What to do with $3,000 refund

[Anonymous]

There was some sort of hiccup and we overpaid our escrow taxes by $3,000. I just received a refund check.

What would you do with it?

We have student loans, credit card debt, two kids, a bathroom that needs work....etc.

Tell me what to do before I give up, use part of it at my gym and sign up for a personal trainer (we are both also out of shape and need help motivating).

[Anonymous]

I vote credit card debt.

[Anonymous]

Small emergency fund (2 - 3 months of expenses) if you don't have one

Debt - I'm a fan of smallest first because you get a psychological boost from getting one completely paid off, and studies have shown that increases your success paying more off after that.

After that the order would be larger emergency fund, replacing anything that truly needs an upgrade and was put off during debt payments.

[Anonymous]

Anonymous wrote:I vote credit card debt.

+1. This seems like a no brainer.

[Anonymous]

pay off/down your highest interest rate debt, and don't take on anymore

[Anonymous]

Anonymous wrote:

Anonymous wrote:I vote credit card debt.

+1. This seems like a no brainer.

+2

[Anonymous]

Credit card debt.

Although, how much do you have in your checking/savings? If your balance is low, I might suggest putting half in checking and the other half towards the CC.

Do you have at least $10k accessible?

[Anonymous]

Anonymous wrote:Credit card debt.

Although, how much do you have in your checking/savings? If your balance is low, I might suggest putting half in checking and the other half towards the CC.

Do you have at least $10k accessible?

HAHA...no. We have about $1,000 in checking and $900 in savings.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Credit card debt.

Although, how much do you have in your checking/savings? If your balance is low, I might suggest putting half in checking and the other half towards the CC.

Do you have at least $10k accessible?

HAHA...no. We have about $1,000 in checking and $900 in savings.

Then put it in checking. Are you not making enough or spending too much? You can't live like that.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Credit card debt.

Although, how much do you have in your checking/savings? If your balance is low, I might suggest putting half in checking and the other half towards the CC.

Do you have at least $10k accessible?

HAHA...no. We have about $1,000 in checking and $900 in savings.

Then put it in checking. Are you not making enough or spending too much? You can't live like that.

For a long time we weren't making enough and spending a lot (needed a new car, childcare for two kids, one kid became ill, I needed a bunch of emergency dental work). Then we bought a three bedroom apartment with all utilities included in the HOA in a nice neighborhood and then I got a big promotion and now make $65,000 more annually.

We are in a major catch up phase. But it's getting better.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Credit card debt.

Although, how much do you have in your checking/savings? If your balance is low, I might suggest putting half in checking and the other half towards the CC.

Do you have at least $10k accessible?

HAHA...no. We have about $1,000 in checking and $900 in savings.

Then put it in checking. Are you not making enough or spending too much? You can't live like that.

For a long time we weren't making enough and spending a lot (needed a new car, childcare for two kids, one kid became ill, I needed a bunch of emergency dental work). Then we bought a three bedroom apartment with all utilities included in the HOA in a nice neighborhood and then I got a big promotion and now make $65,000 more annually.

We are in a major catch up phase. But it's getting better.

That's great. Sounds like you've turned the corner. I'd put it in checking/savings. Total of 1900 is not enough emergency fund.

[Anonymous]

I would pay down credit card debt and work to build up savings.

[Anonymous]

I'd spend $300-500 on something really nice for you & DH. A night away, a spa day during the workweek. Something! Invest in your marriage.

The rest you could apply to CC debt.

[Anonymous]

Debt--credit cards the one with the highest rate first.

[Anonymous]

Anonymous wrote:I'd spend $300-500 on something really nice for you & DH. A night away, a spa day during the workweek. Something! Invest in your marriage.

The rest you could apply to CC debt.

Uh, not at this point with credit card debt and only $2k in emergency money. That's incredibly irresponsible to spend it on a spa day. Pay down your credit card, op.