Debt

Debt Consolidation is the act of combining multiple debts into a single debt. It is both a powerful and a misunderstood tool. In this article, I will go over not only the facts and myths of debt consolidation but also the mechanics of how to conduct a consolidation. Then I will help you consider if it makes sense for your own personal finance situation.

Should you pay off your mortgage early? The answer is, “it depends.” In this article we will look at both sides of the mathematical and emotional aspects of paying off your home. More than likely, the math aspect will tell us ‘no, do not pay off your mortgage early,” while the emotional aspect will tell us to, “pay it off as quickly as possible.”

The “Debt Avalanche” is a strategy for debtors to tackle their debt in a way that takes advantage of paying off the debt in the fastest way possible. With a focus on paying down debt that has the highest interest rate, this strategy directly competes with the Snowball Method as the 2nd most popular debt repayment strategy.

The “Debt Snowball” is a strategy for debtors to tackle their debt in a way that takes advantage of human psychology. Essentially, one’s debts are listed out from smallest down to largest and all efforts above and beyond paying minimum payments are focused on paying off those on the top of the list. The smallest debts are paid off first. The largest debts paid off last.

There can be advantages, particularly in certain economic environments, where it can make perfect sense to hold on to that car note even if you have the money to comfortably pay it off. There are always two sides to every coin and that certainly applies to whether to pay off your car, truck, boat or whatever you have that gets you from one place to another.

For a lot of reasons, it could make sense to pay off your car. To many folks, it may even seem obvious, but is it really? In this article we will try to pinpoint the exact reasons, and thus benefits, it may be a good idea to pay off that car note.