Jagular wrote in a comment that I think I should share with everyone. The comment was on the post The DOLP Snowball method to pay off Debts. He was agreeing with me, mostly, on the viewpoint I expressed about the DOLP method.
He even came up with his own snowball method…which is the PLOD. Please check out the article and let me know what you think in the comments. If you agree or disagree with me or Jagular then feel free to go ahead and post that in the comments too. I think this is an interesting topic for discussion.
Do you know what the fallacy to the DOLP method is?
What if you have a debt that is zero interest, no payments for six months? How do you figure that into the mix? Because if you pay it off before the six months are over you avoid all of the interest, but if you put it last on the DOLP snowball, you will be hit by all of the accumulated interest when it comes due.
Hey Jag I think of it the same way that you do. To me it is just too much work and not worth it because it does not take into account things like interest rates.
But hey it was on Yahoo so I guess someone likes it.