In response to:

Dave Says Credit Cards and Car Debt are the Same

rgarrett24 Wrote: Mar 06, 2013 8:01 AM
I wish my retired phone company foreman grandfather had convinced me to put my savings bond money into AT&T stock when I was in the Army.

Dear Dave,

My wife and I make $140,000 a year, and we’re working on our debt snowball. We’re almost out of debt, but we still have two small car payments and some credit card debt. She wants to get rid of the credit card debt but doesn’t mind us having car payments. Can you help me understand this?

Kelly

Dear Kelly,
I’m not sure I understand her thinking either. The car payments and the credit card debt are the same thing. They’re both debt payments, and you’re being charged interest on both of them. The...