Debt Snowball
Pay minimums on everything, then throw every extra dollar at the smallest balance first. Quick wins build momentum that math alone cannot.
By Findley's Finance · Last reviewed: September 2026
Why it matters
The snowball is psychologically engineered: killing a small debt fast delivers a win that keeps you attacking the next one. It costs slightly more in interest than the avalanche method, but the best payoff strategy is the one you actually finish — and most people finish the snowball. If you have ever quit a diet, you understand why the wins matter more than the math.
Concrete example
Debts of $500, $2,000, and $8,000: you attack the $500 first while paying minimums on the rest, then roll its payment into the $2,000.