Why the Snowball Method Works Even If It’s Not “Efficient”
Introduction Paying off debt can feel like climbing a mountain, but the snowball method offers a clear, motivating path to financial freedom. Popularized by personal finance guru Dave Ramsey, the snowball method prioritizes paying off your smallest debts first, regardless of interest rates, to build momentum and confidence. Critics argue it’s not the most “efficient” way to eliminate debt compared to methods like the avalanche method, which focuses on high-interest debts. However, efficiency isn’t everything. The snowball method’s psychological and practical benefits make it a powerful tool for many people. In this post, we’ll explore why the snowball method works, how to implement it, and why its motivational edge often trumps mathematical efficiency. Whether you’re drowning in credit card debt or tackling student loans, this guide will show you why the snowball method deserves a spot in your debt repayment strategy. What Is the Snowball Method? The snowball method is a debt repayment...
