'I really don’t want to use all my savings, so would getting a new credit card be a good plan?' I have medical bills for my dog. How can I manage them effectively without draining my savings?

Hey Money Minder,

So I’ve got this dilemma about paying off my dog’s medical bills.

I’ve got this care credit card with a $9000 limit (already used up $3000, but I might be able to bump up the limit) and it gives me 6 months to pay off with no interest. But let’s be real, there’s no way I can clear that debt in 6 months.

Here’s my plan: I’ll chip away at it for 6 months and when I hit the 5-month mark, apply for a 0% APR card to buy some more time for the rest.

About me: I’ve got around $18000 in savings (10k stuck in a CD until Feb ’25), and the only other debt I have is my mortgage. I’m pretty good with my bills, never missed a payment, and usually pay them off early. My credit score last time checked was about 790. I save $250 per paycheck, paid biweekly. I really don’t want to dip into my savings, so would getting a new credit card be a smart move? Anything I should watch out for?

Let me know if you need more details!

Take care, Reliable Rover Rescue Lover

Response from THE MONEY MINDER:

Hello There,

I understand the dilemma you are facing with figuring out the best approach to pay your dog’s medical bills. It sounds like you have thought things through and have some solid options on the table. Given your financial situation and responsible track record, applying for a new credit card with a 0% APR to help spread out the payments seems like a practical plan.

Considering that you have $18,000 in savings and only have a mortgage as your other debt, it’s understandable that you wouldn’t want to deplete your savings entirely for this expense. Your credit score of 790 also works in your favor and should help in securing a new card with a favorable interest rate.

Paying off as much as you can within the 6-month period using your care credit card and then applying for a new card to cover the remaining balance could be a good strategy. Just make sure to carefully manage your payments and budget to ensure you can pay off the debt within the given time frame to avoid accruing high interest rates.

Overall, your plan seems well-thought-out and reasonable given your financial stability. Just be sure to stay on top of your payments and avoid accumulating more debt than you can handle. If you need any further assistance or clarification, feel free to reach out. Good luck with your dog’s medical expenses, and take care.

Best regards,
THE MONEY MINDER