The formula this calculator uses
Credit Card Payoff Calculator
Each month: Interest = Balance × (APR/12)
New balance = Balance + Interest − Payment
Repeat until balance reaches zero
Example: $5,000 at 19.99% APR, $200/mo → roughly 32 months and ~$1,400 interest
Why high-APR debt is expensive
Credit-card interest compounds monthly. Making only the minimum payment can keep you in debt for years and cost thousands in interest. This calculator shows the real cost of any chosen payment amount.
How to use this calculator
- Enter the required values in the fields above.
- Results update automatically as you type.
- Adjust any input to explore different scenarios.
Frequently asked questions
Why does minimum payment take so long?
Minimum payments are often set just above the interest charge, so almost no principal is reduced each month.
Should I pay more than the minimum?
Yes. Even a modest increase in the monthly payment dramatically shortens the payoff time and cuts total interest.
Does this include new purchases?
No. The calculation assumes you stop adding new charges and only pay down the existing balance.
What if I have multiple cards?
Pay off the highest-APR card first (avalanche method) or the smallest balance first (snowball method) while making minimums on the rest.