Can I get some financial advice? Credit card vs depleting savings?
I have the following “money” available to pay a $3000 roof repair:
Credit card $3100 @ 10.9% interest (has a $6800 balance right now)
Savings $1000 (making very little interest)
CC payments would be $250 if I use all $3100, or $225 on $2000
My question is which do I use? Deplete half my savings to have a lower credit card balance, or charge all $3000 on the card? (the balance of my savings is earmarked for other repairs)
My rate of income to out go is about a wash if I stop my automatic deposit of $50 going to savings.
So, use credit card for $3000 or take $1000 out of savings and put $2000 on credit card.
This question is in the General Section. Responses must be helpful and on-topic.