Help with my debt situation?

Question

Hello,

I have had some issues come up and so I acutally had to use the credit card that I got for emergencies so now my bill on there is $9300... I also have some store cards that I had before this issue with balances on them. I am getting a large sum of money for my bonus from work. So my question is what would be better for my credit: To pay off the store cards completely and close them and then pay a little off my credit card, or to pay the entire sum on my credit card and leave the store cards?

Answer 1

It really depends on your interest rate on each of the cards. Pay off the highest interest card first.  Also, don't close teh accounts (this hurts your credit score), just pay them off.  Call your CC companies and try and negiotiate a better interest rate.  Also, you might read Dave Ramsey's stuff. he has some good ideas.

Answer 2

Pay the higher interest rate cards off first. But if you continue to carry a balance it will help your credit score by paying more than the minimum amount each month.  

Be diligent - only use the store cards if you have the cash to pay for the item right there. i.e. if you're only using a macy's card b/c of the extra discount- pay it right off w/ cash then and there. . .

Answer 3

if i were you, i would pay off all the little balances first and then work toward paying off the other balance