Credit Card Payoff Calculator

Enter your balance, the card's APR and a fixed monthly payment to see how many months until it's clear and how much interest you'll pay. Try raising the payment to see how fast the interest drops.

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Enter your balance, APR and payment, then press Calculate payoff.

How the payoff is calculated

Credit card interest compounds monthly. Each month, interest is added to the balance, then your payment is subtracted:

monthly interest = balance × (APR ÷ 12) new balance = balance + interest − payment

The calculator repeats this month by month until the balance reaches zero, counting the months and summing the interest. If your payment is smaller than the first month's interest, the balance never falls — so a minimum payment can leave you in debt for decades.

Worked example

A $5,000 balance at 22% APR paying $200 a month:

First month's interest: 5,000 × (22% ÷ 12) = $91.67.
Balance after payment: 5,000 + 91.67 − 200 = $4,891.67.
Months to clear: 34 months.
Total interest paid: ≈ $1,750.

Paying off faster

Because interest is charged on the balance, even a modest increase in the monthly payment shortens the payoff dramatically and saves hundreds in interest. A balance-transfer card with a 0% intro APR, or the avalanche method (attacking the highest-rate card first), can speed things up further.

Warning: if the payment is below the monthly interest, the balance grows forever. The minimum payment on many cards is set just above that line, which is why minimum-only payoffs can take 20+ years.

Frequently asked questions

How is credit card interest calculated?

Most cards use a monthly periodic rate of APR ÷ 12 applied to the balance. So a 22% APR adds about 1.83% of the balance in interest each month before your payment is subtracted.

Why does paying only the minimum take so long?

The minimum payment is often only slightly more than the monthly interest, so very little goes to principal. A $5,000 balance at minimum payments can take well over a decade and double in total cost.

How much faster is a higher payment?

Dramatically faster. Because interest compounds on the remaining balance, raising a $200 payment to $300 can cut both the months and the total interest by roughly a third or more.

What if my payment is less than the interest?

Then the balance grows every month and the card is never paid off. The calculator will flag this — you must pay more than the first month's interest to make any progress.

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Mustafa Bilgic · Editor, Calcool
Credit card interest is modeled with standard monthly compounding (APR ÷ 12). Real statements may differ slightly (average daily balance, fees). For card-debt guidance, see the Consumer Financial Protection Bureau (CFPB).

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