121 Financial Credit Union Blog Debt Snowball vs Avalanche: Which Method Is Right for You?

In life, unexpected events can leave you between a rock and a hard place. You may face emergency expenses without the means to pay for them. While borrowing money can get you out of the situation, you must face debt repayment. If you have incurred debt, our debt snowball vs avalanche guide can help you decide which payoff strategy is right for you and how to implement it. Debt can be a primary source of stress and financial hardship — approximately 340 million Americans currently share the $16.9 trillion household debt in the country. Many people find themselves in the difficult position of trying to figure out the best way to pay off their debts. Without a proper action plan, achieving debt freedom can be challenging. However, there are various strategies you can employ to expedite the process of becoming debt-free. In this blog post, we will explore the differences between the debt snowball and debt avalanche methods, weigh their pros and cons, and help you determine which strategy is best suited to your financial situation.