Your Debts
| Name | Balance | Rate % | Min Pay | |
|---|---|---|---|---|
$
Total Debt
$25,000
Avalanche Payoff
4y 5m
Snowball Payoff
4y 5m
Interest Saved (Avalanche)
$0
vs. Snowball
Strategy Comparison
Avalanche (High Interest First)
Payoff: 4y 5mInterest: $7,843
Snowball (Low Balance First)
Payoff: 4y 5mInterest: $7,843
Payoff Comparison
- Months
- Interest
About This Calculator
The debt payoff calculator helps you create a strategic plan to eliminate your debt as efficiently as possible. By comparing the Avalanche and Snowball strategies, you can see exactly how long it will take to become debt-free and how much interest you will save.
How It Works
The Avalanche method pays off the highest interest rate debt first, minimizing total interest paid. The Snowball method pays off the smallest balance first, building psychological momentum. Both strategies apply all freed-up minimum payments to the next debt once one is paid off.
Total Interest = ฮฃ (Balance ร Monthly Rate) across all payments until each debt reaches $0
Key Benefits
- 1See your exact debt-free date
- 2Compare total interest under each strategy
- 3Understand how extra payments dramatically speed up payoff
- 4Build a realistic, actionable debt elimination plan
Expert Tips
- โThe Avalanche method saves the most money in total interest
- โThe Snowball method provides motivation through quick wins
- โEven small extra payments make a significant difference
- โAvoid adding new debt while paying down existing balances
- โConsider balance transfers to lower-rate cards if available