The earlier you pay off your debt, the earlier you will have peace of mind and financial stability. However, choosing the right approach to clearing debt can be a challenge without knowing how finances work.  

But don’t worry; here are a few tips to help you walk through the debt repayment process.  

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1. List All Your Debts: First, list all your debts along with your outstanding balance, the minimum monthly payments required, and their respective rates of interest. This process will give you an idea of which of your debts are putting more burden on your budget than the rest to help you manage them better. 
2. Pay Off High-Interest Debt First: Pay the highest interest rate debts first, also called the “avalanche” method. If you have a high-interest credit card debt, it should be the first one for you to repay. This step will ensure you save the most money in total interest paid over time. For example, If you have an outstanding credit card bill of Rs. 1,00,000 at 30 per cent interest and a personal loan of Rs. 2,00,000 at 12 per cent interest. You should prioritise paying off the credit card bill before taking on the personal loan using the avalanche method since it is the costliest. The greatest advantage of this method is that it will help save you money in interest, besides paying off the debt sooner.  
3. Or Pay Off Small Debts First: The “snowball method” focuses on repaying small debts first to build momentum. Psychologically, it feels good because clearing up smaller debts creates a sense of accomplishment, giving you a boost to repay the larger ones. However, this method can lead you to pay more interest in the long term. For example, suppose you have an outstanding credit card balance of Rs. 50,000, a personal loan of Rs. 1,50,000, and an education loan of Rs. 3,00,000. Paying off the smaller debt of Rs. 50,000 first will bring down the number of debts quickly, giving you a psychological boost and motivating you further.  
4. Consolidate Debt: Those with many high-interest debts will be better off consolidating them into one loan at a lower interest rate. In India, this could mean a balance transfer of a credit card or a personal loan at lower rates to keep debts manageable. For example, you may have held a few credit cards with outstanding bills at high interest rates. So, consolidating them into a single payment via the balance transfer mode at a lower rate will make sense.  
5. Sell Unused Things: You can also earn extra money by selling unused things lying around the house to repay debts. Many online sites like Facebook Marketplace, OLX, eBay, Etsy, Cashify, Quikr, etc., can help you sell them.  

Which of these techniques will work best for paying your debts depends on your financial situation, the nature of the debt, and your personal goals. You must be certain that whatever method you choose, be it avalanche, snowball, or any other approach, should be realistic and feasible based on your financial health. Pick a strategy that fits your preference and follow it all through. You’ll be out of your debt burden and enjoy more financial freedom.