INCOME TAX REFUND AND PAYING OFF DEBT

Unlike the title of this post may imply, I'm not using my tax refund to pay off old debt.  Normally any tax refunds I'm lucky enough to get go directly to my investment accounts.  This year, however, I'll be using at least part of my refund to build up my cash reserves and a small amount for new glasses.  I'll still be investing at least 20% of my refund in dividend paying stock.  Still working on rebuilding my regular investment account after paying off my medical bills.

As far as the old debt goes, I've been taking advantage of transfer checks from my two remaining credit cards to retire higher interest debt.  Instead of paying 17.99% or 14.99% on the credit cards I've cancelled, I'm paying them off with transfer checks with 0% interest for the first 12 months.  Twelve months is more than enough time for me to pay them completely off, so I'll be saving a great deal in interest.  This has also allowed me to make larger payments on my remaining credit cards and reduce my outstanding credit at a faster pace, since I'm making payments on 2 bills instead of 4.  Normally I don't advocate balance transfers, but if the offer saves you money, then it makes sense to take advantage of it.