Pay off debt faster

Paying off debt is easier with a clear order and a steady routine.

Start with a list

Write down each debt with its balance, interest rate and minimum payment. Keep paying the minimum on all of them so you avoid late fees.

Pick a method for the extra money

• Debt snowball: put extra money on the smallest balance first. You clear debts quickly, which keeps you motivated.
• Debt avalanche: put extra money on the highest interest rate first. This usually costs the least in interest over time.

Both work. The best one is the one you will stick with.

Make it automatic

Set up automatic payments for at least the minimum, and send any extra on the same day each month.

If you are struggling

Contact your lender early. Many offer hardship plans or lower payments. A nonprofit credit counseling service can also help you build a plan. Be careful with companies that charge large upfront fees.