Two algorithms
- Snowball: pay minimums everywhere, then throw extra at the smallest balance until gone—roll the payment forward.
- Avalanche: throw extra at the highest APR first—minimizes interest cost, all else equal.
When psychology beats math
If snowball’s wins keep you from relapsing into new debt, it can outperform avalanche on paper—because behavior is part of the objective function.
Use the calculator
FAQ
- What about hybrid?
Common: clear tiny toxic debts for momentum, then avalanche the rest.