Saturday, October 3, 2009

Smallest to largest

List your debts smallest to largest. Pay them in that order.

Pay as much as possible on the smallest and the minimums on the others. When the smallest is paid off, add that payment to the next largest and repeat until you're completely debt-free.

Include HELOC’s or other loans where you used your home’s equity. Don't include the original home loan; that's saved for last.

This is called the Debt Snowball.
More Debt Management

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