Debt payoff calculator: avalanche vs snowball
With three debts totalling £11,700 and £200 extra a month, the avalanche method clears them in 31 months for £4,128 of interest, while the snowball method takes 32 months and costs £4,761. Paying only the minimums would take 76 months and cost £12,181.
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Avalanche versus snowball
Both methods pay the minimum on every debt and put every spare pound or dollar on one target. The avalanche method targets the highest interest rate first, which always costs the least interest. The snowball method targets the smallest balance first, which gives quick wins that help some people stick with the plan.
Example: Debt 1 £2,500 at 19.9% (min £75); Debt 2 £8,000 at 27.9% (min £200); Debt 3 £1,200 at 14.9% (min £40)
| Plan | Months to be debt-free | Total interest | Debt cleared first |
|---|---|---|---|
| Minimum payments only | 76 | £12,181 | Debt 3 |
| Avalanche + £200 extra | 31 | £4,128 | Debt 2 |
| Snowball + £200 extra | 32 | £4,761 | Debt 3 |
How to use it
- Enter each balance, its APR and its minimum payment. Set a balance to 0 to ignore a debt.
- Add the extra amount you can afford every month.
- Compare the two methods, then pick the one you will keep doing.
- When a debt is cleared, roll its payment onto the next target: the calculator does this for you.
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Other ways to cut debt costs
- Ask your lender or card issuer for a lower rate.
- Consider a balance transfer for card debt, or a lower-rate consolidation loan, if the total cost is lower.
- Avoid new borrowing while you pay down the old.
- Free help is available: StepChange, PayPlan, Citizens Advice and MoneyHelper.
Sources and further reading
Questions people ask
Which is better: avalanche or snowball?
Avalanche costs less interest. Snowball can feel more motivating because small debts disappear sooner. The best method is the one you will keep going with.
What if I cannot afford any extra?
Pay the minimums on time and look for savings elsewhere, or ask your lenders about a lower rate or a payment plan.
Results are estimates for information only, not financial advice. Read the full disclaimer.
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