These are the only debts in our household:
- Mortgage: 4.0%
- Student Loan: 1.875%
- Car Loan: 0.0%
- Credit Cards: Paid in full monthly
Our mortgage is with PenFed, which has one of the best rate in the industry.
The student loan is all federal subsidized, and it was consolidated a while ago to receive the amazing lowest rate.
We have the car loan when Toyota has the promotional rate of 0% for 36 months and have only about a year left to pay it all. The 0% rate was very nice when we need a second car. We only buy new cars and plan to run them until they die.
As for the credit cards, we smartly use only three reward credit cards and pay them in full monthly.
- Charles Schwab Card — 2% cash back on all purchase
- PenFed Card — 5% cash back on gas
- Citi CashReturns Card — 1% cash back at Sam’s Club