Finance

Credit Card Payoff Calculator

It works out how many months a card balance takes to clear at a given payment, the total interest cost, and what extra payments save.

IntermediateUpdated 2026-07-28Free · no sign-up

Debt free in

3y 0m

Total interest $2,467.62 on $6,400.00 borrowed
Principal
Interest

Total paid

$8,867.62

Total interest

$2,467.62

Suggested minimum

$128.00

With +$50

28 mo

Interest saved

$570.94

Months saved

8

What it calculates

It works out how many months a card balance takes to clear at a given payment, the total interest cost, and what extra payments save.

Why it matters

Card APRs typically run 18–30%, so minimum payments can stretch a modest balance across decades.

Who it's for

Anyone carrying revolving balances or planning a debt payoff strategy.

Formula

balance ← balance × (1 + APR ÷ 12) − payment  |  repeat until balance = 0
B
Current balance
APR
Annual percentage rate
PMT
Monthly payment

Worked example

$5,000 at 22% APR, paying $200/month

  1. 1Monthly rate = 22% ÷ 12 = 1.833%
  2. 2n = −log(1 − B·r/PMT) / log(1 + r)
  3. 3n = −log(1 − 5,000 × 0.01833 ÷ 200) / log(1.01833) ≈ 33.7

34 months and roughly $1,750 in interest

How the credit card payoff calculator works

Interest accrues monthly on the outstanding balance. Anything above that interest reduces principal. If your payment barely exceeds the monthly interest, the balance shrinks almost imperceptibly.

Interest is charged monthly on the remaining balance, so every extra dollar you pay above the minimum removes compounding interest for the rest of the term.

If your payment is smaller than the monthly interest, the balance never clears — the calculator flags that case.

Common mistakes

  • Paying only the minimum, which is usually set as a small percentage of the balance.
  • Adding new spending to a card you are trying to pay down.
  • Missing the end of a 0% promotional period.

Tips and best practice

  • Attack the highest APR first (avalanche) to minimize total interest.
  • A balance transfer can work, but factor in the transfer fee.

Frequently asked questions

How long will it take to pay off my credit card?

n = −log(1 − B·r/PMT) / log(1 + r), where r is the monthly rate. The calculator solves it for you.

Why does the minimum payment take so long?

Minimums are set just above the monthly interest, so very little goes to principal.

Is it better to save or pay off card debt?

Paying down a 22% APR balance is a guaranteed 22% return — almost always better than saving.

Does a balance transfer help?

It can, if you clear the balance within the promotional window and the fee is smaller than the interest saved.

Related calculators

Methodology & trust

Formula source
Revolving credit amortization formula.
Last updated
2026-07-28
Privacy
Every calculation runs in your browser. No inputs are sent to a server or stored.
Accessibility
Keyboard navigable, labeled inputs and WCAG AA color contrast.