What is best and quickest way to get rid of debt?
You may need to consolidate your loans. Or if your debt is not huge, pay of the credit cards with the highest interest rate. Once those are paid off, take the money you were paying on those and add it to what you are paying on your next highest interest rate card. If you can refrain from using your credit card, you’ll be debt-free much sooner. Suze Orman has a much better explanation and action plan.
First, stop paying with credit cards. This is an easy trap to fall into, and most people do it at some point or another. Second, start paying off those debts with a higher interest rate cause they’ll end up costing you more money in the long run. Pay MORE per month than the minimum payment amount is. After that card/item is paid off, keep paying the same amount of money on your lesser debts. For example, let’s say that you have a Visa that you owe $2000 at a 20% interest rate. (For simplicity’s sake, I’ll use round numbers.) If you have a Discover card with $2000 debt at 10% interest, you’ll still want to pay off the Visa card with the higher interest rate first. If the Visa card has a minimum monthly payment of $50, you should pay AT LEAST that amount every month. Meanwhile, you’re still paying the minimum payment on the Discover card. Once the Visa card gets paid off, keep paying the minimum amount on the Discover card PLUS the amount that you had been paying on the Visa card, since
