Snowball vs Avalanche UK: How Minimum Payments Change the Results
Most "Snowball vs Avalanche" articles compare them as if you have complete freedom over where your money goes.
In the UK, there's a catch: minimum payments come first.
Every month, your card minimums (often 1-3% of balance plus interest) get paid before any strategy kicks in. What's left — the "extra" — is what Snowball and Avalanche actually control.
On some sets of numbers, this can shrink the gap between strategies dramatically. On others, it can flip which one "wins."
This guide shows you how, with a real example.
The Key Insight: Strategy Only Controls the Extra
Each month, this happens in order:
Minimums paid to every debt (mandatory, regardless of strategy)
Leftover goes to one priority debt (this is where strategy matters)
Snowball and Avalanche only differ on step 2.
If minimums eat most of your budget, step 2 is small — and both strategies perform similarly.
If you have lots of extra after minimums, step 2 is large — and strategy choice matters much more.
Example: When Minimums Shrink the Gap
The debts:
Simple example: three debts
This is the kind of starting point the calculator expects – balance, APR and minimum for each debt.
| Debt | Balance | APR | Minimum |
|---|---|---|---|
| Card A | £5,000 | 29.9% | £150 |
| Card B | £2,000 | 19.9% | £40 |
| Loan | £4,000 | 7.9% | £100 |
Total minimums: £290/month
Debt budget: £500/month
Extra for strategy: £210/month
Snowball Order (Smallest Balance First)
Card B — £2,000
Loan — £4,000
Card A — £5,000
The £210 extra goes to Card B until it's cleared, then rolls to the Loan.
Avalanche Order (Highest APR First)
Card A — 29.9%
Card B — 19.9%
Loan — 7.9%
The £210 extra goes to Card A until it's cleared, then rolls to Card B.
What's Actually Happening
Card A (the most expensive debt at 29.9%) is already getting £150/month from its minimum — the largest chunk of your budget.
Whether you use Snowball or Avalanche, Card A is being paid down steadily. The £210 extra is significant, but it's not the whole picture.
Result: On these numbers, Snowball and Avalanche might finish within 1-2 months of each other, with only a small interest difference.
When Does Strategy Choice Matter More?
Strategy makes a bigger difference when:
1. Minimums are low relative to your budget
More "extra" to direct
Bigger impact from choosing the right target
2. One debt has a much higher rate than others
Avalanche's advantage grows
Ignoring it (Snowball) costs more
3. Balances and rates don't correlate
If your smallest debt is also highest-rate, Snowball = Avalanche
If your smallest debt is lowest-rate, big gap between strategies
Why This Matters for Real-Life Decisions
The internet debates Snowball vs Avalanche as if they're completely different philosophies.
In practice, for many UK households:
Card minimums are 2-3% of balance
Loan minimums are fixed amounts
Overdrafts have their own rules
These minimums can easily eat half or more of your debt budget.
So before stressing about the "perfect" strategy, check:
What are your minimums in actual £?
How much is genuinely left for strategy?
Is that leftover amount significant enough to matter?
If minimums leave you £50/month for strategy, the choice barely matters. If they leave you £500/month, it matters a lot.
How DebtRiot Handles This
DebtRiot's calculator:
Takes your total debt budget (after essentials)
Applies minimums to every debt first
Warns you if minimums exceed your budget (plan isn't realistic)
Sends remaining extra to one priority debt based on your strategy
This means:
You see plans that respect real minimums
Strategies are compared on equal footing
If minimums eat everything, the tool tells you instead of pretending a plan exists
How to Check This on Your Numbers
Go to the DebtRiot calculator
Enter your income, essentials, and real minimums for each debt
Note:
Total minimums
Total debt budget
Extra remaining (budget minus minimums)
Compare Snowball vs Avalanche
Look at:
Are the debt-free dates almost the same?
Is one clearly cheaper on interest?
Does Cash Flow Index give a different answer?
If the numbers are very tight, the real solution might be:
Adjusting your budget
Negotiating lower minimums
Speaking to a debt charity
...not just swapping strategies.
See how your minimums affect the results →
Key Takeaways
Minimums get paid first — strategy only controls the leftover
High minimums can shrink the gap between Snowball and Avalanche
Check your actual minimum payments in £ before debating strategy
If minimums eat most of your budget, strategy choice barely matters
DebtRiot shows the real picture — including when minimums make plans unrealistic
