Debt payoff calculator: months to debt-free in Kenya

Avalanche vs snowball

With multiple debts, two competing strategies dominate. Avalanche pays minimums on everything and puts every extra shilling on the highest-interest debt first. Mathematically optimal, saves the most interest, but slow to feel progress because the highest-rate debt is often also the largest.

Snowball pays minimums on everything and puts extra on the smallest balance first. You clear that debt fastest, then roll its payment into the next, then the next. Mathematically suboptimal but psychologically powerful, the early wins create momentum.

Pick whichever you will actually finish. The difference between the two methods on a typical Kenyan debt portfolio is usually 5 to 10% of total interest. A finished snowball beats an abandoned avalanche.

Increasing your payment

Try the calculator with monthly payment +1,000, +5,000, +10,000. The months-to-free number drops faster than you expect because every extra shilling skips that month\'s interest accrual. This is the cheapest financial win available, more impactful than most investment moves.

Frequently asked

My monthly payment is less than the interest. What does the calculator show?

The result shows "infinity" because at that payment level, the debt grows rather than shrinks. Increase the monthly payment until it covers interest plus a meaningful chunk of principal.

How do I find my average rate?

Add the rate of each debt weighted by its balance. Example: KES 100k at 14% and KES 50k at 20% has a weighted average of 16%. For a quick estimate, use the rate of your largest debt.

Should I prioritise debt or investing?

Pay off any debt above 12% annual rate before investing in money market funds (which yield 9 to 15%). Below 12%, the choice depends on risk tolerance, but always pay at least the minimum on every debt.