange ideas
It is currently Fri Apr 18, 2014 6:12 am




Post new topic Reply to topic  [ 2 posts ] 
Author Message
 Post subject: Tip that may help those getting out of debt
PostPosted: Tue Dec 18, 2012 9:39 am 

Joined: Tue Dec 18, 2012 6:00 am
Posts: 21
I started this a few months ago and it works pretty good. Get an Excel spread sheet. Create a list of all your accounts in one column, the interest rate in another column, the balance in a third column, minimum payment in a fourth column, and then calculate how much interest you'd pay if you just did the minimum payments each month. Then create another column that shows the interest you save by paying double or more of the minimum payment. That can be incentive enough to pay more and spend less.

Eg. A card with a 1,200 balance paid 28/mo (min payment) equates to paying 2840 in interest at 27.00%. It also takes 12 years to pay it off.

Now paying 3x that, can reduce it down to 17 months, and save you $2590 in interest charges. $56 is like cutting the premium stations on your cable provider for 17 months, and maybe finding a gym that's $20/mo instead of $30 or $40 per month.


Top
Offline Profile E-mail   
 Post subject: Re: Tip that may help those getting out of debt
PostPosted: Sat Feb 09, 2013 6:34 pm 

Joined: Fri Jan 18, 2013 7:21 am
Posts: 95
Location: New York
Perhaps but wouldn't this make me pay more than the minimum on low rate, high balance cards instead of using that to further pay down high rate cards?

_________________
http://debtblag.com

Track my fiscal fitness with $0.5 million in debt: http://getrichslowly.org/forum/viewtopic.php?f=11&t=61052 Latest update: As of April 16, I've paid off $21,400 in credit card debt this year (after starting with $35k)


Top
Offline Profile E-mail   
Display posts from previous:  Sort by  
Post new topic Reply to topic  [ 2 posts ]  Moderators: bpgui, JerichoHill


Who is online

Users browsing this forum: Yahoo [Bot] and 4 guests


You cannot post new topics in this forum
You cannot reply to topics in this forum
You cannot edit your posts in this forum
You cannot delete your posts in this forum
You cannot post attachments in this forum

Search for:
Jump to:  
cron
Powered by phpBB © 2000, 2002, 2005, 2007 phpBB Group
Theme created StylerBB.net & kodeki