Save or Pay Off Credit Cards?

[Grace]

For example, I have heard from financial experts to pay off the lowest credit card balance first, because it will give you a sense of accomplishment in the shortest amount of time. Now, what does that have to do with numbers on a sheet paper - nothing! But it does deal with human feelings - ie paying off one credit card will give you motivation to pay off the next one.

The financial experts you've been speaking with are mistaken if they are telling you to pay the low balances off first regardless of the interest rate. A true financial planner would tell you to pay off the loan with the highest interest rate first.

Paying off the smallest balance first may give you motivation, but you'll end up paying more money to the credit card companies. If you don't mind doing that, go ahead.

[SinkingFast]

Paying off the smallest balance first may give you motivation, but you'll end up paying more money to the credit card companies. If you don't mind doing that, go ahead.

I believe that's the rational behind that strategy.

Take on a large task and chip away, chip away,............ You may tire well before you can see the light at the end of the tunnel.

Take a small task and complete it. Then you see you can accomplish something.

Paying off anything is better than paying off nothing at all.