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
Accurate results
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Works on all devices

Enter your debts and an extra payment budget to see how the debt avalanche method pays them off.

Outstanding balances *

Comma-separated list of each debt's balance, e.g. 50000, 100000, 20000

Interest rates *

Comma-separated annual interest rate (%) for each debt, in the same order as balances.

Minimum monthly payments *

Comma-separated minimum payment for each debt, in the same order as balances.

Extra monthly payment budget *

₹

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
Field	Value
Outstanding balances	50000, 100000, 20000
Interest rates	24, 12, 36
Minimum monthly payments	2000, 3000, 1000
Extra monthly payment budget	5000
Months to debt-free	18
Total interest paid	20625.88

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.
Informational only.

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

Sources

Master Circular on customer service and fair practices code — Reserve Bank of India. Effective 01-07-2015, reviewed 13-09-2026.

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

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