Personal Finance

Spend less than you earn, invest the rest

Novice

Mastery0%

Novice

Note. Education, not financial advice. Tax rules, regulations and product specifics change, for real money decisions, talk to a SEBI-registered advisor whose incentives don't depend on selling you a product.

Concept 17 of 19

debated

Debt avalanche vs snowball

Avalanche saves more money; snowball gives faster wins. Pick the one you will actually finish.

Definition

Two competing strategies for paying off multiple debts: avalanche prioritises highest interest rate first; snowball prioritises smallest balance first.

Step 1

Predict first

In one or two sentences, what do you think this concept means? Wrong is fine; the small struggle is what makes the answer stick.