Debt Payoff Estimator
Enter up to five debts and what you can pay each month to see how long the debt snowball and debt avalanche take and how much interest each costs, then check whether a debt consolidation loan, fees included, would be cheaper.
Debt payoff estimator: snowball vs avalanche
| Debt | Balance ($) | APR (%) | Minimum payment ($) |
|---|---|---|---|
Snowball order:
Avalanche order:
Debt consolidation loan instead
Calculator to pay off debt: snowball vs avalanche
- Debt avalanche: pay minimums on everything and put every extra dollar on the highest-APR debt. It always costs the least interest.
- Debt snowball: put extra dollars on the smallest balance first. You clear accounts sooner, which helps many people stick with the plan; it usually costs a bit more interest.
Both methods roll each paid-off debt's payment into the next one, so the amount you pay each month stays the same until everything is gone. With the example debts ($20,700 total) and $800 a month, avalanche finishes in 31 months with about $3,860 of interest; snowball takes 32 months and about $4,610.
Credit card payoff calculator: why minimums take so long
Card minimums are often 1% of the balance plus interest, so paying only the minimum on $6,500 at 22.9% can take over 20 years. Any amount above the minimum goes straight to principal.
Debt consolidation: when it helps
A debt consolidation loan (or bill consolidation loan) replaces several debts with one fixed payment. It helps when the new APR, including the origination fee, is clearly lower than your average rate and the term isn't much longer. A 4% fee on an 11.5% loan raises the APR to about 14.4% over 3 years. Alternatives: a 0% balance-transfer card (watch the 3% to 5% transfer fee and the rate after the promo), or a nonprofit credit counseling debt management plan.
Consolidating doesn't reduce what you owe; avoid running the cards back up, and be wary of "debt settlement" companies that charge fees before settling anything (the FTC bans up-front fees for telemarketed debt relief).
Pay down debt calculator and credit card payoff options
Use it as a pay down debt calculator, CC payoff calculator, credit card calculator pay off plan, credit card payment calculator payoff estimate or paying down credit card calculator: enter each card as its own debt. To consolidate debt with one loan (bill consolidation debt loans are the same thing), use the consolidation box; any bill consolidation debt left on cards afterward should be paid first.
Common questions
Is the snowball or avalanche method better?
Avalanche saves the most interest; snowball gives quicker wins. The difference is often small, so pick the one you'll stick with.
How long will it take to pay off my debt?
Enter each debt and your monthly budget; $20,700 at $800 a month takes about 31 to 32 months in the example.
Is a debt consolidation loan a good idea?
Yes if its APR, including fees, is lower than your current debts' average rate and you stop adding new debt.
Does debt consolidation hurt your credit?
A small, temporary dip from the credit check; lower card utilization afterward often helps.
What is a good monthly amount for debt payoff?
As much above the minimums as your budget allows; even $100 extra cuts months off.
Sources
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General information, not financial, tax or legal advice. Check important numbers with the official source before acting on them.