Credit Card Payoff Calculator
See how long to pay off your credit card — and how much interest you can save by paying more than the minimum each month.
A $5,000 credit card balance at 22% APR with a fixed $150 payment takes 42 months and costs $1,231 in interest. Paying only the minimum ($25 + interest) can take over 20 years. This calculator shows both scenarios side by side.
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Credit Card Payoff Calculator
Balance · APR · Monthly payment · Minimum payment
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Your card
$
%
$
% + interest
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Results
With your fixed payment
Months to pay off
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Total interest paid
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Total paid
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With minimum payment only
Months to pay off
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Total interest paid
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You save vs minimum
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How it's calculated
Credit card interest: daily periodic rate
Credit cards usually compound daily (though most calculators simplify to monthly). The monthly interest charge on any balance is:
Monthly interest = balance × (APR ÷ 12)
If payment > monthly interest:
Principal paid = payment − interest
New balance = balance − principal paid
Repeat until balance reaches $0
Minimum payment = max($25, balance × min% + monthly interest)
(shrinks each month as balance falls — why it takes so long)
- APR (Annual Percentage Rate)
- The annual interest rate on your credit card balance. Most cards: 18–26%. Divide by 12 for monthly rate.
- Minimum payment
- The smallest amount you can pay to keep the account in good standing. Usually 1–2% of balance plus interest — barely above interest, so balances shrink very slowly.
- Revolving balance
- The unpaid portion of your credit card bill that carries over to the next month and accrues interest. Avoid carrying a revolving balance — the interest cost is very high.
Disclaimer: estimates assume constant APR and no new charges. Your actual statement may use daily compounding. Check your card agreement for exact terms.
Frequently asked questions
Why does minimum payment take so long?
Because the minimum payment shrinks as the balance falls. At $5,000 with 2% minimum + interest at 22% APR: first month minimum = $100 + $91.67 interest = $191.67; next month it's lower. You're always paying barely more than interest — the balance drops glacially. A fixed payment of $200 pays it off in ~32 months; minimum-only can take 20+ years.
What is the average credit card APR?
In the US, average credit card APR is approximately 21–24% in 2026 (Federal Reserve data). Rewards cards tend to be higher (24–27%); store cards often reach 28–30%. Always check your specific card's APR in your statement or cardholder agreement.
Should I pay more than the minimum?
Absolutely — always pay as much as possible. Even $50 extra per month on a $3,000 balance at 20% APR saves hundreds of dollars and years of payments. The interest rate on credit card debt (18–26%) is almost always higher than any safe investment return.
Is balance transfer a good option?
Often yes — if you can qualify for a 0% introductory APR card and pay off the balance within the intro period (typically 12–21 months). Watch for: balance transfer fees (typically 3–5%), what APR kicks in after the intro period, and ensure you don't make new purchases on the card during payoff.