Debt Snowball

An encouraging way to slosh through the debt you created in your teens and twenties. (Makes you want to yell at those persuasive folks who stood outside your dorm and talked you into not one, but three brand new credit cards, doesn’t it?)

A debt snowball is kind of like an avalanche...starting small and gaining steam. At the beginning, you’re tackling the small stuff and keeping payments on the big stuff small. You borrow more and more, from Peter to pay Paul. Credit is free and easy...until it's not. Your IOUs get bigger and bigger: The home, the car, the student loans, the diamond ring, then tummy tuck surgery. As time goes on, you drown, further and further away from being able to pay the bills you owe. This, dear friends, is the snowball effect. Don't let it happen to you.