Credit Card Payoff Calculator
Enter your balance, APR and monthly payment to see exactly how many months until you're debt-free — and how much the interest really costs you.
Why credit card debt feels like quicksand
Credit cards compound interest daily on the entire outstanding balance. At a 24% APR, roughly 2% of your balance is added as interest every month. If your minimum payment is also around 2% of the balance, you're essentially treading water — sending the bank back most of what they charged you. That's why a $5,000 balance can survive for years of "on-time" payments.
This calculator simulates the payoff month by month: each month the balance accrues interest, you pay your fixed amount, and the remainder carries forward. The output is the real number of months to zero and the true total interest — not a rough rule of thumb.
The fastest lever: fixed payments, not minimums
Minimum payments are calculated as a small percentage of the balance, so they shrink as you pay down — guaranteeing a long tail of debt. Committing to a fixed dollar amount flips the effect: as interest shrinks, more of each payment attacks principal, and the payoff accelerates by itself.
- On the default example ($5,000 at 24%), paying $150/month takes about 4.5 years; raising it to $200 cuts that to about 3 years and saves roughly $1,300 in interest.
- If you carry balances on multiple cards, direct all extra money at the highest-APR card first (the "avalanche" method) — it's mathematically the cheapest route to debt-free.
- Avoid the trap of paying off a card and re-running the balance up: the payoff math only works if the card stops being used.
Frequently asked questions
Why does my balance barely shrink each month?
Because a large share of a small payment is consumed by interest. Interest accrues daily on the full balance, so until your payment comfortably exceeds the monthly interest charge, principal moves slowly.
Is a balance transfer worth it?
A 0% intro-APR transfer can freeze interest for 12–21 months, letting 100% of your payment hit principal. Watch the 3–5% transfer fee and make sure you finish before the intro rate expires.
Should I save or pay off cards first?
Keep a small emergency buffer, then prioritize card debt above roughly 10% APR — no savings account reliably beats credit card interest.