I have a large amount of credit card debt(14000) Should I cash in 950 in savings bonds or save them?

Answer 1

Tough question. It won't make much of a dent in your debt. You need a different strategy, such as cutting up your credit card.

Answer 2

Hi I work for a bank. If you have 14K of credit card debt and property, a home would be best, then you could consolidate your debt with one loan, at a lower rate, and a smaller payment. If all you have is the 950 in savings bonds, then you might be out of luck and may need to consult the below website. Either way, the other responses are correct that your first action should be to cancel your cards and pay more than the minimum payments as soon as possible. If you do have a home, then I would suggest visiting some banks to apply for a Home Equity Loan. Do not buy the debt protection insurance if it is offered to you.

Answer 3

Without knowing your income and asset base, it is impossible to answer this question. My intuition is that you have a meager income and a limited asset base. If so, #1: LOSE THE CREDIT CARD(S), use the $950 to pay down your debt, pay as much as you possibly can every month to rid yourself of that unconscionable debt. Get out and stay out of debt. It will change your life. Good luck.

Answer 4

Step one, chop up the credit cards, step two, cash the bonds, you are making 3% on them and paying 19% on your credit card.

Step three, pump EVERY DIME YOU CAN toward the credit cards until they are paid...no dinners out, no clothes shopping, no vacations, not star bucks.

Pay your stuff off first.

Answer 5

I think 950 is a drop in the bucket in this case. It would also depend on what you total finances are like, current income, other expenses, etc...Also what your current spending is. If you are continuing to put more on plastic - you probably have to re-evaluate your finances. Personally if I had other income - I would leave the bonds unless they have reached their term.

Answer 6

I would sell the bonds and trade them in for some blue chip stocks.....

But, whatever you do, try not to give up your savings. Sacrifice a little. Cut back...don't feel bad....We're all in the same boat...money is tight, the taxes are high and...London Bridge is Falling Down.....

Hang in there.

Answer 7

$950 won't even make a dent. Depending on your situation & income you might want to talk to a credit counselor.....Keep your bonds.

Answer 8

Stop using the cards and start paying even a little over the minimum.

Answer 9

Is it going to help you pay off your debt sooner? Are you in so much debt that you can't manage it?

Answer 10

so a 4% minimum payment is $560 per month?

what a waste of money.......good luck friend.

I'd think the crap I bought was not worth it.