What's the difference between snowball and avalanche methods?

The snowball method focuses on paying off the smallest debts first for quick wins, while the avalanche method targets the highest interest debts first to save money on interest.

How do I choose the right repayment method?

Choose the snowball method if you need motivation from quick wins, or the avalanche method if you want to save the most money on interest. Consider your personality and financial goals.

Should I make minimum payments on all debts?

Yes, always make at least the minimum payment on all debts to avoid penalties and protect your credit score. Then put any extra money toward your target debt.

Debt Repayment Planner

Create your personalized debt repayment strategy

Enter your debts to compare different repayment methods and find the best approach for your situation.

Debt Repayment Planner

Repayment Method

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Debt 1

Name

Balance ($)

Interest Rate (%)

Minimum Payment ($)

Understanding Debt Repayment Strategies

Why a Repayment Plan Matters

Provides a clear path to becoming debt-free
Helps you save money on interest
Reduces stress and improves financial health

Common Repayment Methods

Snowball Method

Pay smallest debts first

Avalanche Method

Pay highest interest first

Debt Consolidation

Combine multiple debts

Tips for Successful Debt Repayment

Getting Started

• List all your debts and interest rates
• Create a realistic monthly budget
• Set clear financial goals

Staying on Track

• Make payments on time, every time
• Celebrate small victories
• Adjust your plan as needed

Use our DTI Ratio Calculator to understand how your debt affects your overall financial health.