Debt Payoff Checklist
Use this checklist to set up a snowball plan and keep it running. Each step has a reason and a time estimate. Most people finish steps 1 to 6 in a single afternoon.
The checklist
Time: 30 minutes
Collect the latest statement for each account. Write down the balance, the APR, and the required minimum. Include medical bills, personal loans, and any money owed to family.
Time: 15 minutes
Note any promotional rate and its end date, any deferred-interest offer, and any prepayment terms on loans.
Time: Ongoing
Set aside a small cash cushion in a separate account before you push extra payments. It keeps a surprise expense off your cards.
Time: 45 minutes
Start from take-home pay, list fixed costs, add minimums, and set a fixed extra payment. The budget guide walks through an example.
Time: 10 minutes
Enter every balance, APR, and minimum. Try several extra payment amounts. Choose one you can repeat every month.
Time: 15 minutes
A missed minimum can trigger fees and a penalty rate. Autopay removes that risk.
Time: 10 minutes
Send the extra amount to the first debt on your list on a fixed date each month. Mark it as principal only where the lender asks.
Time: 5 minutes
Switch everyday spending to a debit card or cash, or pay each new charge in full. Remove saved cards from shopping sites.
Time: 10 minutes
Compare the statement balance to the calculator's estimate. Update the inputs if a rate or minimum changed.
Time: 5 minutes
When a debt is paid, move its entire payment to the next target the same month. Close the loop on autopay if needed.
Time: Ongoing
Decide ahead of time that part of any refund or bonus goes to the current target debt.
Time: One time
When the last debt is paid, send the full payment to savings. You already live without that money.
Documents to have ready
- The most recent statement for every debt
- Your last two pay stubs or income records
- Bank statements for the past three months
- Loan agreements for any account with prepayment or promotional terms
Milestones worth marking
- First debt paid in full
- Half of your starting balance paid off
- Last credit card at zero
- Starter reserve fully funded
- Final payment made
If you feel stuck at any step, the Common Debt Snowball Mistakes guide lists the usual causes. Questions about how the numbers are produced are answered in the Calculation Methodology.
Related guides
- What Is the Debt Snowball Method?
- How to Build a Monthly Debt Payoff Budget
- How Extra Payments Change a Payoff Timeline
- Common Debt Snowball Mistakes
- Calculation Methodology
Sources
- Consumer Financial Protection Bureau. How to get out of debt. Ask CFPB. https://www.consumerfinance.gov/ask-cfpb/how-do-i-get-out-of-debt-en-1447/
- Federal Trade Commission. Coping with Debt. Consumer Advice. https://consumer.ftc.gov/articles/coping-debt
- Consumer Financial Protection Bureau. What is a minimum payment on a credit card? Ask CFPB. https://www.consumerfinance.gov/ask-cfpb/what-is-a-minimum-payment-on-a-credit-card-en-1895/
Disclaimer: This page is educational only. Figures are model estimates under the stated assumptions, not a guarantee of creditor results. Consult a qualified advisor before changing repayment plans.
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