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Debt Avalanche

Orders debts by interest rate so the most expensive is cleared first.

Interactive inputs coming — use the formula and example below.

Ejemplo resuelto

Attacking a 24% card before a 6% loan minimizes total interest.

Cómo usarla

  • Use the formula below with your own figures.

La fórmula

Pay highest-rate debts first to save interest.

Ejemplo resuelto

Attacking a 24% card before a 6% loan minimizes total interest.

Preguntas frecuentes

Why avalanche?

It mathematically minimizes interest paid.

Downside?

Progress can feel slower if the big debt is high-rate.

Consejos

  • Pay more than the minimum — it changes payoff dramatically.
  • Attack the highest-rate balance first to save the most.
  • Stop adding new charges while you pay debt down.

Términos clave

Minimum payment
The smallest amount due each period.
Utilization
Balances divided by credit limits.
Consolidation
Combining debts into one loan.