The avalanche debt method - Deepstash

The avalanche debt method

In the debt avalanche method, you pay your debts from the highest interest rate to the lowest interest rate, regardless of balance.

You will pay less in interest if you pay off your debts in this order. You will also pay it off faster.

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joa_fu

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The snowball debt method

The snowball debt method

With this method, you pay off your debts from the smallest balance to the largest balance, regardless of interest rates.

When you pay the smallest debts first, you start to clear your low debts away very quickly. Doing this feels empowering. Once you've paid off a debt, yo...

Debt when you're on a tight budget

There are a couple of paths you can take to pay off your high-interest debt when you're on a tight budget.

  • The snowball method. For those who need to see progress, pay off the lowest balance first. You'll feel inspired to keep going.
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How to deal with your debt

Try to transfer your debt onto a zero-interest credit card (also known as a balance-transfer card). It will give you a limited time window where your debt won't accrue interest and allow you to get rid of your debt faster. But ensure you can pay it off within that window, otherwi...

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