The Debt Center
Debt has math, and math has exits.
List it, order it, concentrate on one target, and roll every finished payment forward. No shame anywhere in this section, just the playbook.
Start here
Start here · 6 min guide
Debt Snowball vs. Debt Avalanche
Two good systems, one honest tradeoff: motivation versus interest.
Both methods pay every minimum, then aim all extra money at ONE debt. Snowball targets the smallest balance for fast wins; avalanche targets the highest interest rate for the... Read the guide →
Every kind of debt, explained
Filter by topic ▾
Credit Card Debt
The most common expensive debt in America: average card rates have run above 20% in recent Federal Reserve data....
Cards & loans Open →
Auto Loans
The car payment is many budgets' second-biggest line, and one of the few debts where refinancing or right-sizing can...
Home & car Open →
Student Loans
Federal and private student loans are different species. Federal loans carry repayment plans, forgiveness routes and...
Cards & loans Open →
Personal Loans
An unsecured fixed-payment loan: useful as a consolidation tool at a good rate, harmful as a lifestyle extender at a bad one.
Cards & loans Open →
Medical Debt
Medical bills are uniquely negotiable and uniquely error-prone, and nonprofit hospitals are legally required to have...
Medical & bills Open →
Payday and Title Loans: Read Before Signing Anything
A clear warning, not a product page: a typical $15-per-$100 two-week payday fee is an APR near 400% (CFPB's own...
Warnings Open →
Buy Now, Pay Later
Four easy payments of $22.50 is still $90, and BNPL's genius is making spending feel like not-spending. Used...
Cards & loansWarnings Open →
Mortgages
Usually the cheapest debt you'll ever hold and the biggest number you'll ever sign. The wins here come from rate...
Home & car Open →
Debt in Collections: Your Rights and Moves
Federal law (the Fair Debt Collection Practices Act) gives you real rights against third-party collectors:...
Get help Open →
Tax Debt
The IRS is a surprisingly structured creditor with published payment options, and a magnet for predatory 'tax...
Medical & billsGet help Open →
Get Help With Debt: From Phone Call to Counseling
An escalation ladder, cheapest and safest first. Most people never need past step three, and the for-profit steps at...
Get help Open →
Bankruptcy Basics
Bankruptcy is the legal system's admission that sometimes debt cannot be paid, and an orderly way out that exists on...
Get help Open →
15 debt strategies that work
Creditor, balance, rate, minimum. Ten uncomfortable minutes, and the fog that makes debt feel unbeatable is gone. More on this
Minimums protect your credit and stop late fees. Extra money goes to ONE target debt on top, never instead.
Pay off the littlest debt first for a fast win. Slightly more interest than avalanche, dramatically better motivation for many people. More on this
Aim extra at the highest APR and the math is on your side: every dollar kills the most expensive interest first.
On a $3,000 card at 22%, an extra $25 a month saves hundreds in interest and months of payments. Run your own numbers. More on this
Card issuers reduce rates for on-time payers who ask, more often than people expect. A five-minute call, no downside for asking.
Job loss, illness, disaster: most lenders have reduced-payment programs, but mostly for people who call before the account is far behind. More on this
A 0% intro offer helps only with a payoff plan that finishes inside the window and a 3-5% transfer fee counted in the math.
One loan replacing five cards helps if the rate is lower and the cards then stay empty. The loan is plumbing; the payoff is behavior.
At fees equivalent to 300-400% APR, they consume paychecks whole. Assistance programs, hardship plans and even most other debt beat this option. More on this
Debt collectors have legal limits (FDCPA): validation letters, no harassment, dispute rights. Knowing them changes the conversation. More on this
Billing errors are common. Itemized bill, then financial assistance policy, then payment plan; hospitals are used to all three requests.
NFCC-member agencies review your whole picture for free and can set up debt-management plans. Very different from for-profit 'settlement' pitches. More on this
For-profit settlement usually means months of deliberate non-payment first: credit damage, fees, possible lawsuits and taxable forgiven debt. Risks first, always.
It exists for a reason. If debts can't be paid in five years of realistic trying, a consultation with a bankruptcy attorney is information, not failure. More on this