November 23, 2010

Debt Reduction Plan has a name! Now when my husband says "Can we buy this????" I can say, "No, it is not part of the debt reduction plan!" :P Apparently, my husband doesn't think that's funny. I, however, think it is :D

I think the DRP that Quicken follows is a combination of what Dave Ramsey and other financial people say about paying down debt. It's taking the order in which that are to be paid by highest interest (rather than the highest balance) and snowballing it. So minimum payments on everything and high payments on one or some of the high interest debts we have.

This, for me is very different. But, I am willing to give it a go. Hopefully it will have some quick results with something paid off, so that I can at least feel that accomplishment.
I do have to admit, we have a lot of 'small' credit card debts, and by small I mean less than $1000 balances. By getting these out of the way, it should make our mountain of debt that molehill.

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