Credit Card Payoff Calculator
See how long it takes to clear a credit-card balance — or what to pay to hit a target date.
What you currently owe on the card
US credit-card average is around 21–24%
How much you'll pay toward the card each month
Time to Pay Off
2 yr 2 mo
paying $250.00 a month
You'll pay $1,286 in interest — that's 26% on top of the $5,000 you borrowed.
Total You'll Pay
$6,286
Balance + all interest
Total Interest
$1,286
The cost of carrying the balance
Monthly Payment
$250
As you entered
Payoff Time
2 yr 2 mo
Until the balance hits zero
What if you paid more each month?
Paying $300/mo instead of $250 clears the card 5 months sooner and saves $264 in interest.
📋 Payment Schedule
How to use this calculator
- Enter your card balance — the amount you currently owe.
- Enter the interest rate (APR) — printed on your statement; the US average is around 21–24%.
- Choose what to fix — either a monthly payment you can commit to, or a deadline you want to hit.
- Enter that payment or deadline — the calculator solves for the other one.
The payoff time, total interest, and a full month-by-month schedule update as you type. Use the “what if you paid more” options to see how a larger payment shortens the payoff, and download the schedule as a CSV.
How it works
A credit-card balance is paid down the same way as any other loan, but the danger is the interest charge. Each month:
- Interest is added — the balance multiplied by the monthly rate (APR ÷ 12). At 24% APR, that is 2% of the balance every month.
- Your payment covers the interest first — only what is left over reduces the principal.
- The new, smaller balance carries into the next month.
The single most important consequence: if your payment is at or below the monthly interest charge, the balance never shrinks — it can even grow. The calculator flags this directly. Just above that threshold, the balance does clear, but it can take 15–25 years, with total interest exceeding the original balance.
Because interest is always charged on the remaining balance, every extra dollar of principal you pay saves interest on every month that follows. That is why a modest increase in the monthly payment has an outsized effect — and why paying only the minimum is the most expensive way to carry a card.
Frequently Asked Questions
How long does it take to pay off a credit card? ▾
It depends almost entirely on how much you pay each month relative to the interest. As an example, a $5,000 balance at 22% APR takes about 26 months to clear at $250 a month — but over 12 years at just $98 a month. The interest charged each month is the balance times the monthly rate (APR ÷ 12), so the larger your payment above that interest charge, the faster the balance falls. Enter your balance, APR and payment to see the exact figure.
What is the minimum payment trap? ▾
A credit card's minimum payment is usually a small percentage of the balance — often around 1–3%. Because most of that minimum goes to interest, the balance barely shrinks, and the next month's minimum is calculated on a balance that is almost as high. Paying only the minimum can keep a card in debt for 15–25 years and cost more in interest than the original purchase. The fix is simple: pay a fixed amount well above the minimum, so a steady share goes to principal every month.
How is credit card interest calculated? ▾
Credit-card interest is charged monthly on the balance you carry. The monthly rate is the APR divided by 12 — so a 24% APR is 2% a month. Each month, interest equal to (balance × monthly rate) is added; your payment first covers that interest, and only the remainder reduces the principal. This is why a payment at or below the monthly interest never shrinks the balance at all. Most cards compound daily in practice, but a monthly model is accurate enough for planning.
Should I do a balance transfer? ▾
A 0% intro-APR balance transfer can save a lot of interest if you can clear most of the balance during the promotional window (typically 12–21 months). Weigh it against the transfer fee, usually 3–5% of the amount moved, and be clear-eyed about the rate the card jumps to when the promo ends. A transfer helps most when you have a concrete plan to pay the balance down before the intro period expires — not as a way to postpone the problem.
Is it worth paying a little extra each month? ▾
Yes — disproportionately so. Extra money goes straight to principal, which lowers the balance every future month's interest is charged on, so the effect compounds. On a typical card balance, even an extra $50 a month can cut years off the payoff and save hundreds or thousands in interest. Use the 'what if you paid more' option in the calculator to see the exact months and interest saved for your numbers.