Credit Card Payoff Calculator
See how many months it takes to pay off a credit card balance and how much interest you will pay at your chosen monthly payment.
What is Credit Card Payoff Calculator?
Credit card debt is expensive. The average U.S. card APR is in the 20%+ range, and minimum payments are designed to keep you in debt for decades. This credit card payoff calculator shows exactly how many months it takes to clear a balance at your chosen monthly payment — and how much interest you will hand the bank along the way.
The number is almost always a motivator to pay more than the minimum.
Formula
Months to payoff (for any fixed monthly payment):
n = ln(P ÷ (P − B × r)) ÷ ln(1 + r)
- B = current balance
- r = APR ÷ 12 ÷ 100 (monthly rate)
- P = monthly payment
Total interest = (P × n) − B. If your payment is less than the first month's interest (B × r), the balance grows forever — the calculator warns you.
Worked example
A $5,000 balance at 22% APR with a $250/month payment:
- Monthly interest rate = 22 ÷ 12 ÷ 100 ≈ 0.01833
- Months to payoff ≈ 24
- Total interest ≈ $1,203
- Total paid ≈ $6,203
Bump the payment to $400/month and payoff drops to 14 months with only $659 of interest.
How to use this calculator
- Enter the current balance on your card.
- Enter the APR — find it on the back of your statement, not the "promotional" teaser rate.
- Enter the monthly payment you plan to make.
- Try a larger monthly payment to see how dramatically the timeline and total interest drop.
Frequently asked questions
Why is my minimum payment so low?
Card issuers set minimum payments at roughly 1–3% of the balance. That is optimized for the bank, not you — at a 22% APR and a 2% minimum, a $5,000 balance can take 20+ years and cost more in interest than the original balance.
Should I pay off cards or invest?
Almost always pay off high-interest debt first. A guaranteed 22% return by paying off a card beats any realistic investment return, tax-free and risk-free.
What is a balance transfer?
Moving the balance to a new card with a 0% introductory APR (typically 12–21 months) and a 3–5% transfer fee. Use the intro period to pay down the principal aggressively. It only works if you stop using the old card.
Does paying off a card hurt my credit score?
No — it helps. Paying down balances lowers your credit utilization (the single biggest short-term score factor after payment history). Keep the account open after you pay it off to preserve average account age.