Are you currently in debt and have no idea how to get out? Well, there’s two different ways to improve your current financial situation. First is to make more money and second is to decrease spending. Our debt snowball calculator is an excel based template that creates a debt reduction plan for you. The reason it’s called a debt snowball calculator is, because once you pay off one debt account you apply those payments to another.
After you’ve gone through and entered our Debt Account Names, Debt Category, Minimum Payment, Interest Rate, and Current Total Balance you’re ready to go!
Our credit card payoff calculator or debt snowball calculator is a great spreadsheet that allows you to pay off your debt as fast as possible. You can add up to 8 different debt accounts. The excel spreadsheet will automatically tell you which debts to pay off first. Then it’ll show you how and when to start the debt snowball calculator.
This credit card payoff calculator allows you to quickly see all of your debt accounts. It will also show you how to pay off your credit cards and other debt accounts. The debt snowball calculator use the excel spreadsheet to calculate all of the formulas. This takes all of the guess work out. Adding to the debt snowball spreadsheet is very easy. You just need your account balances, APR, Min Payment and the excel template does the rest!
Now you can see how much interest you’ll pay over a period of time. This allows shows you how the debt snowball calculator can compare your account balances and the interest paid on each account. Here’s a tutorial on how to use it.
There are two common credit card payoff strategies. The first is to plow all your extra cash into the highest-interest card while paying the minimums on the others — which is the fastest way, overall, to lower your debt. Once the first card is paid off, you have even more extra cash, and should apply it to the card with the next-highest rate, and so on, creating a debt payoff snowball effect. A second strategy is to pay off your card with the lowest balance first while continuing to pay the minimums on the others. Though this is not the most cost-effective way to banish your debt, it’s the fastest way to eliminate debt on a single card, and it can be a psychological boost to eliminate a bill for good.
Using the debt snowball calculator to payoff credit cards
Usually after people commit to eliminating their credit-card balance, they simply start paying a little more than the minimum due each month. But for those serious about paying off their debt quickly, that approach won’t work. If you want to wipe out your credit-card debt in a year, you have to create a specific plan and stick to it.
Most credit card calculators create a repayment plan with your highest interest rate debts getting paid off first. With this calculator, you can enter up to 8 credit cards, their balances, interest rate, any promotional rate and its expiration months, and your minimum payment. You can then choose whether to pay off your debts in order of highest interest rate first or lowest balance first.
This calculator displays your total credit card balance, total minimum payments, and creates a repayment schedule based on your repayment strategy. The repayment schedule shows each credit card and the monthly payment you’ll need to make until each credit card is repaid. You can also download a spreadsheet of your repayment plan for future reference.
Gather the most recent statement for each debt – such as credit cards, car and boat loans, and home equity loans – you want to include in your payment plan.
Find the following items on your statements:
Interest rate
Current balance
Minimum monthly payment