Which credit card should I pay off first?

[questions]

<i>I have two credit cards that I plan to pay off as soon as possible, but I'm not sure which one to pay off first.

Both have a balance of about $700

First one has a 20% interest rate, but has a $40 a month minimum.

The 2nd has a 10% interest rate, but also has a $6/month fee and $40 annual fee. The monthly minimum is $28 a month.

Any suggestion would be great, and why.</i>

[sweeps]

Re: Which credit card should I pay off first?

Transfer the balance of card B to card A, and close card B. Even though the interest rate is higher, you'll be free of a $112 (12*6+40) annual fee that doesn't reduce any debt at all. Then pay as much as you can on card A's balance.

Even better -- open card C with a lower interest rate (and no annual fee) and transfer the balance to that card. Still close card B as soon as you can.

[jmjj215]

Re: Which credit card should I pay off first?

With an aggregate balance of only $1,400 just get crazy and creative, make some money, sell some stuff, and pay off both of them as fast as you can.

[brandondrury]

Re: Which credit card should I pay off first?

With an aggregate balance of only $1,400 just get crazy and creative, make some money, sell some stuff, and pay off both of them as fast as you can.

I totally agree. Too many people waste time trying to save a dime when they should be figuring out how to make a buck. Then again, I save all my dimes too.

Brandon

[Luv2shop]

Re: Which credit card should I pay off first?

Try a balance transer @ 0% for a year. Then pay down as quick as you can.