+44 votes
by (450 points)
The answer to this may be obvious but I still want to ask! My husband and I received an extra $3, 000 we weren’t expecting. Woohoo! However, I’m stuck on what to do with it. We are expecting a baby in August, I will not be returning to work for a year. I have income now but won’t when baby comes. He is military so medical is covered. We are able to live off of just his paycheck. We have literally everything we could possibly need for baby minus a few little things. Here is what we have going on: Credit card 1 - 5. 9% interest: $1, 400 Credit card 2 - 5. 9% interest: $1, 550 Emergency Savings we’ve built up: $4, 500 I know it seems obvious to pay off our last two credit cards, but we also really want to build our savings to $5-10K. Usually with expecting, people say to go stork mode and save everything. I’m addicted to saving, but I know paying these two cards off would free up $100 a month. What would you do?  
The answer to this may be obvious but I still want to ask!

39 Answers

+42 votes
by (22.3k points)
 
Best answer
Pay em, you didn't expect the money. Now you can expect an extra 100$ month
+2 votes
by (1.8k points)
I would personally pay the debt since it is unexpected income. Have the peace of mind knowing that you are CC debt free and
+35 votes
by (7.5k points)
I'd pay off one and then snowball that into the other. Normally I'd just pay it off but with a baby, I would save some.  
+43 votes
by (4.5k points)
I’d pay off the cards, I know it sucks to feel like you had that money for just a minute, but take that $100/month you’ll be saving, and perhaps right before you’re set to go back to work take a mini vacation with husband and baby? Or use it to be ahead on your childcare for whenever you return to work? Obviously one of these is MUCH more fun than the other  congrats on the new baby!  
by (450 points)
@pedagogy4949 haha exactly! Thank you!  
+8 votes
by (950 points)
If saving is important pay minimum on one card, and split any leftover money towards your savings and the card you are paying off. That way you're still attacking it and able to save.  
by (2.6k points)
@dial this! ^^  
+34 votes
by (580 points)
Girl! That is a blessing! You need to pay off those cards- Take the extra $50 for yummy “take-in” with your hubby and never look back❤️
0 votes
by (1.3k points)
100 % pay off all the debt and then take those payments and save them .  
+42 votes
by (1.9k points)
Pay off the cards, and apply extra $ to build your savings.  
+20 votes
by (580 points)
I would pay off $2k worth of cards and save $1k. I'm a little paranoid and enjoy having more cushion in savings.  
by (450 points)
@sym762 me too!  
+29 votes
by (880 points)
Stork mode
+17 votes
by (2.1k points)
Pay off the cards and save on the interest. Use the monthly payments you’d have used to pay those cards and put it in savings.  
+43 votes
by (6.2k points)
Since you’re so reluctant- I’d put 1500 to savings, pay off card 1 the other 100 towards card 2. Keep paying the 100 to card 2 to pay it off even quicker
by (450 points)
@diapedesis6 I like this!  
+28 votes
by (9.9k points)
Yeah get rid of those cards. And don’t charge anymore!  
+12 votes
by (1.5k points)
Pay them off if your EF of 4, 500 is enough to cover a few months of expenses. You truly do not need too much $ for baby, and if medical is covered, I would get those credit cards over and done with now.  
by (2.1k points)
@disconnected agreed!  
by (450 points)
@disconnected true! Thank you!  
+33 votes
by (530 points)
Put $500 to the savings. Pay off one cc & some of the other with the remaining. Good luck with the baby. And Congratulations!  
by (450 points)
@madsen1808 I like this plan! And thank you!  
by (530 points)
@gabon884 your welcome! I had a similar struggle. ☺️ glad I could help!  
+24 votes
by (3.2k points)
Get rid of the cards, don’t charge anymore and reallocate what you currently pay to them to your savings.  
+29 votes
by (7.5k points)
I would pay off those cards and put that $100/month into the savings
+28 votes
by (1.6k points)
If you weren’t expecting it you won’t miss it when it’s gone. I’d pay off your cards! Then you can save what you would have put to the cards each month!  
+15 votes
by (2.4k points)
Is there any harm in sitting on it until you and baby come home healthy? Having things for baby is one thing, being unexpectedly put on bed rest or having an extended hospital stay is another. You can always pay the cards off in August.  
by (450 points)
@lympho1 I didn’t even think about it this way!  
+32 votes
by (3k points)
I'd say either put $500 to savings for an even $5k then the rest to cards or put half to savings and the other half to pay off your half your credit cards (one of them fully). But that's partially because I like symmetry and eveness  
by (450 points)
@frilling I kid you not, I’m the SAME WAY lol the 4500 is burning my insides
+6 votes
by (580 points)
What’s the utilization on your cards? I would at least pay them down to 30% or less of their limits if they’re not already. And if they are then I would at least pay off one and then put the rest into savings
by (670 points)
@extravagant this was my suggestion!  
+25 votes
by (19.7k points)
I'd pay it all off and not have it over my head anymore
+1 vote
by (840 points)
I’d save it until you know baby is here and healthy, then throw it at debt once you’re settled.  
+13 votes
by (3.9k points)
If you go with saving it you’ll actually be losing money because you’ll have to pay the interest
+29 votes
by (1.1k points)
Pay it off & then save all of your income in your savings until baby comes!  
0 votes
by (2.3k points)
If you are addicted to saving then get rid of the credit cards. You are throwing money you could be saving at the interest. Move your savings to a high yield savings account.  
+44 votes
by (1.3k points)
Pay off the cards momma! Then throw whatever is remaining towards your EF and then throw that $100 payment in as well until the baby comes!  
+21 votes
by (990 points)
Pay off those cards!  
+30 votes
by (590 points)
Pay off cards so you don't keep paying interest
+38 votes
by (600 points)
I say: 1k savings 1k to each card
by (450 points)
@variation2529 oooooh I like this
by (600 points)
I think it’s helps ease the mind with building savings but also paying down debt.  
+23 votes
by (660 points)
I say pay off your last two cards. You will be saving on interest and you can save the payments that were being made to those cards.  
+7 votes
by (2.6k points)
I’d get rid of the credit cards - why pay interest of you don’t have to! Congratulations on your pregnancy! Wishing you all the best.  
by (450 points)
@cornwell very true! Thank you! ❤️
+13 votes
by (7.7k points)
Pay those 2 cards off then start saving every penny you earn until baby comes. It's good practice to live off of his income
+28 votes
by (7.9k points)
Pay both of them off.  
+28 votes
by (3.2k points)
I’d pay off the credit cards and stow away your whole paycheck (+ those $100 from the minimums) since you can afford to live on his paycheck alone.  
+41 votes
by (3.8k points)
If you want to build your savings, build your savings.  
+34 votes
by (610 points)
Pay off the cards!  
+14 votes
by (700 points)
I would pay off those cards. Plus being in the military health and medical is taken care of. Plus. You also may qualify for WIC. I know when I was in the AF. We qualified. So that helped a lot. And babies don’t need much honestly.  
+21 votes
by (2.3k points)
I’d do whatever makes you feel safer. Maybe split it? Pay off one and save the other half? Unless you feel better being card free and you know you won’t add to the balances once baby comes. I personally have a number that I like our EF at and if it is under it makes me more nervous than my credit card balance.  
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