I am trying to figure out how to pay down my debt. Dave Ramsey says to pay the lowest balance off first but I am stuggling with that. I have a debt of $1400 that has no interest, I have the car I am buying from my brother for $5200 also at no interest, and then I have a credit card for $7700 at an interest of 26%. I am paying so much in interest that it is hard to pay more on the lowest when I know what the cc is costing me in interest. I tried to apply for a new cc with B of A. I don't know what they might say. I really just want a lower interest rate for the $7700 I owe. I did make a payment on the $1400 and instead of my regular $100 I paid $150. That will at least shorten that debt from 14 months to only 9 months.
I keep wanting to ask Teel if he would be ok with me paying off the car normal while I use any adtl money toward the cc debt. I already know what he will say so I don't ask. But honestly I need to redo my budget for next month. I now have a car payment and increased insurance and the minimum pmt for the cc is higher then I thought it would be (actually higher then the guy at citi bank said it would be.) So now who knows if I will even have enough each month let alone extra.
The summer is coming and for me an hourly employee at a school that is a little worrisome. I know God is going to take car of me but I am not sure where my money is going to come from. In fact instead of putting anything over my normal amount I make toward my debt I should save it incase I come up short over the summer. Especially aug; my sister would have moved so no sat babysitting and no summer camps so I really have no guarented pay for any of Aug. And honestly that isn't that scary to write. God has taken care of me every step of the way. I have several families that love to have me babysit for them and with kids out of school I am sure I will be needed.
What I really need to do is sell my car. I still haven't even cleaned it out. I have to do that and then put it on craigslist. I need to sell it and get it off my insurance. I was thinking of putting the money right toward the car but now I want to out it in savings to hold till aug and then If I don't need it for bills then put it toward the new car. I wonder how Teel would feel about that seeing that I said I would put it toward the car several times. Hmm, I will have to think about that. Now off to work, I have a kid to wake up and get ready for school.