Avalanche method
** We always suggest the avalanche method because this mathematically minimizes the cost of interest over the life of your loan(s). Trust the process.
Prioritize high-interest debt
Pay off your debts from high to low interest rate. This tackles the problem head-on and prevents the high-interest loans from getting out of hand.
Make minimum payments on all other debts
As you pay down the highest interest rate loan, continue to make the minimum monthly payments on all other debts.
Snowball method
Get motivated
The snowball method encourages you to pay off your smallest debts first to gain some momentum. The idea is that seeing your total number of debts decrease will kickstart your progress.
Make minimum payments on all other debts
Just like with the avalanche method, you will continue to make the minimum payments on all your other debts.
