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atladam23

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I owe 7k to the IRS and 10k in CC debt. I plan to pay it off quickly but who should I pay first?
With a new job that I start in the next few weeks and the car that I will now have paid off I can afford to pay $1,000 per month towards this debt. My interest rates on my credit cards are all very high. Average APR across all cards in 23%. I want to get my CC utilization down below 30% which should increase my credit from a 648.

I also plan to get out of debt fully except for student loans in the next 12-18 months. Who should I pay first to save the most in interest and fees?

If I pay the IRS $500 a month do I actually need to sign up for an installment plan?

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I would pay the IRS, then any government student loans, then the other debts. The government has a lot more power to make your life miserable! True, high interest rates are bad, but no where near as bad as what the IRS can do to you!

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Yes, pay IRS first.  They won't go away, but other debts can.

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NFCC can help you.

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You should vist the National Foundation for Credit Counseling (http://nfcc.org/)  They can help you prioritize you debts and make a plan.  Great organiztion and free or low cost.

Personally I would take care of the IRS first.  They can make things more difficult for you then the credit card companies.  But that is just my opinion.

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IRS and debt

Id call the IRS and try to get into a deferred payment plan.. If not, pay them entirely first... If you suceed.. pay BOTH...

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