The Debt Snowball Plan

In this lesson, you’ll learn how to use the debt snowball method to start feeling relief more quickly while digging out of debt.

Description

The debt snowball is a plan to pay off your smallest loan or credit card first while making minimum payments on the rest of your loans and cards. By focusing on your smallest loan or card first, you’ll quickly start to feel relief when it’s paid off. You can then use the extra money you have to pay off larger and larger loans and cards until you’re completely debt free. Read this article from Ramsey Solutions explaining how and why the debt snowball plan works. To understand how to follow the debt snowball plan for yourself, complete the following assignment.