When it’s time to pay off credit card debt, it can be helpful to think about mountains. Mountains come in all shapes and sizes and each one offers different obstacles and levels of difficulty. If you look at your different kinds of debt and compare them to these imagined mountains, you may start to realize that some of your debts are more manageable than others.
But when it comes to credit card debt, is it wise to climb the easier mountains first? Not necessarily. In this blog, we will be discussing why we believe that paying off credit card debt before worrying about student loans is in your best interest. It may seem like a more difficult option, but it can save you money and a ton of stress.
Paying Off Your Student Loans Can Wait
Student loan debt is a very large but easier mountain to climb. You know the amount you owe will only fluctuate with the interest rate, you don’t have to track spending and you have clear repayment plans, You also have access to some loan forgiveness programs.
While it can seem too large a sum to be manageable, you will never be caught off guard by your student loan payments. However, this cannot be said of credit card debt. Using a credit card can be mindless. If you aren’t careful, you run the risk of allowing your credit card debt to get out of control.
Don’t Assume That the Easy Road is What’s Best For Your Finances.
Our instincts may be to get the “easy” debt out of the way; however, by doing so, we are opening the door for our credit cards to keep building astronomical interest and for charges to keep adding up. As this is something that you don’t have to worry about with student loans, we recommend that you continue to make your monthly payments. You can then focus your energy and other resources into paying off your credit card debt first.
By utilizing one of Lendah’s personal loan programs, you will be able to make fewer payments per month and have lower interest rates to contend with. This will save you time and money as you pay off all of your credit card debt in one place.
Less Credit Card Debt Means Less Stress
Credit cards can be just as damaging as they are helpful. Diligence is key when using credit cards. If you aren’t careful, you’ll use up your credit lines, be stuck making minimum payments and having to pay costly interest charges. Take yourself out of that cycle. You can use a personal loan from Lendah and allow yourself to fix one problem at a time. It’s important to understand that you don’t have to resolve all of your debt at once.
You do need to make sure that you assess your loan programs. If you can figure out which one is going to cause you the most amount of stress, you can then work to pay off that debt first. This is how you stop debt from controlling your life.
Paying Off Your Credit Card Debt Will Open Doors
We truly believe it is best to tackle those credit “mountains” full of obstacles and changing landscapes before you take on the easy ones. Our goal here at Lendah is to help you achieve financial freedom. We want you to go back into the world with a better understanding of how to handle your future debt. We highly encourage you to sit down with a representative and discuss your financial situation. Our team is equipped to help you navigate your way out of debt.
Get started today on our website. Prefer to talk in person? Call us at 833-453-6324 and we’ll get you connected immediately with one of our loan experts.