GOLD/FOREX
DUBAI 34°C
PRAYER TIMES
YOUR MONEY
YOUR MONEY
Your Money /
Budget living
PREMIUM

Debt Snowball vs. Debt Avalanche: Do these repayment methods really work?

While both methods aim to reduce outstanding debt, they approach it differently

Last updated:
Justin Varghese, Your Money Editor
2 MIN READ
Understanding how Debt Snowball and Debt Avalanche strategies work can help you choose the one that fits your financial goals.
Understanding how Debt Snowball and Debt Avalanche strategies work can help you choose the one that fits your financial goals.
Shutterstock

Dubai: Paying off debt can feel overwhelming, but using the right strategy can make the process more manageable. Two popular methods to accelerate debt repayment are the Debt Snowball and Debt Avalanche strategies. While both aim to reduce outstanding debt, they approach it differently. Understanding how each method works can help you choose the one that fits your financial goals.

Debt Snowball

Sign up for the Daily Briefing

Get the latest news and updates straight to your inbox

Up Next

Related Stories

UAE: Selling or transferring a financed car is impossible without first settling the outstanding loan balance with the lender. Picture used for illustrative purposes.

How to sell a car with a bank loan in the UAE

4m read
Marcus Rashford is joining the Catalan giants on a season long loan with an option to buy for £30 million.

Marcus Rashford is a no risk deal for Barcelona

2m read
A UAE resident settled a rental dispute over a year ago but found the case remains active, affecting car registration and possibly accruing penalties.

Debt cleared, case still open? What to do next

4m read
In the UAE, many residents will likely find that when everyday spending on groceries, fuel, bills, or school fees leaves less breathing room in their monthly budgets, there is an uptick in their credit card bills.

Your credit card debt grows faster when your costs rise

3m read