Simulate paying off multiple debts smallest-balance-first, the "debt snowball" method.
Simulate paying off multiple debts smallest-balance-first, the "debt snowball" method.
Every debt gets its minimum payment each month, and any extra money you can put toward debt goes entirely to whichever debt has the smallest remaining balance. Once that debt is fully paid off, its payment amount rolls into the next-smallest debt, building momentum — the "snowball" effect the method is named for — month by month until every debt is cleared.
