What types of debt should I pay off first?

Generally, you should prioritize paying off high-interest debt first, particularly credit cards, which often carry rates of 20% or higher. This is called the avalanche method and saves the most money over time. After credit cards, focus on personal loans, then auto loans, and finally lower-interest debt like student loans or mortgages. If motivation is a concern, some people prefer the snowball method, paying off the smallest balances first regardless of interest rate, to build momentum. Either way, always make minimum payments on all debts to avoid penalties. Keep in mind that very low-interest debt, like a mortgage under 4%, may not need aggressive payoff if you can earn more by investing that money instead.