The paper, Minimum Payments and
Debt Paydown in Consumer Credit Cards, by Benjamin J. Keys and Jialan Wang, found full payers had mean statement balances of $ 3,412.
The fantastic Penn Wharton study, Perverse Nudges: Minimum Payments and
Debt Paydown in Consumer Credit Cards (pdf) explains why our brains need a cognitive reboot when we deal with credit cards.
I'd like to see some go toward
debt paydown in addition to dividends and paybacks.
Not exact matches
For example, an important question regarding recent household deleveraging has been to what extent the decline
in aggregate household
debt was attributable to delinquent
debt charge - offs as opposed to active
debt paydowns by consumers.
The best part of my expenses is that a big portion is actually
debt paydown (about $ 800
in mortgage and $ 700 car loans).
Total
debt paydown: $ one trillion twenty - nine billion
in one year alone!!!
We'll look at mistakes
in debt paydown next time but from the get - go it's worth focusing on both
debt paydown AND saving because too often people put the saving cart before the
debt paydown horse.
I don't have
debt, other than mortgages, but it was a valuable tool
in tracking the accelerated
paydown of their balances towards my goal of early retirement.
Be realistic about what you can add to your
debt paydown efforts, and then make it a point to be consistent
in your efforts.
In February, more than 20 companies agreed to offer Gradifi's SLP Plan ® (Student Loan
Paydown) program, an HR benefit that helps employees accelerate the pay down of their student loan
debt.
If
debt paydown is going to take awhile, use this trick to boost your credit score
in the meantime: increase your credit limits.
If you flip the perspective on
debt around, investing
in the highest return
paydown strategy becomes a thing of joy.
Admittedly, revenue growth's been slow, but the steady
paydown in debt (net
debt's been sliced
in half
in the past 3 years) should now begin to allow some prudent radio / new media expansion.
Dividend payments are only one use of a company's free cash flow; other uses of cash include: share repurchases,
debt paydown, reinvestment
in the business, and mergers and acquisitions.
In the case of the
Paydown Planner, the cardholder can then determine how much he or she should be paying each month to get the
debt paid off by a certain time.
While the need is there, only about 4 % of employers report offering student loan
paydown assistance, even though more than 90 % of employers
in a recent survey say student loan
debt is stressing out their employees.