We owe 172,000.00 on our house and live in CA. We are in our late 4o’s with a net worth of 200,000.00 not including my pension. We both have another 20 or so years to retire. My husband is self employed as a painter therefore we have to put away extra retirement for him. We have life insurance, only 1 child 15years old; I work in education and have been at my job for 11 years with a yearly pay increase. Recently we applied for a loan to lower our interest rate on our house and were denied even though we both have credit in the 800′s due to our cars which we bought last year. Combined income is 5662.00 per month. We live on a very strict budget and have money left over every payday after all bills are paid, savings is paid, etc. We live a minimalist life aside from our cars and house payment.
Hello, I am currently working on paying down debt using the snowball technique. I have suspended retirement payments until I get things down. My question is, once I pay off my cc $4200.00 should I put more money toward my 2 cars totaling 40,000.00 at 2.93% interest or should I start funding our retirement again?
If you have a credit or debt question you’d like to ask just use the online form. I’m happy to help you totally for free.Debt Snowball is Reducing Our Debt But What Next? - Doris by Steve Rhode