Create a Debt Consolidation Strategy

# Create a Debt Consolidation Strategy **Best model:** Claude 4 Sonnet **Category:** Finance & Money **Tags:** debt, finance, credit, money management ## Description Compare debt payoff methods and find the fastest, cheapest path to zero. ## Prompt Create a debt strategy for: [LIST DEBTS with balance, rate, min payment]. Monthly available for debt: [AMOUNT]. Credit score: [SCORE]. Include: 1. CURRENT STATE: Total debt, weighted average interest rate, months to payoff at minimums. 2. AVALANCHE METHOD: Pay highest rate first. Total interest paid, payoff date. 3. SNOWBALL METHOD: Pay smallest balance first. Total interest paid, payoff date. 4. CONSOLIDATION OPTIONS: Personal loan, balance transfer, HELOC, 401k loan — pros/cons for each. 5. REFINANCING: When it makes sense, rates to target, fees to watch. 6. NEGOTIATION: How to ask for lower rates, settlements, hardship programs. 7. MONTH-BY-MONTH: First 6 months payment allocation. 8. CREDIT IMPACT: How each strategy affects score short and long term. 9. POST-DEBT: Redirect payments to investments. Show total interest saved vs minimum payments.