Key takeaways
- Avalanche minimizes total interest.
- Snowball gives faster early wins.
- Both keep your total monthly payment constant.
How the debt snowball vs avalanche calculator works
Both methods keep your total monthly payment constant. When a debt is paid off, its minimum payment rolls into the next target. Avalanche minimizes interest mathematically; snowball delivers faster first wins.
Formula
Standard formula. Further reading: CFPB – Credit cards
Worked example
Two debts — $2,000 at 5% and $5,000 at 24% — with $350 a month: avalanche attacks the 24% card first and pays less total interest than snowball, which clears the $2,000 loan first.
Change any number above and the plain-English explanation updates instantly with your own figures.
Frequently asked questions
Which method saves more money?
The avalanche method always pays the same or less interest, because it targets the most expensive debt first.
Why do people choose snowball?
Paying off a small balance quickly gives a motivational win, which helps many people stick with the plan.
What if two debts have the same rate?
Ties are broken by the smaller balance, so both methods behave sensibly.
Should I include my mortgage?
Usually not. These methods are for consumer debts like cards, personal and car loans.
What counts as the extra payment?
Any amount above the total of your minimums that you can commit each month.
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Results are estimates for educational purposes and are not financial advice.