Slash Debt Faster by Targeting Highest Rates First

You sit at your kitchen table, a cup of coffee growing cold, as you list every debt in your life: three credit cards, a car loan, a lingering personal loan. You sort them by rate—side by side on the page—like a speed race you’re determined to win. The 18% credit card is in pole position.

You keep the minimums on all your balances, but you start throwing every extra dollar at that 18% rate. Your coworker invites you out for drinks, and instead of opening your wallet, you remind yourself that one more drink is equivalent to paying interest on that card. When you get a surprise $200 gift, you funnel it straight into the killer debt.

Two months later, you watch the balance fall steadily. The next target? That stubborn 14% card. You dial back your latte habit, find a cheaper phone plan, and keep attacking the highest rate. You feel your anxiety drop as your total debt shrinks. It’s not about willpower—it’s about smart prioritizing.

This is called the ‘debt avalanche.’ Behavioral economists swear that tackling the steepest rates first maximizes your payoff and motivates you to keep going. No more tired excuses—just a clear path to financial freedom.

You’ve got a plan: Rank your debts by rate, pay the minimums on all but the highest-rate one, and throw every extra dollar at that targeted balance. It’s a formula for guaranteed returns on your money. Stick to it: every time you get extra cash, whether from overtime or a gift, let it crush the biggest rate. You’ll see radical progress—and find yourself debt-free sooner than you ever imagined.