 TITLE: What Is the Best Way to Get Out of Debt? CONTENT: 4\\. Look Into Debt Repayment Strategies\n---------------------------------------\nRegardless of what else you're doing to get out of debt, it's important to think about how to prioritize which debts to pay off first. For revolving debt such as credit cards and lines of credit, two main options to consider are the debt snowball method and the debt avalanche method:\n*   **Debt snowball method**: With this approach, you focus on paying off your debt with the lowest balance first while paying minimum payments on your other debts. Once it's gone, take the amount you were paying on it and apply it to the debt with the next-lowest balance, and so on.\n*   **Debt avalanche method**: This strategy uses the same process as the debt snowball method, but instead of focusing on your debts based on their balances, you target the debt with the highest interest rate first. Then once that's paid off, apply the money you were paying to the debt with the next-highest rate, and so on.\nWhich method works better? That depends on your goals and preferences. With the debt snowball method, the goal is to take wins early, which can make a big difference if you have several credit accounts. Paying off smaller debts quickly can help you stay motivated with your broader goal.\nWith the debt avalanche method, the goal is to save as much money as possible on interest. By eliminating higher interest debts first, you'll achieve that goal. That said, the difference in interest savings between the two approaches isn't always huge. Consider using an online calculator to see which is better for you. END