How do I make a plan to pay off debt?
Add each debt in Debt Payoff, then pick Avalanche or Snowball on the Strategy tab.
This needs an account. Sign in to the app first.
Steps
- Open the Wealth tab. Under Core Tools, tap Debt Payoff.
- Tap + at the top, or open the Debts tab and tap Add Debt.
- Type the lender's name, the type of debt, what you owe now and the interest rate as a percent. Add the minimum payment too, because the plan uses it.
- Tap Add Debt. Repeat for each debt.
- Open the Overview tab to compare Avalanche and Snowball. Then open the Strategy tab and choose one.
- Avalanche pays the highest interest rate first. Snowball pays the smallest balance first. The roadmap shows the order and an estimated date for each payoff.
- To record a payment, open the Debts tab, tap a debt to open it, then tap Record Payment and save.
How to read the plan
Payoff months are estimates. They assume you pay only the minimum payments you entered. When one debt is paid off, its minimum moves to the next debt.
To see what extra money would do, use the windfall box on the Strategy tab. These are estimates for learning and are not financial advice.
What Record Payment does
It lowers the balance of that debt. It also adds an expense to your budget in the category Debt Payment, so your spending totals stay right. If the budget entry fails, SOS tells you.
Open a debt to see Edit, Mark Paid Off and Delete too. Use Mark Paid Off when you have paid a debt, and you can reopen it later. Delete removes a debt for good and cannot be undone.
Other debt screens
Debt Payoff saves to your account. Debt Snowball Planner, Debt Elimination and Debt Management keep their entries only on this device, and they do not share debts with Debt Payoff.
Your choice of Avalanche or Snowball in Debt Payoff is also kept only on this device.