Debt Payoff Calculator

Find your fastest
path out of debt

Enter your debts. We compare snowball, avalanche, and HELOC consolidation side by side — then tell you exactly which one wins for your numbers.

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Debt Name
Balance ($)
Rate (%)
Min. Payment ($)
Include HELOC consolidation? Compare using home equity to pay off debt at once

Your results are in

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Two methods. One winner
for your situation.

Snowball Method

Start small, build momentum

Pay minimums on everything. Throw every extra dollar at your smallest balance first. When it's gone, roll that payment into the next smallest debt. The math isn't optimal — but the psychology often is. Quick wins keep people on track.

Avalanche Method

Highest rate first, always

Target your highest interest rate first regardless of balance. Mathematically, this saves the most money. If your credit card is at 24% APR, every month you don't attack it first is money burned. Best for people who won't quit when early progress feels slow.

⚠️

The trap most people fall into

Making minimum payments feels like progress. It isn't. On a $5,000 credit card at 22% APR, minimum payments alone stretch your payoff to 17+ years and cost you more than double in interest. The calculator above shows you exactly how much minimum payments are costing you — and how much an extra $100–200/month changes everything.

When a HELOC actually makes sense

Use a HELOC when...

The math works in your favor

You have high-interest debt (15%+ APR) and home equity available. A HELOC typically runs 8–10% — potentially cutting your rate in half. One payment, one rate, one payoff date. If you have solid equity and discipline not to reload the credit cards after consolidating, this can save thousands.

Skip the HELOC when...

Your home becomes collateral

A HELOC is secured by your house. Miss payments on a credit card, your credit score takes a hit. Miss payments on a HELOC, you can lose your home. Only consolidate to a HELOC if your income is stable, the rate spread is meaningful, and you'll close the credit cards after paying them off.

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Common questions

Which debt payoff method saves the most money?
The avalanche method (highest interest rate first) always saves the most money mathematically. The difference versus snowball depends on your specific debts — sometimes it's hundreds, sometimes thousands. Run your numbers above to see the exact gap for your situation.
Should I use a HELOC to consolidate credit card debt?
Only if three things are true: your credit card rates are significantly higher than current HELOC rates, you have stable income, and you'll actually close (or freeze) the credit cards after consolidating. The danger is using the equity to pay off cards and then running the balances back up — leaving you with both the HELOC and the credit card debt.
How much does an extra $100/month actually matter?
More than most people expect. On a $10,000 credit card at 20% APR, paying the minimum (around $250/month) takes over 5 years and costs $4,500+ in interest. Adding just $100/month cuts that to under 3 years and saves over $2,000. Enter your actual numbers above to see the exact impact.
What's a realistic HELOC interest rate right now?
HELOC rates are variable and tied to the prime rate. They've generally ranged from 7.5%–10% in the current rate environment. Your actual rate will depend on your credit score, loan-to-value ratio, and lender. Check with your bank or credit union for a current quote — the difference between a 7.5% and 9.5% HELOC matters significantly over a 5-year payoff.
Does the debt snowball or avalanche work better for motivation?
Snowball wins for motivation — the quick wins from eliminating small debts provide real psychological momentum. Research consistently shows people who use the snowball method are more likely to stick with their payoff plan. If you've tried the avalanche before and quit, snowball may be the better choice even if it costs a bit more in interest. A plan you follow beats an optimal plan you abandon.
Disclaimer: Results from this calculator are estimates for educational purposes only and do not constitute financial advice. Payoff timelines assume consistent payments and fixed interest rates. Actual results will vary based on lender terms, rate changes, and payment behavior. Consult a licensed financial advisor before making decisions about consolidation or major debt strategy changes.