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Debt Repayment Calculator (Snowball and Avalanche)
Compares paying off your debts smallest-first (snowball) or highest-interest-first (avalanche) and shows your debt-free date and interest saved.
| Debt | Balance (R) | Rate % | Minimum (R) |
|---|---|---|---|
Snowball (smallest balance first): debt-free in about 27 months, interest about R18 468.
Avalanche (highest interest first): debt-free in about 27 months, interest about R17 423.
Estimates only. If you cannot cover the minimums, speak to an NCR-registered debt counsellor.
Want help interpreting this? Talk to a person
What you will need
- Your debts: name, balance, annual interest rate, minimum monthly payment (list): Add each debt; interest rate is on your statement.
- Extra amount you can add each month (R)
- Monthly service fees per debt (optional) (R)
How it works
Validate: each min_payment must exceed the first month's interest + fee (balance*rate/12 + fee), else flag 'This payment does not cover interest; the balance will grow'. SIMULATE(order): month = 0; budget = sum(min_payment) + extra_payment (fixed total; when a debt is paid off its payment rolls into the next). Loop while any balance > 0 and month < 600: month += 1; for each debt with balance>0: interest = balance * (annual_rate/12); balance += interest + monthly_fee; total_interest += interest. pool = budget; pay each open debt its min_payment (or the full balance if smaller), pool -= paid; then apply remaining pool to the TARGET debt (first open debt in order), then the next, until pool = 0. Record month-by-month rows {month, debt, opening, interest, fee, payment, closing}. When a balance hits 0 record payoff_month[debt]. SNOWBALL order = sort by balance ascending (tie: higher rate first). AVALANCHE order = sort by annual_rate descending (tie: smaller balance first). Also run MINIMUMS_ONLY (extra_payment = 0, no roll-over) as a baseline. Outputs per strategy: months_to_debt_free, debt_free_date = today + months, total_interest, total_paid, first_debt_cleared_month. interest_saved = minimums_only.total_interest - strategy.total_interest.
What you get
- Snowball: months to debt-free
- Avalanche: months to debt-free
- Snowball: total interest
- Avalanche: total interest
- Interest saved compared with paying only minimums
- Month-by-month table
What it means
- Avalanche costs less interest; snowball gives quicker early wins, and the best plan is the one you will stick to.
- At least one payment does not cover the interest and fees, so that balance will grow; speak to someone about it soon.
- At this rate it will take more than 5 years; a money coach or debt counsellor can look at other options.
Next step: Want help interpreting this? Book a money coach to build your repayment plan.
Runs on the device. Nothing is saved unless the member chooses.