AMAZING VALUE WITH THIS FREE DEBT REDUCTION SNOWBALL or AVALANCHE CALCULATOR
I use this custom debt reduction calculator personally. It comes as an easy to use Excel spreadsheet, and you can download it for free by clicking the link below. I originally found this spreadsheet on the everything Excel template site vertex42
Since then I’ve made a few small modifications to the spreadsheet and I am now sharing it hear for a free download to my clients and followers.
Some of the things this calculator does are:
Create a plan for debt payoff
Set up an easy to follow payment schedule
Gives you different plan options given your financial situation
Explains everything very clearly in easy steps
Using this sheet will help you accelerate your debt payoff much faster and calculate an easy to follow plan.
FAST DEBT REDUCTION: USING THE SNOWBALL METHOD
The debt-snowball method is a debt reduction strategy, whereby one who owes on more than one account pays off the accounts starting with the smallest balances first while paying the minimum on larger debts.
Once the smallest debt is paid off, one proceeds to the next slightly larger small debt above that, so on and so forth, gradually proceeding to the larger ones later.
FAST DEBT REDUCTION: USING THE DEBT AVALANCHE METHOD
The Avalanche: This method requires a bit more math. It’s basically the opposite of snowballing, except you’re not paying off your largest balance, but rather your most expensive balance, or the balances with the highest interest rate.
So, say you have three credit card balances: $500 with an annual percentage rate of 10%, $2,000 with an APR of 20%, and $5,000 with an APR of 15%, you’d pay off the credit card with an APR of 20% first, because that’s the one that will cost you the most over the long run due to compound interest.
Once you eliminate the balance with the highest interest rate, you’d move on to the balance with the next highest interest rate (the $5,000 balance with the 15% APR), until all your balances are paid off.
Here is a good article to compare the two methods to see what is best for you… The Avalanche Method or the Snowball Method.
Well I hope that this free download and debt reduction spreadsheet will help you reduce your debts faster and save you money.
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– Jason Wheeler