| Message |
My APR is 9.9% (I never take out cash from my CC, in fact I've never had a pin number assigned to it, you're right a cash APR is around 20-25%). As of friday my Credit Card debt will be less than my savings. Given my current income and projected payments I should have it paid off by August. In the mean time I have savings because
a) I want to purchase an S30 in the next couple of months.
b) Everyone should have least have 6 months income in savings for a rainy day.Now buying the S30 will tap some of that savings but once the CC is paid off I can pretty much triple what I put into my savings each month. I do have a money market fund which I was putting money into but things changed. For the past year to year and a half I found it was much better tax-wise to have a non-taxable source of money to draw on, hence the savings account. The way I see it is that once the Credit Card is payed off I won't need it, as I am now able to live comfortably below my income level (which isn't much as a grad student). So I'll just continue to save till I have about $5,000 (3 months salary), then split the money between savings and a longer-term investment. Plus I'd like to have $10,000 saved up within the next 5 years for a house. That'll be dependent on a salary bump once I graduate.
"The 300ZX Turbo is a dance; it's a song; it's rolling, roaring automotive art. There is no color that doesn't suit it. There is no mood-lifting chemical substance it can't replace." - Automobile Magazine |
 |
