Debt Avalanche Calculator

Simulate paying off multiple debts using the debt avalanche method — highest interest rate first — to minimize total interest paid.

  • Free to use
  • No registration required
  • Works on all devices
Last updated
13-09-2026
Enter your debts and an extra payment budget to see how the debt avalanche method pays them off.
Comma-separated list of each debt's balance, e.g. 50000, 100000, 20000
Comma-separated annual interest rate (%) for each debt, in the same order as balances.
Comma-separated minimum payment for each debt, in the same order as balances.
₹

Your result

18 months

Months to debt-free

Total interest paid₹20,625.88

AI explanation

Formula

Pays minimums on all debts, directs any extra budget to the highest-interest-rate debt first; once paid off, its minimum rolls into the extra budget for the next-highest-rate debt

Worked example

Three debts, ₹5,000 extra budget

Worked example: Three debts, ₹5,000 extra budget
FieldValue
Outstanding balances50000, 100000, 20000
Interest rates24, 12, 36
Minimum monthly payments2000, 3000, 1000
Extra monthly payment budget₹5,000
Months to debt-free18
Total interest paid₹20,625.88

Assumptions

  • Enter balances, rates, and minimum payments in the same order — they're matched positionally.
  • The avalanche method mathematically minimizes total interest paid, though it may take longer to see your first debt fully cleared compared to the snowball method.

Frequently asked questions

What is the debt avalanche method?

A payoff strategy that targets your highest-interest-rate debt first with any extra payment budget, while paying minimums on everything else — this minimizes total interest paid across all your debts.

Is avalanche always better than snowball?

Mathematically, avalanche always results in equal or lower total interest paid. Snowball can still be a better choice if the psychological momentum of clearing small debts first helps you stay committed to the plan.

How much interest could I save with avalanche vs snowball?

It depends on your specific debts — the savings are larger when a high-rate debt has a large balance, since avalanche prioritizes it much sooner than snowball would. Compare both calculators with your actual numbers to see the difference.

Related calculators

Debt Snowball CalculatorDebt Consolidation Calculator

Related articles

Banking2 min read

Debt Avalanche vs Snowball: Which Payoff Strategy Actually Saves More?

The avalanche method pays off debts in order of highest interest rate first, minimizing total interest paid; the snowball method pays off debts in order of smallest balance first, prioritizing quick psychological wins — for the identical set of debts and identical extra payment, avalanche can reach debt-freedom in the same time while paying meaningfully less interest overall.

Read guide

Sources

Page last updated 13-09-2026.

This calculator provides a general estimate only and does not constitute financial advice.

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