Debt Payoff Strategy Comparison

What this comparison shows

This tool uses the same debts and monthly debt budget to compare two approaches: paying extra toward the debt with the highest interest rate first and paying extra toward the smallest balance first.

The goal is not to pick a strategy for you. It is to make the differences easier to see.

How the two approaches differ

The highest-interest-rate approach focuses extra money on the debt currently costing the most in interest.

The smallest-balance approach focuses extra money on the smallest debt first, then moves on to the next one as balances are paid off.

How to read the comparison

Compare the estimated payoff time, total interest, total amount paid, and payoff order. A difference in one result does not automatically make that strategy the right choice for you.

The estimates assume the interest rates, minimum payments, debt balances, and monthly budget you enter follow the calculator’s stated rules. New purchases, fees, rate changes, or payment changes can change the actual outcome.

Which payoff strategy is better?

That depends on what matters to you. The calculator shows the estimated differences so you can decide which approach fits your priorities.

Does the calculator decide how much I can afford to pay toward debt?

No. You enter the monthly amount you want the comparison to use.