Debt Payoff Calculator: Snowball vs. Avalanche
Find out when you could be debt-free, how much interest you will pay and which payoff method works best for you.
Your debts
Example numbers are filled in. Replace them with your own balances, interest rates and minimum payments.
Your plan
On top of all your minimum payments.
Pays the highest interest rate first. Usually saves the most.
Estimates only. Results assume fixed interest rates, the payments you enter, and no new charges. Actual results depend on your lenders' terms. This calculator runs in your browser and does not store or send your information. Not financial advice.
Snowball vs. avalanche at a glance
How the calculator works
Enter each of your debts with its balance, interest rate and minimum payment, then enter the total amount you can put toward debt each month. The calculator pays the minimum on every debt and puts every extra dollar toward one target debt at a time. When that debt is paid off, its payment rolls to the next one.
The debt snowball method
With the snowball method, you pay off the smallest balance first, regardless of its interest rate. Each debt you pay off frees up money for the next one, and the quick early wins help many people stay motivated.
The debt avalanche method
With the avalanche method, you pay off the debt with the highest interest rate first. Mathematically, this saves the most money and is usually a little faster.
A worked example
Suppose you have $600 a month to put toward these three debts:
| Debt | Balance | Interest rate | Minimum payment |
|---|---|---|---|
| Store card | $1,200 | 9% | $40 |
| Credit card | $4,500 | 24% | $110 |
| Personal loan | $9,000 | 18% | $250 |
The results:
| Method | Pays off first | Debt-free in | Total interest |
|---|---|---|---|
| Snowball | Store card (smallest balance) | 32 months | About $4,137 |
| Avalanche | Credit card (highest rate) | 31 months | About $3,857 |
In this example, the avalanche method saves about $280 and one month. The snowball method pays off the store card first, which may feel more motivating. Both are far better than making only minimum payments.
Which method should you choose?
- Choose the avalanche method if you are disciplined and want to pay the least interest.
- Choose the snowball method if you need early wins to stay on track.
The best method is the one you will actually stick with.
Tips to pay off debt faster
Use windfalls
Put windfalls such as tax refunds and bonuses toward your target debt.
Ask for a lower rate
Ask your card issuers for a lower interest rate. It costs nothing to ask.
Stop new charges
Stop adding new charges while you pay down balances.
Consider consolidating
Consider a consolidation loan or 0% balance transfer if you qualify.
Can't make even the minimum payments?
If a payoff plan isn't realistic right now, a debt remediation specialist can help you explore settlement and other options.
