Average American has $90,000 in debt.
Here is how to destroy yours fast!
THE TWO PROVEN METHODS:
METHOD 1 — DEBT SNOWBALL:
→ List debts smallest to largest balance
→ Pay minimums on everything
→ Attack smallest debt with extra money
→ Once paid celebrate then attack next!
→ Best for: Motivation & quick wins
METHOD 2 — DEBT AVALANCHE:
→ List debts highest to lowest interest
→ Pay minimums on everything
→ Attack highest interest with extra money
→ Mathematically saves most money
→ Best for: Saving maximum interest
EXAMPLE DEBTS:
Credit card: $5,000 at 24% APR
Car loan: $15,000 at 6% APR
Student loan: $30,000 at 4% APR
Snowball order: Credit card → Car → Student
Avalanche order: Credit card → Car → Student
(Same in this case — credit card first always!)
FASTEST WAY TO PAY OFF DEBT:
- STOP CREATING NEW DEBT:
→ Cut up credit cards
→ No new loans
→ Live below your means - FIND EXTRA MONEY:
→ Sell stuff on Facebook Marketplace
→ Pick up overtime or extra shifts
→ Start a side hustle
→ Put all extra money to debt - LOWER YOUR INTEREST RATES:
→ Call credit card company
→ Ask for lower rate (works 50% of time!)
→ Balance transfer to 0% APR card
→ Refinance student loans - USE WINDFALLS WISELY:
→ Tax refund → debt payment
→ Bonus → debt payment
→ Birthday money → debt payment
TIMELINE EXAMPLE:
$10,000 in debt
Paying $500/month extra
Paid off in 18 months!
You can do this! Start today! 💪