Credit Card Payoff Calculator
See how long a card balance takes to clear at the payment you can afford, what the interest adds up to, and how both compare with paying only the minimum.
The minimum row uses a common card convention: 2% of the balance or $25, whichever is greater, recalculated every month. Many issuers charge more — check your statement.
Formula and calculation
Worked example
A $5,000 balance at 22.9% APR paid at $200 a month clears in 35 months and costs $1,859.78 in interest, with a final payment of $59.78. Paying only the minimum — 2% of the balance or $25, whichever is greater — stretches the same balance over 1,675 months and $80,895.12 of interest.
Why the minimum payment barely moves the balance
At 22.9% APR the interest on a $5,000 balance runs about $95 in the first month, while a 2% minimum comes to $100. Only about $5 of that payment touches the balance — and next month the minimum is calculated on a balance that barely moved. That formula was never designed to finish; it is what the comparison row in the results shows, and it is why a fixed payment you choose beats a percentage someone else controls. If your card charges a higher minimum, your own numbers move faster, but the arithmetic points the same way: the payment, not the formula, is the decision.
What the results mean
- Months to pay off
- How many monthly payments it takes to clear the balance at your payment or budget, including the final, smaller payment. At a typical card APR, clearing a four-figure balance takes years unless the payment is well above the minimum.
- Total interest
- Everything the balance costs in interest on the way to zero. At 22.9% APR this often runs to a third of the balance or more — it is the number to weigh when comparing a bigger payment or a balance transfer.
- Final payment
- The final payment, smaller than the rest because it only clears what is left of the balance plus that month's interest.
- Total paid
- Balance plus interest: everything you hand the issuer, assuming no new charges go on the card.
- Payoff date
- The month of the final payment, counted from the first payment month you set.
- Minimum, first month
- The first month's minimum under a common card convention — 2% of the balance or $25, whichever is greater. Many issuers use a higher minimum, such as 1% of principal plus that month's interest. Check your statement.
- Months paying only the minimum
- How many months the balance takes to clear if you pay only that minimum, recalculated every month as the balance falls. With a 2% minimum this runs to decades at a typical card APR — the trap the comparison exists to show.
- Interest paying only the minimum
- Interest paid on the minimum-only path. Put it next to the total interest above to see what your payment is saving.
- Interest saved
- How much less interest you pay than the minimum-only path. It can come out negative if your payment is smaller than the minimum.
Frequently asked questions
How long does it take to pay off a $5,000 credit card?
At 22.9% APR, $200 a month clears it in 35 months and costs about $1,860 in interest, with a final payment near $60. Paying only the 2% minimum takes the same balance over 1,600 months and more than $80,000 of interest — the comparison row on this page makes both cases concrete.
How is a credit card minimum payment calculated?
It varies by issuer. Many cards charge a percentage of the balance — commonly 1% to 3% — plus that month's interest and any fees, with a dollar floor of $25 to $40. This calculator uses the simple 2%-or-$25 convention; your statement shows your card's own formula, and it is usually the higher number.
Why does my statement charge more interest than this shows?
Three usual reasons: most issuers compound interest daily rather than monthly, new charges and fees join the balance, and a variable APR moves with the market. This model assumes a fixed APR, no new spending and monthly compounding — treat it as the floor, not the forecast.
Does this work for a 0% balance transfer or a promotional rate?
Yes, with a caveat. Enter the promotional APR to see the payoff during the offer, but add the transfer fee (commonly 3% to 5% of the balance) to the balance first. When the promo ends the rate jumps, sometimes above 25%, so run the numbers again with the regular APR.