How many months it takes to pay off a credit card balance and how much interest you pay. Results update as you type.
Each month, interest is charged on the balance at the APR divided by twelve. Your payment covers that interest first, and the rest reduces the balance. The simulation repeats until the balance reaches zero.
Results are estimates for education only and are not financial advice.
Most of a minimum payment goes to interest, so very little reduces the balance. Raising the payment even a little shortens the payoff a lot, because more of each payment reaches the principal.
Monthly interest = remaining balance × APR ÷ 12. Each month, the principal part of your payment = monthly payment − monthly interest, and the balance falls by that principal part. The payoff time is the number of months until the balance reaches zero, and total interest is the sum of all the monthly interest charges.
A $10,000 balance at 24% APR with a $300 monthly payment takes 56 months, or 4 years and 8 months, to pay off. Total interest is $6,644, so the total paid is $16,644.
Paying the highest APR balance first usually costs the least total interest, because that balance grows fastest. Some people prefer paying the smallest balance first for motivation; that can cost more interest but may be easier to stick with.
Yes. This calculator assumes no new charges, so any new purchase adds to the balance and extends the payoff time. If you keep using the card, the payoff date in the calculator will be too optimistic.
Similar calculators: Loan CalculatorExtra Payment CalculatorBusiness Loan Calculator