Mary receives a $10,000 inheritance on her 21st birthday. She pays $500.00 a month for rent; owes
$9,000.00 on her car loan with an interest rate of 5%; and owes $50,000 in student loan debt with a fixed
interest rate of 3%. She has a Visa Card with a balance of $600 at 16% interest.
Which is the wisest choice for Mary?
A
Use it all to pay down the student loan deb
B
Put it all in a savings account that has an interest rate of 2%.
C
Use most of it to pay off the $600 credit card and
a
D
Use it all to pay rent in advance.