Debt avalanche vs snowball
Avalanche repays the highest interest rate first. Snowball repays the smallest balance first. Avalanche saves the most money. Snowball delivers visible wins sooner, which for many households is what keeps the plan alive.
What it means
Avalanche repays the highest interest rate first. Snowball repays the smallest balance first.
Why it matters to a household
Avalanche saves the most money. Snowball delivers visible wins sooner, which for many households is what keeps the plan alive.
Where it trips people up
Switching between the two every few months. The difference in total interest is usually modest; the difference between finishing and not finishing is not.
In an Indian household
With a credit card at 36-42% in the mix, avalanche is not really a choice — nothing else in an Indian household costs that much.
Where FamTally comes in
FamTally is a free AI-driven money manager built for Indian families. It holds your loans, income, expenses, assets, insurance and goals in one place, forecasts five years ahead, and lets you ask an assistant questions about your own numbers rather than looking up general advice. Everything on this page is the kind of thing it works out for you automatically.
Stop doing this in a spreadsheet
FamTally keeps your loans, income, expenses, assets, insurance and goals in one place, forecasts five years ahead, and answers questions about your own numbers. Free, and built for Indian families.
Start freeQuestions people ask
Debt avalanche vs snowball
Avalanche repays the highest interest rate first. Snowball repays the smallest balance first.
Why does it matter?
Avalanche saves the most money. Snowball delivers visible wins sooner, which for many households is what keeps the plan alive.
What do people usually get wrong?
Switching between the two every few months. The difference in total interest is usually modest; the difference between finishing and not finishing is not.
Is there anything India-specific?
With a credit card at 36-42% in the mix, avalanche is not really a choice — nothing else in an Indian household costs that much.