My credit at the moment is rated at CC, as I was told by my bank. They use a system from A to E, A being worst.
I have a couple loans, two credit cards, and a credit line.
There was a part time loan that took me 4yrs to pay off. The loan amount was only around $2500, so it must've looked bad on the books for me to drag it on for so long. But then, I was only a student doing minimum wage @ McDicks.
The other two current loans are $10,000 and $1k each.
One cc has been with me for 5yrs, with a balance of around $5k.
Another retail cc I have is $300, which I plan on paying it off soon and closing it out.
Now the question is, would it be better for me to use the $1k to pay down the cc or use it to pay off the $1k loan? The cc that's been with me for 5yrs has been gradually sliding upwards over the years, and its about time I take control of it.
If I pay off the $1k loan now, that means the $25 that I use each month to pay that loan can now go towards the $5k cc as well. Interest on the $1k loan is prime plus 2.5%.
I plan on moving the $5k cc to my new credit line, since it's 10.50% vs 5.5%.
One last question while I'm at it. Would I get dinged tax wise if I moved my daily savings RRSP into an investment account? Technically, I'm not withdrawing the money, right? So they can't treat that as "other income" on my year end income tax report?
I have a couple loans, two credit cards, and a credit line.
There was a part time loan that took me 4yrs to pay off. The loan amount was only around $2500, so it must've looked bad on the books for me to drag it on for so long. But then, I was only a student doing minimum wage @ McDicks.
The other two current loans are $10,000 and $1k each.
One cc has been with me for 5yrs, with a balance of around $5k.
Another retail cc I have is $300, which I plan on paying it off soon and closing it out.
Now the question is, would it be better for me to use the $1k to pay down the cc or use it to pay off the $1k loan? The cc that's been with me for 5yrs has been gradually sliding upwards over the years, and its about time I take control of it.
If I pay off the $1k loan now, that means the $25 that I use each month to pay that loan can now go towards the $5k cc as well. Interest on the $1k loan is prime plus 2.5%.
I plan on moving the $5k cc to my new credit line, since it's 10.50% vs 5.5%.
One last question while I'm at it. Would I get dinged tax wise if I moved my daily savings RRSP into an investment account? Technically, I'm not withdrawing the money, right? So they can't treat that as "other income" on my year end income tax report?
Facebook
Twitter