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Best way to use snowball calculator?
longbowgilly
Posts: 42 Forumite
Hi,
I would like some advice on the best way to use a snowball calculator, I am currently using the one on "what's the cost", I know that if I pay the same amount each month (including snowball) I will pay all of my debts off in 15 months.
But I am wondering if I should run it with just the normal monthly payments going out which would take 22 months, then log the extra payments as I pay them, I think I will be doing a different extra amount each week / month.
Would this still show me a decreasing timescale as I enter the extra payments?
I hope I have explained it well enough!:o
I would like some advice on the best way to use a snowball calculator, I am currently using the one on "what's the cost", I know that if I pay the same amount each month (including snowball) I will pay all of my debts off in 15 months.
But I am wondering if I should run it with just the normal monthly payments going out which would take 22 months, then log the extra payments as I pay them, I think I will be doing a different extra amount each week / month.
Would this still show me a decreasing timescale as I enter the extra payments?
I hope I have explained it well enough!:o
Trying to be debt free by the end of 2016 :j
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Comments
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longbowgilly wrote: »I hope I have explained it well enough!:o
I'm afraid you haven't, as I'm totally lost. :drool:0 -
Oops!
What don't you understand?Trying to be debt free by the end of 2016 :j0 -
longbowgilly wrote: »Oops!
What don't you understand?
I'm not following what you mean by "log the extra payments as I pay them"?
The Snowball Calculator produces a list, indicating how much of your available monthly amount to pay, to each debt, so how can you log extra payments?
Surely, the easiest way to pay down your debts, is to use anything above minimum payments, to overpay the highest APR debt until it is finished, then use the extra, plus the amount you were paying to the finished debt, on the next highest APR?
The only time there would be any uncertainty would be, if you have debts that, at some point, change APRs, and your initial Snowball Calculator result would have highlighted it/them.0 -
Hi,
I think I get what you mean!
Initially (I used whats the cost) I input the minimum payments to show how long it would take. Then when I paid extra, or larger amounts the monthly figure at the bottom decreases quicker (if you know what I mean).
When I had an unexpected bill to pay the monthly figure shot up
, so it does work it out as you go, based on what you pay (or add!).
Hope that helps LBM 1.1.16 = £27096.59 - now £17,020.38
Paydbx 2017 - £3588.90/£7000 = 51.27% - number 74
Paydbx 2016 - £6487.31/£7000 = 92.67% - number 740 -
pennies_from_Heaven wrote: »Hi,
I think I get what you mean!
Initially (I used whats the cost) I input the minimum payments to show how long it would take. Then when I paid extra, or larger amounts the monthly figure at the bottom decreases quicker (if you know what I mean).
When I had an unexpected bill to pay the monthly figure shot up, so it does work it out as you go, based on what you pay (or add!).
Hope that helps
Thanks, that is what I meant!:o
I know that it will be a bit depressing seeing the final date as 22 months away, but I think it will encourage me when it does start to go down when I log the extra amounts that are over the "standard" payments.
I would love to get it paid off as soon as possible but it looks like it will be 15 months which is better than 22 months!:TTrying to be debt free by the end of 2016 :j0 -
longbowgilly wrote: »Thanks, that is what I meant!:o
I know that it will be a bit depressing seeing the final date as 22 months away, but I think it will encourage me when it does start to go down when I log the extra amounts that are over the "standard" payments.
I would love to get it paid off as soon as possible but it looks like it will be 15 months which is better than 22 months!:T
That's what I did, and found it a great help!
It's difficult at first because it seems that you are not making a big dent in things, but once you start to clear each debt and add that amount to the next one, that's when you notice them really going down!
I found the 'extra' payments a real motivator - I found if I said I would pay £70 to a debt but only managed, say, £50 I would be ready to give up. But to be prepared to pay £50 initially and then add an extra £20 at the end of the month was very motivating, and in a weird way made me feel I'd achieved Something! (how's that for twisted logic)
Anyway, good luck! :ALBM 1.1.16 = £27096.59 - now £17,020.38
Paydbx 2017 - £3588.90/£7000 = 51.27% - number 74
Paydbx 2016 - £6487.31/£7000 = 92.67% - number 740
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