Loans calculator
Which debt should you repay first—and how much interest could the order save?
Compare snowball, avalanche and minimum-only repayment across multiple debts using one fixed monthly budget.
Avalanche debt-free time
—Month-by-month payoff schedule
The detailed ledger follows the avalanche strategy. It shows interest, payment, principal reduction, the current target and each debt that reaches zero.
Swipe horizontally to see every column.
| Month | Opening debt | Interest | Payment | Principal reduced | Closing debt | Avalanche target |
|---|
How it works
Each annual rate is divided by 12 and applied monthly before payment. Entered minimum payments stay fixed. Snowball directs the remaining fixed budget to the smallest balance; avalanche directs it to the highest rate. Paid-off minimums remain inside the same total budget. New borrowing, late fees, taxes, settlement offers, rate changes and lender-specific payment allocation are excluded.
This result is an educational estimate. Rates, taxes, fees, product rules, and market returns can change.
India-focused guide
Enter two to four balances, annual rates and minimum payments, then add any extra monthly amount. The calculator keeps the total strategy budget fixed, compares the snowball and avalanche payoff order with minimum-only repayment, and shows debt-free time, total interest and a month-by-month avalanche schedule.
Number of debts to compare, Extra monthly payment above minimums, Debt 1 balance, Debt 1 annual interest rate, Debt 1 minimum monthly payment, Debt 2 balance, Debt 2 annual interest rate, Debt 2 minimum monthly payment, Debt 3 balance, Debt 3 annual interest rate, Debt 3 minimum monthly payment, Debt 4 balance, Debt 4 annual interest rate, Debt 4 minimum monthly payment.
Each annual rate is divided by 12 and applied monthly before payment. Entered minimum payments stay fixed. Snowball directs the remaining fixed budget to the smallest balance; avalanche directs it to the highest rate. Paid-off minimums remain inside the same total budget. New borrowing, late fees, taxes, settlement offers, rate changes and lender-specific payment allocation are excluded.
Detailed guide
This calculator compares three ways of repaying the same debts: continue only the entered minimums, direct one fixed budget toward the smallest balance first, or direct it toward the highest annual rate first. Keeping the budget unchanged makes the timing and interest comparison meaningful.
Every active debt first receives its entered minimum payment. The remaining monthly budget then goes to one priority debt. Snowball chooses the smallest current balance, while avalanche chooses the highest annual interest rate. When a balance reaches zero, its former minimum remains inside the same budget and is redirected to the next target.
Interest is added monthly before payment using the entered annual rate divided by 12. The model assumes no new borrowing, no missed payment and no change in the total strategy budget.
FormulaMonthly strategy budget = sum of entered minimum payments + extra monthly payment
This worked example uses a ₹1.20 lakh card at 36% with a ₹6,000 minimum, a ₹3 lakh personal loan at 14% with an ₹8,000 minimum, and an ₹80,000 consumer loan at 18% with a ₹3,000 minimum. Adding ₹7,000 creates a fixed ₹24,000 monthly strategy budget.
| Method | Debt-free time | Total interest | Total paid |
|---|---|---|---|
| Avalanche | 2 years 1 month | ₹97,506 | ₹5.98 lakh |
| Snowball | 2 years 2 months | ₹1,08,256 | ₹6.08 lakh |
| Entered minimums only | 4 years 2 months | ₹1,85,771 | ₹6.86 lakh |
If a minimum payment is not larger than that debt’s monthly interest, the balance can fail to reduce before extra money reaches it. The result flags that condition and may show that minimum-only repayment does not finish within the 50-year calculation limit.
RBI’s credit-card directions require minimum-amount-due calculations to avoid negative amortisation, but an issuer’s actual minimum can include fees, instalments, taxes and other components that this calculator does not reconstruct. Enter the payment and annual rate shown in the latest statement or loan schedule.
Common questions
It pays every minimum and sends the remaining fixed budget to the smallest current balance. Clearing a smaller account sooner can create visible milestones, although it may cost more interest than targeting the highest rate.
It pays every minimum and sends the remaining fixed budget to the debt with the highest annual interest rate. Under this calculator’s fixed-rate, fixed-budget assumptions, it produces the lowest interest cost of the compared priority orders.
No. Every comparison assumes no new borrowing. Use the separate Credit Card Payoff Calculator when you need to model a recurring monthly card charge.
Statements may use daily interest, changing rates, GST, late fees, annual fees, EMI conversions, payment-allocation rules and settlement terms. This page applies monthly interest and the values you enter.
The calculator does not make that decision. Consider liquidity, emergency needs, prepayment charges, the debt’s effective cost and any tax or investment consequences before using savings.
Continue planning
