Credit Card Payoff Calculator
Find out how long it will take to pay off your credit card and how much interest you'll pay. Or choose a number of months and see the monthly payment you need to be debt-free by then.
Time to pay it off
2 years and 10 months
Check the highlighted fields to see your result.
- Total interest
- 1,749.88
- Total paid
- 6,749.88
Assumes no new purchases on the card.
Results are estimates for information only and do not constitute financial, medical, or legal advice.
How it works
Each month, the card adds interest to your balance (the APR divided by 12) and your payment is subtracted. The calculator repeats that until the balance reaches zero, assuming you don't make new purchases. If your payment is not larger than the monthly interest, the balance never goes down.
The formulas
Interest this month = balance × APR ÷ 12
Payment for n months = B × r ÷ (1 − (1 + r)−n)
B is the balance and r is the APR divided by 12.
Worked example
You owe $5,000 on a card with a 22% APR and pay $200 a month.
- First month's interest: $5,000 × 0.22 ÷ 12 = $91.67, so only $108.33 of the payment lowers the balance.
- As the balance shrinks, more of each payment goes to the debt.
- You pay it off in 2 years and 10 months, with $1,749.88 in total interest.
Frequently asked questions
Why does paying only the minimum take so long?
Minimum payments are set low, often around 1% to 3% of the balance plus interest. Most of the payment goes to interest, so the balance drops very slowly. Paying a fixed amount above the minimum makes a big difference.
How is credit card interest calculated?
Most cards charge interest daily on your average balance, using the APR divided by 365. This calculator uses the APR divided by 12 each month, which gives a very close estimate.
Will a balance transfer help?
A card with a 0% introductory rate can save a lot of interest if you pay the balance off before the promotion ends. Watch for a transfer fee, usually 3% to 5% of the amount, and the rate after the promotion.
I have several cards. Which should I pay first?
Keep paying the minimum on every card and put any extra money toward one of them: either the one with the highest rate (the avalanche method) or the smallest balance (the snowball method). Our debt snowball calculator can help you plan.