Credit Card Payoff Calculator
See how long it takes to pay off your credit card and how much interest you will pay.
Minimum Payments vs. Your Payment
| Minimum Payments | Your Payment | |
|---|---|---|
| Timeline | - | - |
| Total Interest | - | - |
| Total Paid | - | - |
| Interest Saved | - | |
Payment Schedule (Yearly Summary)
| Year | Payment | Principal | Interest | Balance |
|---|
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Request a ToolHow to Use the Credit Card Payoff Calculator
This calculator shows exactly when you will pay off your credit card and how much interest it will cost. Here is how to use it:
- Enter your current balance. This is the total amount you owe on your credit card right now. Check your most recent statement for the exact number.
- Set the annual interest rate (APR). Look at your credit card statement or agreement for your APR. The default is 22.9%, which is close to the national average for credit cards.
- Enter your monthly payment. This is the fixed amount you plan to pay each month. It must be higher than the monthly interest charge for your balance to go down.
- Set the minimum payment percentage. Most credit cards require a minimum payment of 1% to 3% of the balance (or $25, whichever is greater). The default is 2%.
Results update instantly as you type. The comparison table shows how much time and money you save by paying a fixed amount instead of making only minimum payments. The yearly summary breaks down how your payments split between principal and interest over time.
Use the Share button to send a pre-filled link, or Copy to grab the result.
About Credit Card Interest
Credit card interest compounds on your remaining balance each month. When you make only the minimum payment, the majority of that payment goes toward interest rather than reducing what you actually owe. This is why minimum payments can stretch a balance over decades and cost you more in interest than the original purchase price.
The most effective way to reduce credit card costs is to pay as much as you can above the minimum each month. Even an extra $50 or $100 per month can cut years off your payoff timeline and save thousands in interest charges. This calculator lets you experiment with different payment amounts to find the right balance between aggressive payoff and monthly budget needs.
All calculations run entirely in your browser. We never see or store your financial information.
Frequently Asked Questions
How long will it take to pay off my credit card?
It depends on your balance, interest rate, and monthly payment. For example, an $8,000 balance at 22.9% APR with $300 monthly payments takes about 2 years and 9 months to pay off. You would pay roughly $2,900 in interest. Making only minimum payments on the same balance could take over 20 years and cost far more in interest than the original balance.
Why are minimum payments so expensive?
Minimum payments are calculated as a small percentage of your balance, typically 1% to 3%. At first, most of that payment covers interest charges with very little going toward the actual balance. As your balance slowly drops, the minimum payment also drops, creating a cycle that stretches repayment over many years. On high-interest cards, you can easily pay two to three times the original balance in total.
What is a good strategy to pay off credit cards?
The most effective approach is to pick a fixed monthly payment you can afford (well above the minimum) and stick with it. If you have multiple cards, the avalanche method targets the highest-rate card first, saving the most money. The snowball method targets the smallest balance first for quicker wins. Both work, but consistency matters most. A balance transfer to a lower-rate card can also help if you qualify.
How is credit card interest calculated?
Credit card issuers divide your annual rate (APR) by 12 to get a monthly rate, then multiply it by your remaining balance each month. For example, a 22.9% APR becomes about 1.908% per month. On an $8,000 balance, the first month of interest would be roughly $153. Each payment reduces the balance, which reduces the next month of interest charges. This calculator models that process month by month.