Credit Card Payoff Calculator
Find out how long your monthly payment will take to clear a credit card balance and the total interest, or the payment needed to be debt-free by a deadline.
Result
Enter your values and select Calculate to see the result.
How to use this calculator
- Enter your balance and the card’s APR.
- Choose Time to pay off and enter a monthly payment, or Payment needed and enter a number of months.
- The yearly table shows how the balance falls.
Formula
Each month interest of balance × APR ÷ 12 is added, then your payment is subtracted, until the balance reaches zero.
For a target number of months n, the payment is B × i ÷ (1 − (1 + i)^−n) with i = APR ÷ 12.
The payment must be larger than the first month’s interest, otherwise the balance never falls.
Worked example
5,000 at 18% APR, paying 200 a month
It takes 32 months to clear, with about 1,313.96 of interest. The last payment is about 113.96.
Clearing it in 24 months
The same balance needs 249.62 a month to be paid off in two years, saving about 323 of interest.
Assumptions and limitations
- Assumes no new purchases, fees or rate changes.
- Card issuers usually charge interest on the average daily balance and may require a minimum payment, so actual figures can differ slightly.
- Promotional 0% periods are not modelled.
Frequently asked questions
Why does paying only the minimum take so long?
Minimum payments are often just above the monthly interest, so very little goes toward the balance itself.
Should I pay off the card with the highest rate first?
Paying extra on the highest-APR balance first (the avalanche method) minimises total interest.