Debt Payoff Calculator UK: Snowball vs Avalanche
Snowball or avalanche? The maths almost always favours avalanche - but the strategy you'll actually finish beats the one that's £200 cheaper on paper. The calculator settles it.
Worked example: three debts, £150 extra a month
| Debt | Balance | APR | Min payment |
|---|---|---|---|
| Store card | £1,200 | 26% | £40 |
| Credit card | £4,000 | 22% | £100 |
| Personal loan | £8,000 | 8% | £200 |
| Avalanche order | Store, card, loan | ~30 months | ~£1,650 interest |
Avalanche attacks highest APR first. Run your own numbers in the debt payoff calculator.
Key takeaways
The debt payoff calculator compares two strategies: snowball (smallest balance first) and avalanche (highest rate first).
The avalanche method always saves more money in interest, but the snowball gives faster psychological wins.
An extra monthly payment on top of minimums is the single biggest lever for becoming debt-free sooner.
Most UK households can shave years and thousands of pounds off their debt with an extra £100 to £200 a month.