Debt Snowball vs Avalanche Calculator

What is the Debt Snowball vs Avalanche Calculator?

The two most popular debt payoff strategies differ only in the order you attack debts. The snowball method pays the smallest balance first for quick wins; the avalanche method pays the highest interest rate first to save the most money.

Enter your debts and extra monthly payment. This snowball vs avalanche comparison runs both plans month by month and shows the payoff time, total interest and order for each, so you can see what motivation costs.

How to use the Debt Snowball vs Avalanche Calculator

1. Your Debts (one per line: name, balance, rate %, minimum payment) (sample: HDFC card, 90000, 42, 4500 SBI card, 40000, 36, 2000 Personal loan, 150000, 14, 5200)
2. Extra Monthly Payment (₹) (sample: 5,000)
3. Press Compare Payoff Methods (results also refresh as you type). The result card shows the Method That Saves More, along with Snowball – debt-free in, Snowball – total interest, Avalanche – debt-free in and Avalanche – total interest.

Formula used

Each month: pay all minimums, then put the extra on the target debt

• Snowball target = the smallest remaining balance
• Avalanche target = the highest interest rate

The avalanche method always costs the same or less interest; the difference depends on how rates and balances differ.

Worked example

These are the sample values already filled in the calculator above, and the result it returns for them:

Tips for using the Debt Snowball vs Avalanche Calculator

• If the saving from avalanche is small, choose the method you will stick to.
• Freed-up minimum payments must be redirected, not spent.
• Refinancing expensive debt at a lower rate helps either method.