Credit Card Payoff Calculator
Enter your balance and rate to see exactly when the card is clear and what the interest costs along the way. Switch modes to work backwards from a deadline instead, and compare either against paying only the minimum.
Why the minimum payment is designed the way it is
Look at the "minimum payments only" line. On a typical balance at a typical rate, paying the minimum takes well over a decade and costs more in interest than the original purchase.
That is not an accident of arithmetic. The minimum is usually set at 1–3% of the balance, so it falls as you pay down. Early on, most of it covers interest. As the balance shrinks the required payment shrinks with it, stretching the tail out for years. The card is not broken — it is working exactly as intended.
The single most effective change most people can make is to pick a fixed dollar amount and keep paying it after the required minimum drops. Set your payment field to your current minimum and compare.
The one number to check first
"Interest charged this month alone" tells you what the balance costs you if you do nothing. Compare it to your planned payment.
If your payment is less than double that figure, you are barely moving. This is the threshold where a balance transfer or a personal loan stops being a nice idea and starts being the main lever — a 0% transfer offer redirects 100% of your payment to principal for the promotional period, which typically does more than any amount of budget tightening.
Do check the transfer fee, usually 3–5% of the amount moved, and what the rate becomes when the promotion ends.
Reading the two modes
Solve for time answers "if I keep paying $300, when am I done?" Use this when your budget is fixed.
Solve for payment answers "I want this gone before my lease renews in 18 months — what does that take?" Use this when the deadline is fixed. The answer is often uncomfortable, which is itself useful information.
What this model assumes
Interest is compounded monthly at APR ÷ 12. Real cards compound daily, which makes actual interest very slightly higher. The model also assumes you add no new charges to the card — and that assumption breaks more payoff plans than any rate ever has. If the card is going to keep getting used, put it somewhere inconvenient for the duration.
Frequently asked questions
How long does it take to pay off a credit card with minimum payments?
Typically 12 to 20 years for an average balance at an average rate, and the total interest often exceeds the original balance. This happens because the minimum is a percentage of the balance, so it shrinks as you pay down, extending the final stretch enormously. Paying a fixed dollar amount instead of the shrinking minimum is what breaks the cycle.
How is credit card interest calculated?
Your APR is divided by 365 to get a daily rate, which is applied to your average daily balance and charged monthly. This calculator uses monthly compounding at APR ÷ 12, which produces a figure very close to — and slightly below — what daily compounding actually charges.
Should I do a balance transfer?
It usually helps when you can realistically clear most of the balance within the 0% promotional window, typically 12–21 months. Weigh the transfer fee of 3–5% against the interest shown in this calculator. If the interest you would otherwise pay is several times the fee, the transfer is worth doing — provided you stop charging on the old card.
Is it better to pay off one card or spread payments across several?
Always pay every minimum, then concentrate everything extra on a single card rather than spreading it. Which card you choose depends on your priority: highest rate first saves the most money, smallest balance first gives you a completed payoff sooner and is easier to sustain.
Does paying off a credit card improve my credit score?
Generally yes, because it lowers your credit utilization ratio, which is a major scoring factor. Keeping the account open after paying it off preserves your available credit and your account history, both of which help. Closing a paid-off card can actually lower your score.