Credit Card Payoff Calculator
See how long a credit card takes to pay off and how much interest it costs, or flip the calculator around to find the payment that clears it by a target date. Compare a fixed payment against making only the minimum, add a one-time lump sum, and read the month by month schedule.
Formula
Worked example
$5,000 balance at 22% APR, paying $200/month gives about 34 months and roughly $1,750 in interest. Flip to target mode and ask to clear it in 24 months: the required payment rises to about $259, but interest drops to about $1,210.
Three ways to plan the payoff
This calculator works in three modes. In time-to-pay-off mode you enter a fixed monthly payment and it returns how many months the balance takes to clear, plus a debt-free date. In payment-needed mode you enter a target number of months and it solves the annuity formula above for the level payment that clears the balance exactly on time. In minimum-only mode it models what most issuers actually charge, interest plus about one percent of the balance with a small dollar floor, so you can see how a shrinking minimum stretches repayment over many years. An optional one-time extra payment is applied immediately in every mode, before the monthly schedule begins.
How payoff time is calculated
With a fixed monthly payment, the number of months to clear a balance follows the formula above, where B is the balance, PMT is the monthly payment, and r is the monthly rate (APR divided by 12). The catch is the term inside the logarithm: if the payment is not larger than one month of interest (r times B), the balance never falls and there is no solution. The calculator runs the same month by month simulation behind the schedule, so the final payment, which is usually smaller, is captured exactly rather than estimated.
Why credit card interest is so costly
Card APRs are typically far higher than mortgages or car loans, and interest compounds monthly on any carried balance. Making only the minimum payment, often a small percentage of the balance, stretches repayment over years and can cost more in interest than the original purchases. The minimum-only mode makes this concrete, and the fixed-payment mode shows the interest you save by paying a steady amount instead. Paying more than the minimum is the single most effective move.
Strategies to clear a balance faster
Beyond paying more each month, two popular methods help: the avalanche method targets the highest-APR card first to minimise total interest, while the snowball method clears the smallest balance first for quick motivational wins. A one-time lump sum, from a tax refund or bonus, knocks down the balance and the interest that compounds on it. A 0% balance-transfer offer can also pause interest, though watch for transfer fees and the date the promotional rate ends.
Fixed vs minimum payment on a $5,000 balance at 22% APR
| Monthly approach | Payoff time | Total interest |
|---|---|---|
| Minimum only (interest + 1%, $25 floor) | about 16 years | about $7,500 |
| $150 / month | about 50 months | about $2,400 |
| $200 / month | about 34 months | about $1,750 |
| $300 / month | about 20 months | about $1,000 |
| $500 / month | about 11 months | about $560 |
Higher fixed payments collapse both the payoff time and the total interest. Figures are rounded.
Frequently asked questions
How do I find the payment to pay off my card by a certain date?
Switch the mode to "Payment needed (pay off by a target date)" and enter how many months you want to take. The calculator solves the annuity formula for the exact level monthly payment that clears the balance on time, and shows the total interest that plan costs.
Why does paying only the minimum take so long?
Most card minimums are interest plus about one percent of the balance, with a small dollar floor. As the balance falls, the minimum falls too, so each payment puts less toward principal. That shrinking payment is why minimum-only payoff can run well over a decade and cost more in interest than the original balance.
Why might my balance never pay off?
In fixed-payment mode, if your monthly payment is less than or equal to the interest charged that month, the balance stays the same or grows. The payment must exceed the monthly interest before any of it reduces what you owe.
What is APR?
APR is the annual percentage rate, the yearly cost of borrowing. Card interest is usually applied monthly at roughly APR divided by 12, so a 22% APR adds about 1.83% to the balance each month it is carried.
Should I pay more than the minimum?
Almost always, yes. Minimum payments are designed to keep you in debt longer and maximise interest. Even a modest increase, or a one-time lump sum, can cut months or years off the payoff and save substantial interest, as the comparison output shows.