The debt snowball method is a popular debt repayment strategy that involves paying off your debts in order from smallest to largest, regardless of interest rates. Here’s how it works:

1. List out all of your debts from smallest to largest, along with their minimum monthly payments and interest rates.

2. Make minimum payments on all of your debts except for the smallest one.

3. Put any extra money you have towards paying off the smallest debt as quickly as possible. This means making larger payments than the minimum required each month.

4. Once the smallest debt is paid off, take the money you were putting towards that debt (including the minimum payment and any extra payments you were making) and apply the next smallest debt on your list.

5. Repeat this process, paying off each debt in order from smallest to largest, until all of your debts are paid off.

6. The debt snowball method is effective because it provides a sense of accomplishment and motivation as you pay off your debts one by one, starting with the smallest. This can help you stay motivated and focused on your debt repayment journey. Additionally, as you pay off each debt, you free up more money to put towards paying off the next one.

7. One potential drawback of the debt snowball method is that it may not be the most cost-effective way to pay off your debts if you have high-interest debts. If your smallest debt also happens to have a low interest rate, you may end up paying more in interest over time than if you had prioritised paying off your highest-interest debts first. However, the psychological benefits of the debt snowball method can make it a valuable strategy for many people.