Hello! My name is Cody and I'm new to the Mustachian lifestyle. Unfortunately for myself, I've gotten myself into a good bit of financial strain before discovering this way of life. Slowly, but surely though I have faith that I'll get this turned around with proper habit changes. So, here's my current situation... I'm currently in debt $56,375 between my two student loans, three credit cards, and two cars. This doesn't include my wife's loans which will go into repayment next year.
My student loans:
Lender #1 - $1739 at 6.8% fixed
Lender #2 - $2372 at 3.5% fixed
My CC debt is at $15,000 at avg 16% amongst three cards.
Auto loans:
Car #1 $16000
Car #2 $21306 - Will most likely sell in the near future. I'm provided a company car with my employer, so this vehicle just sits in my driveway. If I'm no longer and employee here I can always purchase a good used vehicle.
I know it's obvious that my CC debt has the higher interest, so I should work on those payments first. However, I hate having the feeling that if anything where to happen to either my wife or I to where we couldn't work, that the student loans will be there ... no matter what. I've hated having the loans from day one. Ideally with my "budget" I have setup I'll get my student loans paid off in November just based off our net income. With the way I've been in FIRE mode as of late (recently sold $1400 of unused stuff laying around the house) I should be able to finish these off quicker.
Does it make any sense at all to go after the low, fixed interest student loan over the higher variable cc debt?
Any suggestions are appreciated!
Thanks,
Cody