PakFinanceGuidesAvalanche versus snowball
Avalanche attacks the highest interest rate first — mathematically cheapest. Snowball clears the smallest balance first — fastest psychological win and fewer open debts sooner. Enter your two biggest debts and watch both strategies play out month by month.
Worked example
Debt 1: 5,000 at 22% (125 minimum). Debt 2: 3,000 at 15% (75 minimum). Extra 200 a month. Avalanche: 27 months, about 1,660 interest. Snowball: 29 months, about 2,042 interest. Avalanche saves roughly 382 and two months here.
Which should you pick?
If the interest gap is large, avalanche wins clearly. If balances are close, snowball's quick wins can keep you motivated — and motivation is what finishes payoff plans. Either beats minimums-only, which is how balances survive for decades.
Frequently asked questions
What is the avalanche method?
Pay minimums on everything, throw all extra cash at the highest-APR debt first. Cheapest in total interest.
What is the snowball method?
Same idea but target the smallest balance first. You clear debts faster, which keeps motivation high.
Which saves more money?
Avalanche, almost always — sometimes by a little, sometimes by a lot. The calculator shows your exact difference.
Should I consolidate instead?
If you can get a clearly lower rate with no nasty fees, consolidation plus the avalanche mindset is powerful. Compare with the debt consolidation calculator.