Debt Payoff Calculator
Compare Debt Avalanche vs. Debt Snowball strategies and visualize your path to becoming debt-free.
1. Add Your Debts
2. Add Extra Payments
Frequently Asked Questions
What is the Debt Avalanche Method?
The Debt Avalanche method prioritizes paying off debts with the highest interest rate first. This saves the most money in interest over time. See how avalanche saves interest. For a step-by-step payoff timeline, try our free calculator.
What is the Debt Snowball Method?
The Debt Snowball method focuses on paying off the smallest balance first for quick wins and motivation. See the calculator. Compare both methods in our detailed guide.
Should I consolidate my debt?
Debt consolidation can lower your interest rate and simplify payments, but watch for fees. Read about the true cost. See our balance transfer vs. loan analysis for more options.
How does credit utilization affect my score?
Credit utilization is the ratio of your credit card balances to your limits. Lower utilization helps your FICO score. See how utilization impacts your score. Discover strategies in our minimum payment interest guide.
How long will it take to pay off my debt?
Use our debt payoff time calculator to estimate your timeline, or try the main calculator for a personalized plan.
What is a good Debt-to-Income ratio?
Your Debt-to-Income (DTI) ratio compares your monthly debt payments to your gross income. Lenders prefer a DTI below 36%, and anything over 43% may disqualify you from mortgages. Calculate your DTI ratio to see where you stand and get personalized recommendations.
How do I pay off my credit card faster?
The key is paying more than the minimum each month. Even an extra $50-100 can cut years off your payoff timeline and save thousands in interest. Use our Credit Card Payoff Calculator to see exactly when you'll be debt-free. See our guide on the true cost of minimum payments.
Debt Payoff Glossary
Debt Avalanche
Paying off debts with the highest interest rate first. See comparison. Try our free calculator to model your payoff.
Debt Snowball
Paying off the smallest balance first for motivation. See calculator. Compare with Avalanche in our expert guide.
Credit Utilization
The percentage of your credit limit you are using. Understand credit utilization. See how minimum payments affect utilization in our interest guide.
Debt Consolidation
Combining multiple debts into one loan, often at a lower rate. Read about costs. Compare consolidation options in our balance transfer vs. loan analysis.
Minimum Payment
The lowest amount you must pay each month. See interest impact. Learn about negative amortization in our minimum payment guide.
Debt-to-Income Ratio (DTI)
The percentage of your gross monthly income that goes toward debt payments. A lower DTI means better financial health. Calculate your DTI to see if you qualify for better loan rates.
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