Great Formula For Paying Off Debt

The Snowball Method

July 3, 2018

I have tried for years to get a handle on the best way to pay bills in a timely manner and eliminate debt. With our son graduating college.... here comes the big bill. Well, about ten years ago I came upon Dave Ramsey, through radio and I have read his books, listened to his podcast and most importantly I have employed his Snowball Method of paying off debt which is definitely different then just attacking the biggest bill first, or the bill that has the largest APR. The debt snowball method is a debt reduction strategy where you pay off debts in order of smallest to largest, gaining momentum as each balance is paid off.  When the smallest debt is paid in full, you roll the money you were paying on that debt into the next smallest balance. I saw quickly how much the smaller wins made you garner that excitement and helped to move me onward and up to the next larger debt pile. Let me know about your wins!