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    #16
    i think this method is good for one reason; phycologically, you feel like you're making progress.
    Otherwise, if you have the descipline, there's no reason why the old 'highest interest first' wouldn't work for you!

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      #17
      The one reason in getting rid of the smaller debtf first is as fairy76 said above. When you have alot of different debts and feeling overwhelmed; getting rid of a few smaller debts eases the load. You have got to consider the time, envelopes, postage, and general keeping track of more debt. It gives you a feeling that you can do it and getting somewhere. Some people need the visuals to motivate them. Another factor is that the monthly payment on even one of the smaller debts could be a high one and you could get rid of it faster as to use the money on the next debts.

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        #18
        Just beginning the journey to debt resolution

        We almost did it yesterday. Almost gave the Turning Debt Into Wealth company 12,000.00 for a year of coaching. They hinted at the concept, pay of smaller debts first, roll the payment we were making in to the next debt. We asked for 24 hours to sleep on it, did some googling and found this site! Jeffrey's page on exactly this concept motivated me to restructure my excel spreadsheet, to lower all my card payments to the minimum and to pay off my smallest card balance. I will now take my old payment that I was making on that card and roll it into the next card balance added to the old payment I was making on that card (always made higher than min. pmts). I will have that card paid off in 2 months. By loweing the payments on the cards that are not yet in line to get paid off I loosened up my rent payment for my business so I will no longer go into overdraft when my rent check hits the bank (at 26% for cash advance!). I am so excited to have found this site and am sure I will get the support and mentoring I need just from reading the blogs! Anyone have suggestions for me? Is this the right thread to stay connected to? Thanks Jeffrey!

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          #19
          momo2winz: Welcome. I think alot of us came to this website looking for alot of answers. You sound like you're off to a good start. Keep reading. There's alot of information here that can help you.

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            #20
            Originally posted by momo2winz View Post
            We almost did it yesterday. Almost gave the Turning Debt Into Wealth company 12,000.00 for a year of coaching.
            Holy crapolly!!! Good decision to sleep on it!!!

            You will hear both arguments here: "pay off lowest amount first" or "pay off highest interest rate first"...but the key concept is "pay it off!!!" Look at some back threads and ask questions...and welcome.

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              #21
              Thanks for the words of support. I love tweaking my excel spreadsheets and have just set them up to reflect my new purpose,,,,paying off debt! One credit card gone this month, another in 2 months. Lots of little ones I can tackle then take the payments I was making on the small ones combined and start to dissolve the bigger ones. Turning Debt Into Wealth told me I could be out of debt in 21/2 to 3 years. This was after learning all of my balances, int. rates, min and actual payments. Nice to know there's light at the end of the tunnel. Nice to have this forum for advice and support.

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                #22
                You can do all of this on your own without any program costing you dollars that could be used in paying off your debts.

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                  #23
                  Pay Off Smaller Debts First

                  --this has always been my finance guiding idea

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                    #24
                    Paying off small debt first gives me that instant gratification I need and provides more motivation for the next one. I love seeing those check marks.

                    Chris

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                      #25
                      I look at the overall idea of getting rid of as many small bills as possbile. Itr is one less bill to think of as in setting up a date to pay it, writing out a check or epaying it through your account, one less envelope, one less stamp and one bill less to wonder if it gets lost in the mail. I found that it gave me more time and you can focus on a smaller amount of bills. It worked for us.

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                        #26
                        Prioritizing smaller bills helps me a lot in maintaining enough money for my family. From that view, I'm not worried that they will be getting high interests when unpaid.

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                          #27
                          Pay Off Smaller Debts First

                          I look at the overall idea of getting rid of as many small bills as possbile. Itr is one less bill to think of as in setting up a date to pay it, writing out a check or epaying it through your account, one less envelope, one less stamp and one bill less to wonder if it gets lost in the mail. I found that it gave me more time and you can focus on a smaller amount of bills. It worked for us.

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                            #28
                            What surprises me is the number of individuals I've encountered that lack any strategy for paying off their debts. Not only are they comfortable with living with uncertainty of living with that debt, but they aren't trying to figure out the fastest way out from underneath it. It's mind boggling!

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                              #29
                              Sound Good I Will Try It Thanks For Post

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