Pay off the higher interest one. The amount of the payment is irrelevant. If you could pay off either one, then you have at least $6k right now to pay towards debt. Pay off the $5700 with higher interest and $300 to the $6k. That brings the $6k to $5700 (same balance left to pay as if you paid off the $6k), but you're paying a lower interest rate. Either way, you're going to have the same $640 to pay towards either account, but because you're paying 5% less interest, you're going to be done sooner than if you do it the other way to "free up" the higher payment. which is going to work the same either way. There is literally NO BENEFIT to "freeing up" the higher payment if you're going to just snowball it anyway - you're costing yourself more in interest. You'll be done faster (or, same amount of time, but less money) if you pay off the higher interest one first, than if you do it the way you're thinking.