How This Calculator Works
This calculator uses the **Avalanche Method** (highest interest rate first), which is mathematically the most efficient way to pay off debt. It minimizes the total interest paid.
The Strategy
- Pay the **minimum payment** on all credit cards every month.
- Put all remaining budget toward the card with the **highest interest rate**.
- Once that card is paid off, roll its payment to the next highest interest card.
- Repeat until all cards are paid off.
Why This Method is Best
- Saves the most money in interest compared to other methods.
- Reduces the time you stay in debt.
- Psychologically motivating as you see high-interest debt disappear faster.
Tips for Success
- Try to increase your monthly budget even by $50–100 if possible — it makes a huge difference.
- Consider balance transfer cards with 0% intro APR to accelerate payoff.
- Stop adding new charges to your cards while paying them off.