Debt Freedom Fund Calculator
Building a lump sum to pay off remaining debt can be a powerful strategy, especially for negotiating settlements. Many creditors accept 40-60% of the balance as a lump sum settlement.
Your Savings Details
Your Results
Progress to $10,000Goal reached!
Time to Goal
1y 8m
Total Contributions
$16,500
Interest Earned
$1,029
Final Balance
$17,529
Savings Growth
Month 1Month 26
Debt Freedom Fund Tips
- 1.Save in a separate account earmarked for debt payoff
- 2.Once you hit a good amount, call creditors and negotiate a settlement
- 3.Get any settlement agreement in writing before paying
- 4.Focus on one debt at a time for maximum psychological impact
- 5.After paying off debt, redirect those payments to savings
Quick Facts
Typical Goal
$10,000
Suggested Monthly
$500
At 5% Return
721 months