Which should I pay first?

liveandchi · #1 (**permalink**) 02-24-2005, 08:00 PM

I'm coming to the end of another month and it doesn't look like I will be able to pay all the bills again since I will need to pay taxes, so I'm not sure which ones I should pay first. These are the ones I have to pay

credit card
mortgage
phone
electricity
car
equity loan
cable
cell phone
gas
garbage
taxes

What order is the best way to pay them?

Momof3grls · #2 (**permalink**) 02-24-2005, 08:20 PM

If it was me & sometimes it is me I pay CC & mortgage first then taxes & then car & equity loan of all these cable & cell phone & home phone should come last I would even disconnect cell phone & cable if you can & I myself have done just that discontinued these extras. I know too you may need your home phone but they will go longer before shutting you off than say electricity or water on those if you are late they wont be too considerate

Tree0164 · #3 (**permalink**) 02-25-2005, 05:16 AM

Mortgage is always the most important thing. You need a house over your head. Then home equity loan. Electricty would be next.

PrincessPerky · #4 (**permalink**) 02-25-2005, 08:47 AM

thirding the vote to pay the house first, then

If you live in PA or many other cold states, they will not shut off the heat (gas or electric whichever it is) till the weather warms up. you might have to inform them of the way you heat the house though.

Also the garbage charges the smallest late fee around here, and tend to absentmindedly pick it up even if you have been dropped.

And I dropped the phone myself.

DivaJen · #5 (**permalink**) 02-25-2005, 09:45 AM

Quote:

Originally Posted by liveandchi

I'm coming to the end of another month and it doesn't look like I will be able to pay all the bills again since I will need to pay taxes, so I'm not sure which ones I should pay first. These are the ones I have to pay

credit card
mortgage ***
phone
electricity **
car *
equity loan ***
cable
cell phone
gas **
garbage
taxes

What order is the best way to pay them?

Three stars was my highest priority. I gave the car one star and assumed you haven't missed any other payments there and aren't in danger of it being repossessed.

gypzye · #6 (**permalink**) 02-27-2005, 11:14 PM

Can I disagree about the electricity? I was given to understand that even if you haven't paid the bill, the company has to provide it to you. All you have to do is call and complain and explain hardship and they'll turn it back on.

Definitely the car is the last priority, providing you haven't missed any other payments. Also the CC, if you're otherwise current. Missing one month isn't a huge deal. It'll ding your credit and assess a nasty late fee but they're not going to come repo your TV or anything.

I am sorry to hear about your situation.

Oh, one more thing... taxes. The IRS will give you a payment plan if you haven't had one in the past. Just one thing to consider.

amomof4 · #7 (**permalink**) 02-28-2005, 11:55 PM

If you cannot afford your bills, it would seem that you need to get rid of the ones that are not essential such as phone, cable, cell phone, internet. Go to about.com for a grocery list to feed a family of 4 for $10. If you do this one week a month, maybe you will be able to afford your bills?

gypzye · #8 (**permalink**) 03-01-2005, 12:01 AM

It is not always practical for someone to just drop their cellular coverage, as often the early termination fees will practically eat you alive.

And it's possible that they need their phone line to work from home, or their internet for a home-based internet business. It would do no good to get rid of a source of income, hmm? Or, for me, my entertainment. We spend $80/month on our cable & internet (although I'd be perfectly happy with the $16/month cable package, but he insists on the $40/month one; whatever, he pays the extra, lol!) but that is basically IT for our frivolous and entertainment expenses for two people for a month. If we didn't have those, we'd spend a whole lot more going out to eat, to the movies, shopping for fun because we were bored sitting at home, etc... we consider it a frugal investment.

No judgement here, liveandchi. I figure if you're on this site, you've already considered what was a reasonable or necessary expenditure.

gypzye · #9 (**permalink**) 03-01-2005, 12:02 AM

....however, could you point me towards the article you mentioned, momof4? That sounds very interesting and I'd love to give it a try.

amomof4 · #10 (**permalink**) 03-01-2005, 10:02 PM

My mistake. It wasn't about.com, it is budget101.com. That is there home page. Here is the link for the $10 weekly shopping list:

http://budget101.com/$10_grocery_list.htm

But check out thier home page. They have a lot of neat stuff on it.

mom-from-missouri · #11 (**permalink**) 03-01-2005, 11:23 PM

As a utility company employee, let me tell you....We have the right to cut you off if you are 1 day late. BUT, as a coursety, that normally is not the case. The cold weather rule only applies to your heat source-if you heat with electric, but also have gas for the hot water heater, then the gas can be turned off. The cold weather rule also is only in effect certain times of the year, and even then, only during certain tempature ranges. But, if you call the utilities-they will make payment arrangements with you providing that, you are not more than 2 months in arrears already and providing that in the past you have kept any such arrangements. If you are constantly late on your utilities, the company has the right to demand additional deposits at any time. Just calling and saying you are short of funds, doesnt always mean they will keep you on. In some states, a letter from the doctor will help-providing you have a medical situation which requires you to have a phone, or electric... Lastly, if you are turned down by a rep when you ask for payment arrangements, you can ask for a supervisor, or call back and perhaps get a different rep with a different attitute. But again, your past credit history with that company will have a lot to do with their decision.

Tree0164 · #12 (**permalink**) 03-02-2005, 04:11 AM

Live,
What have you decided to do?

gypzye · #13 (**permalink**) 03-02-2005, 08:03 AM

well that explains why I couldn't find it! Thank you.

Mom from MO, that you for that clarification. I was sketchy on the details.

loveofpets · #14 (**permalink**) 03-02-2005, 05:58 PM

I have to disagree that the car is last --especially if it's needed to get to work. Personally, I consider my cable and cell phone to be a luxury item- and one that I could do without if I had to. Perhaps DISH network would be cheaper than cable? I know in DE it tends to be. There are other ways to entertain yourselves - read a book, play a board game, go for a walk, get to know your neighbors, spend some time volunteering at a hospital, animal shelter, or whatever. Also, if you live near a college town, colleges or universities often have a wonderful array of free or very low cost sessions with guest speakers, movies, etc that are much cheaper than mainstream, and tend more educational.