Debt snowball vs debt avalanche

Pick the method that fits your brain

Two main strategies, both work. The one that wins is the one you'll actually stick with.

Snowball kills your smallest debt first, regardless of rate. Avalanche kills the highest-rate debt first, regardless of size. Same money out, different order.

Pick the one that matches how you're wired.

Key points

• Snowball wins on motivation. Paying off a $400 bill in month one is a win. Wins build momentum. Momentum beats spreadsheets when you want to quit.
• Avalanche wins on math. Killing your 26% card first saves more in total interest. If you're numbers-driven and disciplined, this is optimal.
• Hybrid works for most people. Pay off anything under $500 first for quick wins, then switch to highest rate.
• Either method beats random. The worst strategy is scattering extra payments across every debt. Pick one, attack it, move on.