When you make plans to pay off your credit card debt, you might think that you should immediately start by paying off whichever credit card has the highest interest rate—but you could actually pay more interest on the one with a lower rate but higher balance. That’s why it takes a bit of planning to decide which card is most advantageous to pay off first. The worksheet linked at the bottom of this post will help you to review your potential interest outlay for each of your cards and create a better plan for getting rid of this debt.
Using the Credit Card Payoff Worksheet
Use an online calculator (such as this one) to estimate the total interest payments for each of your credit cards if you were to pay only the minimum monthly payment. Write down the results in the last column of this worksheet and compare the totals to choose which card to pay off first.