Debt Avalanche vs Snowball: Which Pays Off Faster?

The avalanche method pays the highest-rate debt first, minimizing total interest. The snowball method pays the smallest balance first for psychological momentum.

Example: $10,000 at 24.99% + $5,000 at 15.99%:

• Avalanche: attack the 24.99% balance first → saves more interest
• Snowball: clear the $5,000 first → faster early wins
• Both work — choose the one you'll stick with