Ways to Pay Down Debt

Hannah Baquera
August 10th, 2022 | 7 mins

When it comes to debt management and planning, the fastest way to pay down debt depends on the type of debt and the amount you owe. Here are some strategies you can use to pay down your debt quickly!

The Debt Snowball Method:

This method involves paying off your debts starting with the smallest one first and working your way up to the largest. As you pay off each debt, you will have more money to put towards the next one, creating a snowball effect.

The Debt Avalanche Method:

This method involves paying off your debts starting with the highest interest rate first, regardless of the balance. This strategy can save you money in interest charges over time.

Consolidate your debt:

You can consolidate your debt into a single loan with a lower interest rate. This can simplify the repayment process and may save you money on interest charges.

Increase your income:

Look for ways to increase your income, whether it's through a part-time job, freelance work, or a side hustle, this will increase the amount of money you have to put towards your debt.

Reduce your expenses:

Cut back on unnecessary expenses and reduce your overall spending so that you can put more money towards your debt by paying more than the minimum payments. Making larger payments will help you pay off your debt faster!

Seek professional advice:

If you are struggling to pay off your debt, consider seeking advice from a financial advisor or credit counselor. They can help you create a plan to pay off your debt and provide you with additional resources.

It's important to remember that paying off debt is not an overnight process, but with a plan and dedication, you can make progress and achieve your goal.

Did you enjoy this article?

To safely consume this site, we recommend reading this disclaimer. Any outbound links will take you away from Zeta, to external sites in the world wide web. Just so you know, Zeta doesn’t endorse any linked websites nor do we pay/bribe anyone to appear on here. Any reference to prices on the site are just estimates; actual prices are up to specific merchants and their current desire to charge you for things. Also, nothing on this website should be construed as investment advice. We’re here to share our favorite tools, tactics and tips for managing your money together. This content is for your responsible consumption. Please don’t see this as a recommendation to buy specific investments or go on a crypto-binge. Lastly, we 100% believe that personal finance is exactly that, personal. We may sometimes publish content on this website that has been created by affiliated or unaffiliated partners such as employees, advisors or writers. Unless we explicitly say so, these post do not necessarily represent the actual views or opinions of Zeta.

By using this website, you understand the content presented is provided for informational purposes only and agree to our Terms of Use and Privacy Policy.

1Zeta is a financial technology company, not a bank. Banking services provided by Piermont Bank; Member FDIC. All deposit accounts of the same ownership and/or vesting held at the issuing bank are combined and insured under an FDIC Certificate of $250,000 per depositor. The Zeta Mastercard® Debit Card is issued by Piermont Bank, Member FDIC, pursuant to license by Mastercard International Incorporated and can be used everywhere Mastercard is accepted.

2Zeta Annual Percentage Yield (APY) is effective as of 05/01/2023, for customers who qualify for VIP status. Minimum amount to open an account is $0.00. Minimum balance to earn the APY is $0.01. Interest rates are as follows: 2.45% APY applies to the entire balance for customers who qualify for VIP status. Interest rates may change after the account is opened. Fees may reduce earnings.