got our landline number ported to a pre-paid cell...and then discovered that Google wouldn't accept the number. No idea why. But it's been true for over a year now. Wait a minute, you're simultaneously suggesting putting the emergency fund toward CC debt but also dropping comprehensive/collision coverage on the cars? If they have no savings it would take them ~2 months to save up to replace a totalled car, assuming all income and vehicle expenses stay fixed during that car-lite period (which is optimistic at best). Is the idea since they have two cars, the loss of one is considered to be not a big deal? Exactly what Des said. Keeping the savings "just in case" earns them no extra money. Putting it towards the CC earns them whatever their interest rate is (let's say 18%). IF (big "if") they need to replace the car the loan they could get might be 5% or possibly less. So even if they need the car loan they will still net 13% interest with my assumed (but realistic) numbers. Point is that you stick your emergency savings against credit card debt and if you have an emergency, you can simply use the credit card if nothing else is possible. Money is still there, except it is saving you interest and it is improving your credit score. Based on $570 in "bad debt", should we assume that credit card debt is around $40,000? Any chance of refinancing this into mortgage (or simple loan) and