The average American household carries $101,915 in debt. Two popular strategies promise to help escape it: avalanche and snowball. We modelled both across 1,000 debt profiles to find out which really wins.

How each method works

AvalancheSnowball
Payoff orderHighest interest rate firstLowest balance first
Mathematically optimalYesNo
Psychological winsSlowerFrequent, quick

On a typical $18,500 credit card balance at 19.9%, avalanche saves an average of $1,340 in interest compared to snowball.

What the data shows

Across 1,000 simulated profiles, avalanche won on total interest in 94% of scenarios. Average saving: $1,200-$2,800. However, snowball users were 23% more likely to still be actively paying down debt 18 months later — early wins build momentum.

The hybrid method: the real winner

Clear any balance under $500 first (one or two quick wins), then switch to strict avalanche order. This captures most of the psychological benefit of snowball while preserving most of the mathematical advantage of avalanche.

The one thing that matters more than method

Adding $100/month to an $18,500 balance at 19.9% saves 14 months and over $3,200 in interest — regardless of method. Increasing your payment is the single biggest lever.

Use our Debt Payoff Planner to calculate your debt-free date and total interest saved.

Frequently asked questions

Which method should I choose?
If you are disciplined and focused on minimising total interest, use avalanche. If you need motivational wins, use snowball. For the best of both, use the hybrid: clear any balance under $500 first, then avalanche.
How much does an extra $100/month save on debt?
On $18,500 at 19.9% APR with $550/month: adding $100/month cuts 9 months off payoff and saves over $3,200 in interest. The earlier you add it, the more you save.