We compare the performance of a variant of the standard Dynamic Alternative Routing Algorithm (DAR) technique commonly used in telephone networks to a path selection algorithm that is based on the balanced allocation principle - the Balanced Dynamic Alternative Routing (BDAR) Algorithm. While the standard method checks alternative routes sequentially until available bandwidth is found, the BDAR algorithm compares and chooses the best among a small number of alternatives. We demonstrate that for a minor increase in routing costs, the BDAR algorithm yields a substantial reduction in network congestion.