If you’ve been looking for ways to pay down your debt, you’ve probably heard the term “debt snowball” before. It’s a method that involves paying off your smallest balances first. Once you do that, you create momentum that allows you to easily keep getting rid of the rest of your debts. This strategy keeps you on track by helping you view your debt as more manageable and less intimidating.
The overall idea is to pay off certain debts as quickly as possible, and each time you pay off a debt, you have fewer minimum payments to meet. This strategy works really well at building up confidence and helping you to pay off all debts faster.