If I have multiple debts, how do I decide which one to pay first?

The Dow Janes Debt Decision Tree provides a framework for addressing debt and helping you prioritize which debt to pay first. We categorize solutions based on personal goals and financial situations and divide these categories into 3 options:

1. Do It On My Own
Best for those who want to maintain control of paying down their debt and have stable enough income to do so.

2. Do It With Help
Best for people who need professional assistance to restructure their debt, such as lower interest rates, lower monthly payments, and hardship.

3. Bankruptcy
Considered a last resort, as bankruptcy provides a legal fresh start. It is best for people who are experiencing extreme hardship or need legal intervention to restructure their debt.

Regardless of the path chosen, individuals should avoid new debt, understand all fees and credit impacts, and aim to break the debt cycle by tracking spending and maintaining an emergency fund.