Clear multiple debts with snowball or avalanche ordering.
Time to debt free
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Total interest paid
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Total paid
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Your breakdown
Updates live as you type
Item
Amount
Worked example
Take two debts. Debt A is a KES 200,000 loan at 16% a year with a KES 6,000 minimum, and Debt B is a KES 50,000 mobile or card balance at 28% with a KES 2,500 minimum. You can add KES 3,000 a month on top of the minimums, and you choose the avalanche method, which attacks the highest rate first. Each month interest is added to every balance, then the budget of KES 11,500 (the two minimums plus the extra) clears the minimums and throws everything left at Debt B until it is gone, then at Debt A.
Item
Value
Starting debt
KES 250,000
Combined minimums
KES 8,500
Extra payment
KES 3,000
Months to clear
32
Total interest
KES 56,587.27
Total paid
KES 306,587.27
The debt clears in 32 months, and over that time you pay KES 56,587.27 in interest on top of the KES 250,000 borrowed. The chart below splits the KES 306,587 total paid into principal and interest.
How it is calculated
The tool simulates the payoff month by month rather than using a single formula, because the order in which debts clear changes the interest. Each month it adds one twelfth of the annual rate to every outstanding balance, then forms a budget equal to all the minimum payments plus your extra amount. It pays each minimum, then directs every remaining shilling at the target debt, which under the avalanche method is the highest interest rate and under the snowball method is the smallest balance. When a debt clears, its freed-up minimum rolls into the budget for the next one, the snowball effect that accelerates later payoffs. The avalanche order minimises total interest because it kills the most expensive debt first, while the snowball clears small balances quickly for motivation. If your combined payments are too small to outpace the interest, the tool flags that the debt is not clearing. Mobile and card debt in Kenya often carries the highest rates, so it is usually the avalanche target.
Frequently asked questions
Snowball or avalanche, which clears debt faster?
The avalanche method targets the highest interest rate first, so it costs the least interest overall. The snowball method targets the smallest balance first, clearing whole debts quickly for motivation, but usually costs a little more. Both pay the minimum on every debt and roll any spare cash, plus freed-up minimums, onto the current target. This calculator runs whichever order you choose and reports the months to clear everything.
What is the debt snowball effect?
When you fully clear a debt, its minimum payment is freed up and added to the budget for the next target debt. This means each successive debt receives a larger monthly payment than the previous one, accelerating payoff. The effect compounds as you work through the list, so the last debt is typically cleared much faster than the first one was.
How do high mobile loan and credit rates in Kenya affect payoff time?
Mobile credit and some saccos charge annual rates of 24% to 80% or more, depending on the product. At those rates, a large share of each minimum payment covers interest rather than reducing the balance, which stretches the payoff period dramatically. Using the avalanche method and targeting those high-rate balances first cuts the total interest significantly. Even a small extra monthly payment can shorten the timeline by months.
What if my payments are too small to cover the interest?
If the combined payments on a debt are less than the monthly interest accruing, the balance grows every month and the debt never clears. This calculator flags that scenario and shows "Over 50 yrs" rather than a realistic date. The fix is to increase your minimum payment or add an extra amount so that at least some principal is reduced each month.