What say you??
Just a thought,,,,,,,,
Leaving your savings at only 150$ puts you in a tight spot.
I never take from savings except for emergency. Usually I can find some other way to pay something that has come up, allowing the savings to be safe.
Do you have a budget with spending money ? Out to dinner, the movies?
I would opt to pull back on spending and pay as much as I could afford without hitting my savings.
You may pay a bit more interest, but if you cut corners as much as possible you would be surprised at how much you find.
Because the time frame is so short (a few months) and the amount is so small, I would pay the credit card down. Once paid, begin building your savings again.
Should an emergency arise, your safety net is the credit available on the credit card until you build up that savings account again. Most likely you won't need it...fingers crossed, but it's there just in case.
~Feel your emotions, but control your behavior~ Unknown
Given the situation you're in with your SO, my opinion is that the open gaping wound you need to tend to first is getting out of that household.
The credit card debt is a scrape you can patch up later.
STBX WH#2 - 47. DDay 7/12/14
Together 7, married 4yrs
Since DDay, he's drunk by 5pm.
Status - F that guy.
XWH #1 - legally married 18yrs. 12+ OW (that I know of).
I edit often for clarity/typos.
Gaby thanks for your response... I really want to alleviate as much overhead as i can because i know i will need a bed, tv, furniture so having a clear cc balance is a good thing....
Karma thanks for your response...i could build my savings up each pay period... Right mow im working overtime so that extra money can go to my savings. Acct....I also have a 401k if im in desperate need of money.... I do not want to touch it but if i have to i will...
Basically, you need a safety net cushion, and to pay off your short term debt as quickly as possible beyond that, before saving and investing.
I seem to recall he likes your safety net to be about $1000 in savings. In my mind, having the equivalent available in credit is almost as good, so I'd pay off the card.
Except for some things, you do need cash. Some towing, impound lots, bail bondsmen...
So I'd build up that $1000 as fast as possible, and not breathe easy until then.
Then you go after your long-term debt, tooth and nail.
There's a lot more to it, of course, that's why I said to google.
Sounds like something you can only do with a stellar credit rating? Not true! It does take time and effort,and maybe you'll find a rate that's better that will require paperwork and a month to do the transfer, but I encourage you to call around and explore as many options as possible.
Years ago I had a terrible credit rating and some nagging debt, but by calling and making requests and doing some research I was able to make a touchy situation more manageable.
I can tell you that many years later, it was worth it.
Best of luck to you!
[This message edited by Iamhappytoday at 12:23 AM, April 12th (Saturday)]
The money i have in my savings is what i was going to use to pay the cc down.(besides that i only have my 401k). I was thinking of paying abt $560 on it then pay it out in another month.... I'm working overtime so that money will go back into my savings acct....i will def continue putting monies in my sav acct until i reach $1000...
Iam actually the cc was paid off bc we were trying to get the house.. I just put $799 on it when i purchased he wadher in March....i will chk on monday about the lower interest rate...
I checked with the CU about refinance loan... Is that a smart thing to do??...Right now SO pays my car note, the car is in both our names....