Karamatsu wrote:If the life insurance policy is only worth $5K it may just intended to protect the family in case of an untimely death. The costs associated with burial/funeral, etc, can be outrageously high and could be a burden in the worst-case scenario, so sometimes parents will buy insurance like that for their kids.
It sounded to me like the OP was talking about the "cash value". Said another way, the amount he can receive if he stops making payments. The face value, or amount his beneficiary would receive in the event of a death, is probably much more. I'm not an expert on these policies, so i will leave it out of my comments after this.
roymeo wrote:When the eventual layoff happened, I still had all of them demanding a minimum monthly payment.
Some loans let you "pre-pay". You should find out if this is the case for any of your loans. This gives you a little more protection in case you have an unforeseen reduction in income.
1. participate in the 401(k) enough to get the full match. This should be a no brainer.
2. Enroll in the automatic payments. Not only will you get a reduction in the amount of interest, but it will protect you from accidentally forgetting a payment. You can still make one-time variable contributions each month.
3. The loan on the car probably is not worth the hassle. Someone else already said this.
4. Probably wait till the bonds mature before cashing them in. A previous poster already explained this.
5. consider paying off the $8,407.89 loan immediately
. Your emergency fund is very large for someone who has no dependents or other obligations. Also consider applying a good chunk of this to the $14,380.95 loan.
Also, I think it's great that you are so motivated. Keep up the good work! Just don't let yourself burn out. The interest rates on the two biggest loans are very low (<3% after auto-pay). This isn't the kind of back-breaking debt some people come out of school with. Don't be afraid to treat yourself every now and then.