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5 Rules of Money: How to Make It, Save It, & Be Smarter About It
The Mel Robbins Podcast
The Snowball Method for Paying Off Debt
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The snowball method involves paying off the lowest balance debt first, allocating the bulk of available money to it while paying minimums to other debts. As the smallest debt is cleared, the money allocated to it rolls over to the next debt, along with additional funds from the 'money list.' This process continues, with minimums from paid-off debts contributing to larger payments on remaining debts. By the time the largest debt is addressed, more money is available without requiring extra funds due to the accumulated minimums from previous payments. This method provides early success and avoids the immediate focus on the largest debt, making it ideal for those needing incremental wins in debt repayment.
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