Should I pay down my debit or keep the money?

The generic financial adviser answer is:

(1) Keep enough cash on hand (money market account) to pay at least one months bills or equal to one months pay, which ever is greater. Three months if you have been on the job less than 18 months or think you could loose your job in the next 18 months.

(2) Stop using (new) debt.

(3) Cut expenses to the bone and use the different to pay down debt, smallest to largest.

(4) Stop contributing to all savings & retirement accounts except (1) above and use the difference to pay down your debt, smallest to largest.

(5) Cash in all savings other than (1) above that is NOT tax deferred and use it to pay down debt.

(6) You can withdraw any contributions to a ROTH IRA without taxes or penalties after the account has been open for at least 5 years. Do so and use the money to pay down debt.

This is really easy! It is jsut a question of how much your money is worth.... what is the average interest rate you make on your investments? If it is lower than the interest rate you are paying on your debt, sell your investments off and pay down your debt. If you are making more interest on the money in investments, keep them and try to pay down your debt slowly.

Ummm... I hate to declare this, yet you have responded your guy or woman question. you're spending too lots money or no longer earning sufficient, a form of has to alter. of course you could desire to make a funds, make certain the place all your money is going, and stop a number of it from going there (by procuring decrease priced issues or doing without some issues). you could might desire to go someplace decrease priced. no you may extremely coach you a thank you to without information approximately what you earn and what you spend it on.

Here is an idea:

Make a loan from your 401K.

You'll have to show hardship.

You'll pay yourself back with interest.

But, do this only if it's high interest credit card debt.

If the stocks are in a brokerage - sell them - pay off that debt.

Nothing is mentally more rewarding than having no cc debt.

You'll sleep well at night and live longer.

Keep in mind that carrying balances on credit cards is bad for your credit rating.

Employers check.

/

Hi,

I used "Credit Solution" to settle my debt and avoid bankruptcy.They managed to reduce my debt up to 58% and improve my credit score .It's legitimate . I came across this company on NBC News Special Edition.Check it out here:

http://creditsolution.ez-mart.biz/

Note:It's advisable to fill out the short form.Let them call you back.The line is always busy due to so many customers.