What would you do?

[vsjhoc]

Originally Posted by BPASWA

What to do.. I have a CC with a $5000.00 balance. 4.99% I have a High interest savings account earning 5.4% with good amount of money in it. Do I go ahead and pay off the CC or do I leave it be, and continue to pay the minimums or a little more. I'm going to be in the market for a new house so I want to have as much $$$ as I can at my disposal. My credit score is already in the high 700 So by me paying the CC might not really gain me to much. So if any of you folks have some thoughts or ideas please feel free to let me know what you would do.

Thank you

According to this calculator, if you make only the minimum payment of 2% on a $5000 debt @ 4.99% APR, it will take you 20 years to pay off the balance, and you'll pay over $1200 in interest.

If you pay an extra $10/month, it will take 11 years, and if you pay an extra $25/month, you'll pay it off in 7 years.

If it were me, I'd be paying it off sooner rather than later.