If you had a lot of money would you invest it or pay off your debts?

If you had a lot of money would you invest it or pay off your debts?

  • Postwritten by Tatethegreat74
  • on September 16, 2009
Here's the scenario. If you pay off all of your debts you might not have debt anymore, but you would still be broke afterwards. Would you still pay off your debt instead of saving and investing it?
  • Postreplied by guest
  • on September 17, 2009
The interest rate on the debts is way higher than any interest you will be gaining through savings. By paying off your debt you are technically saving money in the long run.

I would take what you have, pay off the larger interest rates and as much as I can, but still put a bit into a cd or money market. But in order to do the money market/cd you need a substantial amount of money or it isn't really worth it.

Just pay the high debts. It will be better.