You just learned about the snowball technique for reducing your credit card debt so now it's time to discuss the so-called snowflake technique. The premise is simple: Every time you get more than a few dollars in your hand, send it in to your credit card company to reduce your outstanding balance.
To make it clear: We're literally talking about $7.12 payments. Or $14.35 payments. Or $3.54 payments. If you just park it in the bank, you're going to spend it. That's human nature. If all you are able to find is an extra $2.74 per day, that's $1,000 per year taken off your credit card debt balances!
People often ignore the power of small amounts, as I wrote in Do Not Despise the Day of Small Beginnings - How Small Sums Can Yield Huge Wealth. As with everything in life, there is a compounding effect that goes to work. It's the same principal behind the Indian story of the ant that was able to move an entire mountain, one grain of sand and piece of dirt at a time. Your small efforts may not look like they're even denting your credit card debt. In the aggregate, over several years, the results will be nothing short of spectacular. It's the nature of the universe.
