Finance

Debt Payoff  Snowball vs Avalanche

Line up your debts. Pick the right strategy. See the exact month you'll be debt-free.

avalanche3 debts
payoff.plan/avalanche.run
extra $200/mo
Debt-free verdict
4y 0mountil debt-free
saves $0 vs snowballinterest $4,998
Total balance
$36,900
Monthly budget
$880
highest APR first — math-optimal
Your obligations

Debts

Extra monthly payment
Total balance
$36,900
Total min / month
$680
Monthly budget
$880
Total balance over time

Payoff timeline

Climb out highest APR first

Avalanche ladder

PrincipalInterest3 debts
1Credit card
1y 9mototal $7,944
Principal $6,500Interest paid $1,444
2Car loan
2y 9mototal $13,832
Principal $12,400Interest paid $1,432
3Student loan
4y 0mototal $20,123
Principal $18,000Interest paid $2,123
Math, not vibes

Side by side

Snowball
4y 0mo
Interest $4,998
Avalancheactive
4y 0mo
Interest $4,998

Avalanche saves $0 in interest vs snowball. Pick avalanche if you trust the math; pick snowball if you need quick wins to stay motivated.

Fed G.19, 2024 Q4

APR reference

  • Credit card (all accounts)21.5%
  • Credit card (accounts carrying a balance)23.4%
  • Personal loan (24-mo)12.3%
  • Auto loan (48-mo new)8.4%
  • Federal student loan (undergrad 2024-25)6.5%
  • HELOC (approx)9.0%

US Federal Reserve Consumer Credit G.19 release, Q4 2024. Averages — your actual rate depends on issuer and credit.

Assumes fixed APR, fixed minimum payments, interest compounded monthly, and extra payment applied on top of all minimums. Doesn't model fees, promo rates, or balance transfers.