Payoff Plan: $15,000 in 12 Months
Debt Balance
$15,000
Payoff Target
12 months
Required Monthly Payment by Interest Rate
0% (no interest)
$1,250/mo
6% APR
$1,291/mo
+$492 interest
12% APR
$1,333/mo
+$996 interest
18% APR
$1,375/mo
+$1,500 interest
24% APR
$1,418/mo
+$2,016 interest
29.99% APR
$1,462/mo
+$2,544 interest
Debt Payoff Strategies
Avalanche method: pay minimums on all debts, throw extra money at the highest-rate debt first. Mathematically optimal — saves the most interest. Snowball method: pay off smallest balances first for psychological wins. Research shows snowball leads to better follow-through for most people despite costing slightly more in interest.