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Credit Card Payoff Calculator

The minimum payment feels small — that is the point. Enter your balance and APR to see exactly how long minimum payments take, how much interest they really cost, and how much sooner a fixed payment gets you debt-free.

Minimums vs a fixed payment

Pick a mode: see the true cost of paying only the minimum, or fix a payment and watch the payoff date move closer. The comparison bars show both side by side.

How it works: each month the minimum is the larger of your % rule and the floor. Interest = balance × APR ÷ 12 is added first, then your payment lands — so as the balance shrinks, so does the payment, and the tail of the schedule is mostly interest. The calculator replays this month by month, exactly like a card statement does.

How it works: the fixed payment is applied in full every month: interest = balance × APR ÷ 12 comes off the payment first, the rest cuts the balance. Because the payment never shrinks, each month chips away more principal — the opposite of the minimum-payment spiral.

How credit card payoff math works

A credit card bill is not a fixed loan. The payment you owe shrinks as the balance shrinks, which keeps each payment comfortable — and keeps the debt alive far longer than it should be.

The formulas

monthly interest = balance × APR ÷ 12 · minimum payment = max(balance × minimum %, minimum floor) · new balance = old balance + interest − payment

Interest is added first, then your payment lands. On a minimum-only schedule the payment keeps falling, so near the end each payment barely beats the interest charge — the last stretch can take years to clear a few hundred dollars. A fixed payment does the reverse: as the balance falls, the same payment covers more principal every month.

Worked example: $5,000 at 22% APR

Minimum payments only (2% of balance, $25 floor): the first payment is $100, but it shrinks month by month. Payoff takes 80 years and 8 months — total paid $48,419.49, of which $43,419.49 is interest.

A fixed $200/month: payoff takes 2 years and 10 months — total paid $6,749.88, interest just $1,749.88. Same balance, same APR: $41,669.61 less interest, 77 years sooner.

When the math breaks

If your payment is smaller than the month's interest charge, the balance grows even though you paid — this is called negative amortization. The calculator flags it: raise the payment above the interest line (balance × APR ÷ 12) or the debt never moves.

Where this comes in handy

The minimum trap, in your numbers: run your own balance through the minimum mode — most people underestimate the payoff time by decades. The credit card payoff guide explains why issuers love the shrinking minimum.
Picking a fixed payment: try $50 steps in the fixed mode until the payoff date feels right — every extra $50/month cuts the interest disproportionately early on.
Two-card strategy: after the avalanche vs snowball math, use the loan payoff date calculator to sequence the rest of your debts by date.
Extra-payment habit: a small monthly extra behaves like a fixed payment — the extra loan payment calculator shows the same effect on installment loans.
Rate reality check: your card's APR is usually 3–5× a personal loan's — compare the payoff before and after a hypothetical rate change to price a balance transfer.

Credit card payoff — frequently asked questions

How is my credit card minimum payment calculated?

Most issuers charge the larger of a percentage of your balance (usually 1–3%) and a flat floor (commonly $25–$35). Some add the month's interest and fees on top. Check your statement's "minimum payment warning" box — issuers are required to show roughly how long minimums take.

Why does paying only the minimum take so long?

Because the minimum shrinks with the balance. A $100 minimum on a $5,000 balance becomes a $25 minimum once the balance falls — and at that point almost the whole payment is interest. The last few hundred dollars can take years to clear, which is why minimum-only payoffs often stretch into decades.

What happens if my payment doesn't cover the interest?

The balance grows — negative amortization. The payment is applied to interest first; whatever interest is left unpaid gets added to the balance, so next month's interest is computed on a bigger number. Raise the payment above the monthly interest line (balance × APR ÷ 12) to start making progress.

How much faster is a fixed payment, really?

Dramatically. On $5,000 at 22%, a fixed $200/month finishes in 2 years 10 months with $1,750 of interest, versus 80+ years and $43,400 of interest on minimums. The fixed payment never shrinks, so an ever-larger share attacks the principal each month.

Should I pay the smallest balance or the highest APR first?

Mathematically, the highest APR first (the avalanche) always costs the least interest. The smallest balance first (the snowball) wins faster early victories, which helps motivation. The dollar difference between the two is usually small — the expensive mistake is paying minimums on everything, not which card you target first.

Is a 0% balance transfer worth the fee?

Compare the transfer fee (typically 3–5% of the moved balance) against the interest you'd pay before the promo expires. It wins only if you can clear the balance inside the 0% window — after the promo, the rate often jumps above your old card's, and any unpaid balance starts earning it.

Does paying only the minimum hurt my credit score?

Indirectly, yes: it keeps your balance (and utilization ratio) high for years, and high utilization drags down your score. Paying on time still beats missing payments, but faster payoff lowers utilization, which usually lifts the score.

Learn the method: the free credit card payoff guide walks through the minimum-payment trap, the fixed-payment math, snowball vs avalanche, and balance transfers — step by step with worked numbers.