Payoff Plan: $5,000 in 48 Months
Debt Balance
$5,000
Payoff Target
48 months
Required Monthly Payment by Interest Rate
0% (no interest)
$104/mo
6% APR
$117/mo
+$616 interest
12% APR
$132/mo
+$1,336 interest
18% APR
$147/mo
+$2,056 interest
24% APR
$163/mo
+$2,824 interest
29.99% APR
$180/mo
+$3,640 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.