Tip #87 - Minimum Payments Will Not Eliminate Debt, You Need To - TopicsExpress



          

Tip #87 - Minimum Payments Will Not Eliminate Debt, You Need To Snowball Your Debts If you can only afford to pay the minimum balance on your debts you need to focus on finding a way to increase your income, or decrease spending in other areas, because minimum payments wont eliminate your debt. To pay off existing debt faster you need to use the snowball technique. If you allocate $300 a month to servicing debts, as soon as you get 1 debt paid you dont lower your $300 monthly allocation, you now allocate the full $300 to your remaining debt. Same applies when youre down to just 1 credit card balance, dont lower that monthly payment, keep it at $300 and youll pay down the debts 3x faster.
Posted on: Fri, 07 Nov 2014 23:49:10 +0000

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