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Debt Snowball - Pay Off Debt

Get rid of your debt faster with debt relief

Choose your debt amount

$25,000
$1,000$100,000

Or speak to a debt consultant  844-731-0836

Betsalel Cohen
UpdatedSep 20, 2024

Three Steps to Snowball Debt or Avalanche Debt Payment

  1. Collect Information About Your Unsecured DebtsFirst, collect information about your debts. Start by getting a free credit report.
  2. Figure out How Much You Can PayAvoid minimum payments by keeping your payments constant. Even better, pay off your debts more aggressively. 
  3. Snowball, Avalanche, or...?Paying off your debts means sticking to the plan. Some people, such as David Ramsey, suggest that you pay off your lowest balance first. The psychological boost keeps you on track.However, if you start with the highest interest rate, then you are going to save the most money.One other way to pay off your debt quicker and save money is to take out a debt consolidation loan. If you qualify for a low-interest loan (or at least lower than your current debt), then you can save money and optimize your debt payments.Use the Snowball Debt Calculator to find out precisely much you can save.

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Paying off Debt Questions

Get rid of your debt faster with debt relief

Get rid of your debt faster with debt relief

Take the first step towards a debt-free life with personalized debt reduction strategies.

Choose your debt amount

$25,000
$1,000$100,000

Or speak to a debt consultant  844-731-0836

Frequently Asked Questions

Can a debt consolidation loan be a better alternative?

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debt consolidation loan can save you money if you have high-interest rates. To get the best rates you need an excellent credit score. However, if your current credit card rates are very high, or you need to consolidate medical and other bills, then a debt consolidation loan might be a good alternative.

What if I can't afford the minimum payments?

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Minimum payments are a costly way to pay off your debt. The Debt Payoff (Snowball) Calculator shows how much you pay if you don't reduce your monthly payments. 

If you can't afford your minimum payments, then take a serious look at your budget, or try to work out a debt relief program.

Debt statistics

Mortgages, credit cards, student loans, personal loans, and auto loans are common types of debts. According to the NY Federal Reserve total household debt as of Q1 2024 was $17.69 trillion. Housing debt totaled $12.82 trillion and non-housing debt was $4.88 trillion.

According to data gathered by Urban.org from a sample of credit reports, about 26% of people in the US have some kind of debt in collections. The median debt in collections is $1,739. Student loans and auto loans are common types of debt. Of people holding student debt, approximately 10% had student loans in collections. The national Auto/Retail debt delinquency rate was 4%.

The amount of debt and debt in collections vary by state. For example, in Kansas, 26% have any kind of debt in collections and the median debt in collections is $1652. Medical debt is common and 17% have that in collections. The median medical debt in collections is $849.

To maintain an excellent credit score it is vital to make timely payments. However, there are many circumstances that lead to late payments or debt in collections. The good news is that there are a lot of ways to deal with debt including debt consolidation and debt relief solutions.

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