Who Cares About Interest Rates? How to Rank Your Cards for Debt Repayment

how to rank your cards for debt repayment

Let’s say you owe a bunch of money to several different credit card companies. Maybe you owe a little bit on this card, but a lot on that one. Or this card has a higher interest rate than that one. Does it matter which one you pay off first?

Yes, it does. But I’m going to recommend you rank those cards in a different way than most of the money gurus suggest.

This post has been written by our amazing staff writer, Jamie Jeffers.

Have you heard of the debt snowball method promoted by Dave Ramsey? I’ve got no problems with Dave! I enjoyed his class and his ideas. But his method of paying off cards from smallest to largest balance didn’t cut it for me. It wasn’t the motivation I needed.

(Derek’s Note: The snowball method definitely worked for me! But it’s always good to hear some other opinions . . . → Read More: Who Cares About Interest Rates? How to Rank Your Cards for Debt Repayment