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Prioritize the Debt Avalanche or Debt Snowball method for repayment. Your focus must be on reducing your overall debt-to-income ratio and total balances, not on the types of debt. High utilization and late payments are doing more damage than a lack of diversity is helping.
Only if the interest rate is lower than what the utility charges in late fees or penalties. Explore assistance programs first to avoid exchanging one debt for another.
Yes, but it will be more difficult and expensive. You may only qualify for subprime loans with very high interest rates, significantly increasing the total cost of borrowing.
This involves applying any unexpected or small amounts of extra money—like a tax refund, bonus, garage sale proceeds, or money saved from skipping a luxury—directly to your debt. These small, consistent efforts can significantly accelerate your payoff timeline.
Every debt payment has a dual effect: it reduces your liabilities (the debt balance) and, because you use cash (an asset) to make the payment, it reduces your assets by an equal amount. Therefore, the act of paying debt itself is net worth neutral.