Debt Snowball vs. Daily Deposits: Why You Need Both

If you’ve spent any time researching how to get out of debt, you’ve heard of the Debt Snowball. Popularized by Dave Ramsey, it focuses on paying off your smallest balances first to build emotional momentum.

But there is a missing piece to the Snowball: Consistency. It’s easy to be excited about a snowball in January, but what happens in March when your car needs new tires?

The Problem with Traditional Methods

Both the Snowball and the Avalanche (paying high interest first) rely on a monthly surplus. They assume that at the end of the month, you’ll have an extra $200 sitting around to throw at your debt.

In reality, that $200 usually leaks out of your bank account in $10 increments a lunch here, a subscription there. By the time the end of the month rolls around, the "Snowball" has melted.

Enter: The Daily Deposit Engine

Daily Deposits aren't a replacement for the Snowball; they are the engine that makes the Snowball move. Instead of waiting for the end of the month to see what's left, you move small amounts into your DebtVault every single day.

Feature	Traditional Snowball	DebtVault Daily Method
Frequency	Once per month	Every single day
Psychology	Big win every few months	Small win every 24 hours
Risk	High (Easy to spend the surplus)	Low (Money is moved automatically)

How to Combine Them for Maximum Speed

To pay off debt the fastest way possible, follow this 3-step system:

• Step 1: Pick your target. List your debts smallest to largest (Snowball).
• Step 2: Automate the Daily Save. Set your DebtVault to move $5 or $10 a day specifically for that smallest debt.
• Step 3: The Monthly Crush. At the end of the month, take your Vault balance and pay it toward that debt.