Snowballing and snowflaking

hayley1471

I guess us DFW's know about snowballing, and I have recently been introduced to the idea of snow flaking (i.e. you pay off snowflakes when you can). I have 36p in my purse and plan to keep it to make a payment on my credit card when I am next near a bank.

Just wondered, what is the smallest amount you have ever snowflaked? Should I keep my 36p to avoid embarrassing myself at the bank? Or perhaps invest it in a stamp?


H:)

lilac_lady

Buy a (small) bar of chocolate and enjoy it! A reward for staying on track.

teecee152

Hi Hayley

I do this all the time!! The smallest amount I have snowflaked (I LOVE THAT TERM!!) is 8p.
I do mine though on line banking. I set up an online savings account that I call my "sweep" account. I check online banking every day and put any small amounts into my sweep account eg. if my balance is £26.32 I transfer £1.32 when I have a decent amount say £5 or £10 I transfer it to where i want to pay. Its amazing how quickly it mounts up and you don't miss it at all.

hayley1471

lilac_lady wrote: »

Buy a (small) bar of chocolate and enjoy it! A reward for staying on track.

Yum - good idea. Oh dear, but wouldn't a stamp be a better investment? I am having a 36p crisis!

hayley1471

teecee152 wrote: »

Hi Hayley

I do this all the time!! The smallest amount I have snowflaked (I LOVE THAT TERM!!) is 8p.
I do mine though on line banking. I set up an online savings account that I call my "sweep" account. I check online banking every day and put any small amounts into my sweep account eg. if my balance is £26.32 I transfer £1.32 when I have a decent amount say £5 or £10 I transfer it to where i want to pay. Its amazing how quickly it mounts up and you don't miss it at all.

I like this idea too, and do have an online saving account. I tend to pay cards straight out of my current account though, when I know I have some spare (last month it was £1.52). I guess my issue is with having 36p IN CASH! LOL - the choices the choices!

teecee152

If it's in cash, then I'm with Lilac_Lady!!!

I'm not strong enough to do it with cold hard money........

chimp_choker

chocolate gets my vote.....

Also I've never heard of the snowflake / snowballing idea. Obviously the snowflake has been explained here but what is snowballing??

Chimpy

hayley1471

Snowballing is when you set an amount to pay each month, and then pay that off the card with the highest interest rate. Once that's paid, you keep making the same level of payment but to the debt that is next down the list in terms of cost.

Full details are on www.whatsthecost.com

Cleosmum

I always think of the other snowballing and it makes me cringe lol.

I was wondering if theres a glitch with the snowball calc, as if I do it my way my DFD is may 09 and if I do it the snowball way my DFD is nov 09.

Karmacat

I love the idea, but if it was 36p in actual cash, I'd put it in a change jar. I use online banking all the time, and while I don't sweep away change, I do put every single penny I earn from mse stuff into a separate account.

Snowflakes..... lovely.

chimp_choker

hayley1471 wrote: »

Snowballing is when you set an amount to pay each month, and then pay that off the card with the highest interest rate. Once that's paid, you keep making the same level of payment but to the debt that is next down the list in terms of cost.

Full details are on www.whatsthecost.com

Thanks, it doesn't matter to me at the moment then as i'm on a DMP with no interest..... but thanks anyway.