Americans are carrying a record amount of credit card debt — roughly $1.2 trillion, according to Federal Reserve data — and the average balance sits near $6,500.
With APRs hovering around 21% to 24%, minimum payments barely chip away at the principal.
That's why two repayment strategies keep going viral: the debt snowball and the debt avalanche.
They just work differently, and the one you pick can mean hundreds of dollars in interest — or none at all if you quit in month three.
You list every balance by interest rate, highest to lowest, and throw every spare dollar at the priciest debt first while paying minimums on the rest.
Because credit cards charge the most, this method usually costs the least overall.
A Federal Reserve study found that consumers who tackled high-rate accounts first saved meaningfully more than those who didn't.
You list balances smallest to largest, ignoring rates, and knock out the tiniest one first.
That quick win delivers a dopamine hit — one fewer bill, one fewer login, one fewer statement.
Then you roll that payment into the next debt, and the "snowball" grows.
Here's the catch most viral posts skip: the avalanche saves more on paper, but the snowball gets finished more often.
A 2016 study in the Journal of Consumer Research found that people who eliminated small debts first were more likely to stick with their payoff plan and stay motivated.
Saving $400 in interest means nothing if you abandon the plan in month four.
Run the numbers on your own list before choosing.
Say you owe $2,000 at 22%, $5,000 at 18%, and $8,000 at 15%.
The avalanche attacks the $2,000 card first because of its rate; the snowball attacks it first because it's smallest.
On this stack, the two methods often produce nearly identical results, so motivation becomes the deciding factor.
Pay the minimum on everything, then direct your extra cash at whichever debt is either the smallest or the highest-rate — whichever you'll actually follow through on.
If you have a tiny $300 medical bill and a $9,000 card at 24%, wiping out the $300 takes one paycheck and frees up cash flow immediately.
First, call every issuer and ask for a lower APR — a 2023 LendingTree survey found most cardholders who asked got one.
Second, consider a 0% balance transfer card, but only if you can clear the balance before the promo window closes; otherwise the deferred interest or standard rate can bite hard.
Automate the payments so you can't skip them.
Set the minimums on autopay, then schedule the extra payment for the day after payday.
Cancel one subscription and route that money to the debt — $15 a month is $180 a year, enough to erase a small balance outright.
The best method isn't the one with the prettiest spreadsheet.
It's the one you'll still be running in six months.
Pick based on your personality, not a calculator.
Our take: if you're disciplined and want the cheapest path, run the avalanche.
If you've started and stalled before, take the snowball and enjoy the early wins.
Final Thoughts
Either way, the gap between the two is far smaller than the gap between paying and not paying at all.