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Debt Payoff Calculator (Avalanche Method)

Enter up to three debts to see how long it takes to pay them all off using the avalanche method (highest interest rate first), plus total interest paid.

📉Debt Payoff Calculator (Avalanche Method)
BalanceAPR (%)Min Payment
Months to Pay Off All Debts
Total Interest Paid

What is a Debt Payoff Calculator?

This tool calculates how long it will take to pay off one or more debts and how much total interest you'll pay, based on your balances, interest rates, and monthly payment amounts. It helps compare payoff strategies like the debt avalanche and debt snowball methods.

How It Works

The calculator simulates monthly payments against each debt's balance, applying interest charges and payments over time until each debt reaches zero, tracking the total months and total interest paid across all debts combined.

How to Use This Tool

Enter each debt's balance, interest rate, and minimum payment, along with any extra amount you can pay monthly, and the calculator projects your payoff timeline under your chosen strategy.

Examples

Example: With three debts totaling $15,000 across different interest rates, applying extra payments to the highest-rate debt first (avalanche method) typically results in less total interest paid compared to paying minimums on all debts.

Frequently Asked Questions

What's the difference between the debt avalanche and debt snowball methods? The avalanche method targets the highest interest rate debt first (mathematically optimal, saving the most money), while the snowball method targets the smallest balance first (providing quicker psychological wins that can help maintain motivation).

Which debt payoff method is better? The avalanche method typically saves more money in total interest, but the snowball method's quick early wins work better for some people's motivation and consistency — the "best" method is often the one you'll actually stick with.

How does paying more than the minimum affect payoff time? Extra payments directly reduce principal faster, which reduces the interest that accrues going forward, often significantly shortening total payoff time even with modest additional payments.

Should I pay off debt or invest extra money? This often depends on comparing the debt's interest rate to expected investment returns — paying off high-interest debt (like credit cards) is often prioritized first, since guaranteed interest savings frequently outweigh uncertain investment returns.

Does consolidating multiple debts help with payoff? Debt consolidation can simplify payments and potentially lower the overall interest rate, though it's worth carefully comparing total costs and terms, since consolidation isn't automatically beneficial in every situation.