What is the debt snowball method?
The debt snowball method pays off debts smallest balance first (regardless of interest rate), making minimum payments on the rest. Each paid-off debt frees up cash to attack the next one. Great for motivation. The debt avalanche method (highest rate first) saves more money but is psychologically harder.
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The debt snowball method pays off debts smallest balance first (regardless of interest rate), making minimum payments on the rest. Each paid-off debt frees up cash to attack the next one. Great for motivation. The debt avalanche method (highest rate first) saves more money but is psychologically harder. The exact answer depends on your specific situation — the numbers above are a strong starting point, but the right next step is to plug in your actual figures.
For a deeper analysis, use one of the related tools below — they take your specific income, debt, location, and goals as inputs and produce a tailored answer.