The Debt Snowball Method
No matter what kind of debt you’re trying to get rid of, we recommend the Debt Snowball payoff method. This method has worked like a charm for many in the past. You’ll be amazed how fast it helps you become debt-free.
If you haven’t heard of the Debt Snowball, it’s a form of paying off your debts from the smallest to the largest balance.
You pay minimums on all of your credit card debts, and every time you finish paying one, you use the money you were paying towards that debt and roll it into your next most considerable debt.
Basically, the payments you make toward each successive debt become bigger and bigger…just like a snowball! From a mathematical viewpoint, this may not be the best way to pay off your credit card debts.
But from a human perspective, it is exceptional! Why? Well, unlike the more standard method of paying off your high-interest debt first, beginning with your smallest balances will allow you to have some early wins.
This will motivate you to continue until all your debts have been paid off.
