Credit Card Interest and Payoff Calculator
Find out how long it takes to pay off a credit card and how much interest you will pay. Test the effect of paying extra.
Credit card interest compounds against you. At typical rates a balance can take many years to clear.
This calculator shows the payoff time and total interest for your payment. Add an extra amount to see how much it saves.
How it works
Each month interest is charged on the balance at one twelfth of the APR. Your payment covers that interest first, and the rest reduces the balance.
A bigger payment shifts more toward the balance. That is why small increases shorten the payoff so much.
The formula
B = balance, i = monthly rate (APR / 12), P = monthly payment.
Tips
- Always pay more than the minimum. Minimums are designed to keep you in debt.
- A 0% balance transfer can help if you pay it off before the promotional rate ends.
- Stop adding new charges while you pay down the balance.
Frequently asked questions
Why does my balance barely move?
At a high APR most of a small payment goes to interest. Only the remainder reduces what you owe.
Does paying twice a month help?
A little. Interest is based on average daily balance, so earlier payments cut the interest slightly.
This is not financial advice. Nothing on this site is investment, tax, legal or financial advice of any kind.
The calculators give simplified estimates from the numbers you enter. They ignore taxes, fees, rate changes and real market returns, and they can be wrong.
Do not make financial decisions based on these results. Speak to a licensed financial adviser, accountant or lender before acting, and read the full disclaimer.