This Is Why You Should Pay Off Your 0% Interest Debts Now!

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[chris.shamblin]

It was nice to see Dave admit that the avalanche is mathematically superior to the snowball. That being said, people make an unnecessarily big deal out of snowball vs. avalanche when the reality is that the benefits of both put them on equal ground. We did avalanche and never had a single delay with it, and we saved money as a result. Avalanche was more psychologically beneficial for us, but for others, snowball is more psychologically beneficial, and leads them to being debt free sooner due to behavioral factors. Ultimately, whichever method works best for you is correct. Neither is wrong.

[beaco]

“Whoop whoop”
“Sorry to interrupt but..”

[alexlarsen]

I personally started with the debt snowball and the progress he is talking about really gets you going. He is right that it is a behavior problem. The math didn’t matter to you when you got into debt… I started with the snowball and after getting myself ready I went off the plan and started worrying about interest until all the debt was gone

[bignew]

Gamified! That is an excellent word I can use to explain to my broke family members why the debt snowball really works. I used it and have been debt free for years now. Thanks Dave and crew.

[peets]

Dave is absolutely right for 96% + of ppl. Most individuals have commitment issues and lie to themselves constantly. I’ve been doing avalanche and I’ve cleared just over 65% of my debt, but it’s been a struggle and I know it’s not an attainable thing for most ppl I know.

[brittanyshomberg]

I have been debating the snow and avalanche approach and this has blessed me thank you so much!

[kelliconlan]

I love the dynamic of Dave and Jon!!! When they are together hosting they are my favorite episodes to watch. But I like the other personalities also.

[liveslisa]

The point is to get debt completely off your back no matter what the interest rate is. It is still debt and it is holding you back.

[random-nzdy]

Dr John brings up the best point. Yes these people are mathematically correct.

But clearly their plans have not worked. The way they've done things has ended with them getting in more and more debt.

In moments like this in life it's important to humble yourself and realize that you may need to accept that somebody else knows better than you what the best way to go about something is.

Now I do think there are some people out there who are very mathematical and probably don't need the motivation of the debt snowball to get very aggressive but I do think that the vast majority of people are going to significantly benefit from doing the snowball

[esonon]

They didn’t really let her ask her question though

[mossgeorge]

This is some good stuff, my only thing with the snowball method is this when you knock out the small one, and move on to the next put more money on that one.

[omyota]

I did the avalanche. Guess it takes more will power and self control, because you don't see those small early wins, but it got the job done and cost less in interest. When it comes to paying off debt, either using the snowball or the avalanche method, it's all better than not paying off the debt at all.

[brandonbarclow]

Great advice and great explanation. Having those early wins is why the Snowball is far superior to the Avalanche. I did both, and nothing was more discouraging than paying off the slower higher interest rate debt, and not seeing it go away.

[mattrandall]

I'm using the avalanche method instead. I get you guys dont like it, but I'm good with this method just because I'm using interest paid per day as my metric. Similar motivation to snowball bc I see the interest paid out daily amount fall each week...which is like a game that keeps me motivated to pay down the higher interest balances.

[seanohara]

Love that Dave is upfront about the math. I'm winning the math game but that is because I'm a freak and I've built systems that help me win it. Most people can't do that.

[RoxiieSays]

No one makes Dave laugh as much as John lol

[ErrorPagenotFound-igcy]

Youre not just getting rid of the debt but also the habit

[joyritzimagno]

Debt snowball works! People need to understand. Dave keeps repeating it’s about behavioural and psychological not math.

[k.h.]

Great show. I'm fascinated by how psychological it all is. Finance = psychology. No matter how smart you are.

[shawnbouchard]

"the zero percent game" I like that...