A couple. planning a debt repayment strategy with the snowball method.

đŸ’„Avalanche vs. Snowball Method: Which Should You Choose?

If you’re trying to get out of debt, you’ve likely heard of the avalanche and snowball methods. But which one actually works better?

The truth is—it depends on you.

Let’s break down each strategy so you can confidently choose the debt payoff plan that fits your personality, financial goals, and lifestyle. đŸ’Ș

❄ What Is the Snowball Method?

With the snowball method, you focus on paying off your smallest debt first, regardless of the interest rate. Once that’s paid off, you roll the payment into the next smallest, and so on—like a snowball rolling downhill and gaining momentum.

✅ Pros:

  • Quick wins = early motivation 🙌

  • Simple to follow

  • Emotionally satisfying (you see progress fast!)

⚠ Cons:

  • May cost more in interest over time

🔗 Want help deciding which method fits your situation? Download your free copy of Your Money Mastery Checklist and get clear on your next steps.

⛰ What Is the Avalanche Method?

The avalanche method focuses on debts with the highest interest rate first—regardless of balance. You’ll still pay minimums on everything else, but any extra money goes to the high-interest debt first.

✅ Pros:

  • Saves the most money in the long run

  • Mathematically efficient

⚠ Cons:

  • Takes longer to feel the first “win”

  • May be harder to stick to if you need quick gratification

📊 According to a study by the Harvard Business Review, people are more likely to stick with a debt payoff plan that provides early success—even if it’s not the most efficient. (Source)

🧠 So
Which One Should You Use?

Here’s the thing: the best plan is the one you’ll actually follow.

If you’re motivated by quick wins, go with the snowball method.

If you’re focused on saving the most money, the avalanche method might be your jam.

💡 At Moola Masters, we help you choose the strategy that fits your psychology—not just your spreadsheet. Learn more inside our step-by-step course:
👉 Money Mastery 

🔁 What If I Want to Combine Both?

You can! Some people start with the snowball method to build momentum, then switch to avalanche once they’re in the groove.

This flexible approach is part of what we teach inside our Money Mastery Bootcamp, where you’ll build a personalized plan that includes:

  • A custom debt payoff strategy

  • A weekly spending limit (aka your Mojo Number)

  • And an action plan to hit financial freedom goals faster

📅 Bootcamp is offered a few times a year—and spots fill quickly. Sign up here to be notified and get 20% off as a waitlist member!

🏁 Final Thoughts

No matter which method you choose, starting is what matters most.

Pick a plan, stick to it, and don’t forget to celebrate your wins—big or small. Your future self (and your bank account) will thank you. 💾💖