SnowDebts

Helping you SnowBall your debts away


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What is Snowballing:
A brief overview

A debt snowball is the quickest and most cost effective method for reducing multiple debts.

Research shows Snowballing is the best debt payoff strategy

It is achieved by targeting one debt at a time, while maintaining payments on other debts. As a debt is paid off, that payment is then added to the next debt - snowballing the payment into a larger amount.

Precise analysis of your debt management projected progress

How does a Snowball Work?

An example would be, we have 3 debts.

  • Debt 1: $600 at 21% interest, with a minimum monthly payment of $60
  • Debt 2: $750 at 18% interest, with a minimum monthly payment of $75
  • Debt 3: $800 at 9% interest, with a minimum monthly payment of $80

So, our minimum monthly payments is $215. If we continued to pay that, we may be paying off debt for a very long time. So, we need to commit to a greater value to try and burn that debt down.

Debt Management Plan before using SnowDebts
Minimum payments takes 11 months to pay off, costing us $168.77 in interest payments.

We decide that we can afford $400 per month to pay off debts. The more we can commit to, the quciker the debt will be reduced.

We decide to target the highest interest rate, as that's costing us more to carry. So what we do is we say, "Even though the minimum payment is $60, we're going to pay our commited value of $400, less the other payments.". So, $400 - $75 - $80 = $245

By doing that, debt 1 will be paid of in just over 2 months! Fantastic! One less worry. We still maintain the minimum payments on the other two dets. That's important.

Once Debt 1 is paid off - We snowball the monthly payment to the next debt. We select the next highest interest, which in this case, is debt 2.

How much should we pay? Well, we no longer need to pay the $245 to debt one, as it's closed. So we add that $245 that we were paying, to the minumum payment of debt 2, which is $75.

So now, the monthly payments to Debt 2 is $245 + $75 = $320!

By now, that debt would have reduced to $600 (As you were maintaining you minimum payments for the past few months). That means in less than 2 months - Debt two is GONE!

In 4 months, we have a single debt left!

Now what? Snowball time!. Like before, we carry the monthly payments to Debt 3. We're not paying the $320 to debt 2 any more, so we add that to the minimum payment of Debt 3. So, $320, plus the minumum payment of $80 =$400!

And with that, we'd have the final debt paid off in less than 2 months!

Debt free!

Debt Management Plan with SnowDebts saving you money
Snowballing took 7 months! And it cost us only $89.79, saving us around $78 in interest! Half price debt!

Now that's a very small basic example. We have cases where people have over 15 separate debts, all with varying interest rates, different minimum payments and large balances. Snowdebts.Com will manage that for you, showing you a projection of all your future payments and showing you exactly when you'll be debt free.


When would I want to Snowball?

Get Out of Debt With the Debt Snowball Plan

If you have multiple credit cards, store cards, loans or other debts where you have minimum payments due, snowballing will most certainly be your best bet for becoming debt free.

A Debt Management plan will help provide a framework for you to get debt free

I'm already in debt. I can't afford to Snowball

SnowDebts.Com, which simply helps you manage your snowball, costs you nothing. We provide a simple method for reducing debt as quickly as possible, allowing you to visualise your projected progress and plan your snowball.

SnowDebts assist with reducing debt, as quickly as possible, using the most cost effective method

SnowDebts Terms of Service and Privacy Policy

1. Terms

By accessing the website at http://www.snowdebts.com, you are agreeing to be bound by these terms of service, all applicable laws and regulations, and agree that you are responsible for compliance with any applicable local laws. If you do not agree with any of these terms, you are prohibited from using or accessing this site. The materials contained in this website are protected by applicable copyright and trademark law.

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2. Use License

  1. Permission is granted to temporarily download one copy of the materials (information or software) on SnowDebts's website for personal, non-commercial transitory viewing only. This is the grant of a license, not a transfer of title, and under this license you may not:
    1. modify or copy the materials;
    2. use the materials for any commercial purpose, or for any public display (commercial or non-commercial);
    3. attempt to decompile or reverse engineer any software contained on SnowDebts's website;
    4. remove any copyright or other proprietary notations from the materials; or
    5. transfer the materials to another person or "mirror" the materials on any other server.
  2. This license shall automatically terminate if you violate any of these restrictions and may be terminated by SnowDebts at any time. Upon terminating your viewing of these materials or upon the termination of this license, you must destroy any downloaded materials in your possession whether in electronic or printed format.

3. Disclaimer

  1. The materials on SnowDebts's website are provided on an 'as is' basis. SnowDebts makes no warranties, expressed or implied, and hereby disclaims and negates all other warranties including, without limitation, implied warranties or conditions of merchantability, fitness for a particular purpose, or non-infringement of intellectual property or other violation of rights.
  2. Further, SnowDebts does not warrant or make any representations concerning the accuracy, likely results, or reliability of the use of the materials on its website or otherwise relating to such materials or on any sites linked to this site.

4. Limitations

In no event shall SnowDebts or its suppliers be liable for any damages (including, without limitation, damages for loss of data or profit, or due to business interruption) arising out of the use or inability to use the materials on SnowDebts's website, even if SnowDebts or a SnowDebts authorized representative has been notified orally or in writing of the possibility of such damage. Because some jurisdictions do not allow limitations on implied warranties, or limitations of liability for consequential or incidental damages, these limitations may not apply to you.

5. Accuracy of materials

The materials appearing on SnowDebts's website could include technical, typographical, or photographic errors. SnowDebts does not warrant that any of the materials on its website are accurate, complete or current. SnowDebts may make changes to the materials contained on its website at any time without notice. However SnowDebts does not make any commitment to update the materials.

6. Links

SnowDebts has not reviewed all of the sites linked to its website and is not responsible for the contents of any such linked site. The inclusion of any link does not imply endorsement by SnowDebts of the site. Use of any such linked website is at the user's own risk.

7. Modifications

SnowDebts may revise these terms of service for its website at any time without notice. By using this website you are agreeing to be bound by the then current version of these terms of service.

8. Governing Law

These terms and conditions are governed by and construed in accordance with the laws of Australia and you irrevocably submit to the exclusive jurisdiction of the courts in that State or location.

Privacy Policy

Your privacy is important to us.

It is SnowDebts's policy to respect your privacy regarding any information we may collect while operating our website. Accordingly, we have developed this privacy policy in order for you to understand how we collect, use, communicate, disclose and otherwise make use of personal information. We have outlined our privacy policy below.

  • We will collect personal information by lawful and fair means and, where appropriate, with the knowledge or consent of the individual concerned.
  • Before or at the time of collecting personal information, we will identify the purposes for which information is being collected.
  • We will collect and use personal information solely for fulfilling those purposes specified by us and for other ancillary purposes, unless we obtain the consent of the individual concerned or as required by law.
  • Personal data should be relevant to the purposes for which it is to be used, and, to the extent necessary for those purposes, should be accurate, complete, and up-to-date.
  • We will protect personal information by using reasonable security safeguards against loss or theft, as well as unauthorized access, disclosure, copying, use or modification.
  • We will make readily available to customers information about our policies and practices relating to the management of personal information.
  • We will only retain personal information for as long as necessary for the fulfilment of those purposes.

We are committed to conducting our business in accordance with these principles in order to ensure that the confidentiality of personal information is protected and maintained. SnowDebts may change this privacy policy from time to time at SnowDebts's sole discretion.

SnowDebts.Com assist with getting out of debt, as quickly as possible, using the most cost effective method