Question

(Total Costs and Debt Payoff LC)

A credit card holder has an outstanding balance on four different credit cards. Which method of paying off the credit card will take the longest period of time?

Making fixed payments each month
Paying the minimum balance each month
Snowballing payments according to the highest interest rate
Snowballing payments according to the lowest balance

Answer 1

Your answer is B. Paying the minimum amount each month. This is because if you're only paying the minimum amount you can, it'll take way longer than throwing a little extra at it.

Answer 2

thank you :)

Answer 3

No problem!