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How can I determine the total cost of my debt including interest and fees?

Curious about Paying off debt

How can I determine the total cost of my debt including interest and fees?

To determine the total cost of your debt, including interest and fees, you will need to gather information on the amount of debt you owe, the interest rate, and any fees associated with the debt.

Once you have this information, you can use an online debt repayment calculator or create a spreadsheet to calculate the total cost of your debt. Here are the steps:

1. List out all your debts, including credit cards, loans, and any other debt you owe.

2. Determine the interest rate for each debt. You can find this information on your monthly statement or by contacting your lender.

3. Determine the minimum monthly payment for each debt. You can find this information on your monthly statement or by contacting your lender.

4. Determine any fees associated with each debt. This may include annual fees, late fees, balance transfer fees, and others.

5. Use an online debt repayment calculator or create a spreadsheet to calculate the total cost of your debt. Include all the information you gathered in steps 14.

6. Review the total cost of your debt and create a plan to pay it off as soon as possible. You may want to consider a debt repayment method, such as the debt snowball or debt avalanche method, to help you pay off your debt faster and save money on interest and fees.

It's important to remember that the total cost of your debt is not just the amount you owe, but also the interest and fees associated with the debt. By understanding the total cost of your debt, you can make informed decisions about how to manage and pay off your debt.

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