Minimum Payment Calculator
See how long a credit card takes to clear paying only the minimum, and what fixing the payment saves.
Card issuers set minimum payments as a small share of the balance. As the balance falls, so does the payment.
That is the trap. The debt shrinks slower every month and the interest piles up for years.
How it works
Each month the minimum is the percentage of the balance plus that month's interest, or the floor if that is higher. Interest is added and the minimum is paid.
The comparison keeps paying the very first minimum every month. That alone cuts years off.
The formula
Fixed comparison = the first month's minimum paid every month.
Tips
- Never let the payment shrink. Fix it at the first amount or higher.
- Your statement shows a minimum payment warning box. This calculator explains the numbers in it.
Frequently asked questions
How is a credit card minimum payment calculated?
Usually a percentage of the balance plus that month's interest and fees, with a floor of around $25 to $35. Terms vary by issuer.
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.