Fight Debts With Snow

Stop debt collectors before they start. Pay your bills on time, sucka. To help you do that, the Debt Snowball Calculator helps you figure out which ones to pay first. Generally, these are the ones with higher interest rates. The calculator does the math for you, freeing your brain for higher level tasks like applying for more credit cards with your new and improved credit rating.

Snowball Calculator via Lifehacker.

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  1. Nifle says:

    I love this calculator! It showed me how to apply my new raise on my debts, so that I will be debt free in less than four years, at my current level of salary. Now I just need one that allows the option of investing money at the same time so I can see my personal wealth increase as I pay down debt.

  2. jeblis says:

    As for saving or investing (aside from emergency funds) it’s best to make this simple comparison: Is the interest on the investment greater than the interest on your highest interest debt?

  3. tedonion says:

    Thats right jeblis, I am not an expert, but one should always pay off all debts except home mortgage and create an emergency fund before saving money.

    This is a great tool, I hope it saves a lot of people money.

  4. johnandmary says:

    I to love this calculator! My wife and I have managed to get our debt down from just over $23,000 to just under $7,000 in one year, and we’ve been sticking strickly to the snowball method described on the site. Some people say you should snowball by paying off the smaller debts first, and I can see some merit in that from a psycological point of view, but for us, using this method and paying off the high interest ones first is working well. If you’re in debt GIVE IT A GO!!! :-)

  5. Asherah says:

    I love that the site has a position that debt consolidation might not always be the best practice, yet is fully of google ads just trying to lure you into it! Priceless!