Which debt would you prioritize?

>>1095054
>let's say you
I wouldn't have financed a car in the first place. If you can't afford it now, don't buy it. The only exception is real estate and even that's a shit idea half the time.

>>1095054

>$4400 in credit card debt

Why

>>1095054
Car first, then CC. Try to put more than minimum payments into the CC though. Doesn't have to be a lot more, just enough to offset interest.

>>1095054

I seriously doubt that a bank would give you a CC at 2.5% and an auto loan at 4.9% - I'd double check that cc rate, anon.

>>1095093
Not entirely impossible. I'm 21 and financed my car at 0% interest.

CC first

The interest between them is negligible and since you're the kind of person to finance a car and have 5k in cc debt, the snowball method is better than the stack method

>>1095096
subprime auto

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I'm from /fit/. I only know how to lift things and pull them.

Yes i know I'm retarded. I'm not denying that. At least I'm learning this at 25 and not later.

But >why
Epilepsy. I've lost jobs and my ability to drive more than once.

My previous used car costed more than 200 a months worth a year for repairs. It had to go. Also helped rack up my CC. But then a lot is retardation. I didn't start budgeting until recently and I'm doing awesome with money now after experiencing having no money whatsoever. That's what i get for growing up rich compared to most people. Hey at least I'm learning now and not at 45.

>Being in debt
Cuck

>baaaw financing a car is bad
that is FatWallet tier faggotry

Pay off the car. First, the car is tangible property that's easier to repossess than CC charges that probably came and went. Second, you can't run a car loan back up like you can a CC. Third, paid off car loan frees up more money per month to pay down CC versus the reverse.

>financing a car
>credit card debt

Just do like every other retard and blame it on the government for offering it to you in the first place. Hold no responsibility in life and continue living with your parents until Bernie Sanders is elected. He will take money from people who actually contribute to our economy to pay for your mistakes.

>>1095568

Which is why OP is taking responsibility and asking which to pay off first.

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>>1095568
Op here. I never came here claiming to be intelligent. I came hete for help, which is what people who are bad at things do.

So, yeah I'm def going to start killing the car loan first and do 50% or so more on the minimum CC payment. Not having $200 a month to pay sounds like it would increase my quality of life in the near future. I'm done with CCs.

Thanks /biz/. This board is actually useful.

>>1095540
Stop trying to justify borrowing money to buy a depreciating asset. You can do it, but don't pretend it's anything but a costly indulgence.

>>1095780

>Thanks /biz/. This board is actually useful.

Nope, sorry I can't be having that. I shall now tell you to sell your car and buy ETH to cancel things out. There you go.

>>1095054
You don't have a credit card with 2.5% interest. Check your agreement again and let us know what it actually is.

>>1095540
>First, the car is tangible property that's easier to repossess than CC charges that probably came and went.
If the threat of repossession is an actual consideration, he shouldn't have financed a god damn car.

>Second, you can't run a car loan back up like you can a CC.
This only matters if you're retarded. I guess OP admitted he is, so this stands.

>Third, paid off car loan frees up more money per month to pay down CC versus the reverse.
If your income is a set amount, it doesn't matter how much money paying off a debt "frees up". You still have the same overall income to put towards debts. Besides, OP's a dumbass and his credit card is absolutely not 2.5% interest, it's probably 25%. CC first, OP.

>>1095568
>blame it on the government for offering it to you in the first place.

Do you think the government offers car loans and Creditcards you child?

>>1095054
200 bucks a month for 6000 is not 2.5% apr bro.

Also you need an emergency fund before you start snowballing the debt or youre just treading water

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>>1095780
>humble
>willing to listen to advice
>calm
>grateful
>self-aware

Not on my /biz/, motherfucker

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>>1095809
>>1095807
Here's an Excel chart. I put 20% as your credit card rate because I don't believe that you have a 2.5% interest card. Again, you need to look at your agreement or look online or something to get that number.

I assumed (just for the sake of simplicity) you have $500 per month to put towards your debts. The minimum payments take out $310 of this, so you have $190 you can put to either your car or your CC.

On the left, I apply it to the car. The "Total Balance" column is really what you should focus on; a number in parenthesis is negative (meaning you still owe money). At the end of 26 months, assuming you put aside the remainder of the $500 to savings, you end up with $423.48.

On the right side, same story. The only difference is we apply the extra $190 to paying off your credit card. This results in your debts being paid off 2 months earlier, and if you continue saving that $500/month until 26 months pass, you end up with $1,443.47.

So if you pay the credit card off first, you end up with over $1,000 MORE in savings. If your credit card actually does have an APR of 2.5%, though, it's better to pay that off first.

>>1095054
>CC isn't that high of interest honestly, its like 2.5% or if the purchase APR is higher.
Unless you're talking about an introductory rate, I highly doubt it's that low.

6-7% is usually the bottom-tier lowest, and that's usually just for people with A+ credit.

I'd pay them off smallest to largest. Start with the CC. I paid off a little over $12,000 last year using the same method but the debts were smaller and more spread out.

It's behavioral not mathematical. Look at it like a diet. You need to see some weight dropping off to motivate you.

>>1095898
This, my credit score is 720 and my apr is like 20% on my CC. Never even heard of a credit card with less than double digits