Friday, December 23, 2011

Car Fund?

Since we’ve paid off Beaker this month, Mr. M and I have gone back and forth on if we should take the $250 monthly car payment and apply it towards debt or place it in a savings account. We will need to replace Mr. M’s car soon. Hopefully, we can keep it alive until a year from now but I’m not really counting on it.

What do you all think? Throw the extra $250 towards our snowball or save it?


  1. I'd throw it at the debt, you;ll really see that snowball do some damage then!

  2. I also think that you should get it into snowballs. Since it will help you eliminate debt faster, when and if you have to replace M's car, you will be in a better position. Also, you could do like $150 for snowballs and $100 for a car fund (or any other way you'd prefer to cut it) to prepare for when you have to replace the car.

  3. I say it depends on the disparity of your car. If you don't think it will make the next year then I would definitely save the money for your next car. If you think it will last 3 to 5 more years then I would put it towards debt snowball for 3 years then start saving. Either way whatever makes you feel better and not go into debt is good.