If you were going with the Debt Snowball technique, you would start with that Kohl’s charge card first (well, second – after cutting it up into teeny tiny pieces). If the minimum payment on that is $30 a month, you would by now have been revamping your budget and have another $100 to throw on that – making it $130 a month.
This sense of accomplishment is what the Debt Snowball is all about. Getting super excited about paying off debt gives you the courage to do things you previously may not have wanted to do.
Interest rates really chew on some people’s last nerve. It really bothers them when they see that 24% interest rate on their Kohl’s card. If they work on the greatest interest rate first, then think about the money they would save in the long run. This might take you a lot longer than the snowball method. Especially if your highest interest rate is attached to your most substantial debt.