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Credit card debt at 20–25% APR is among the most expensive debt you can carry. The minimum payment trap is real: paying only minimums on a $5,000 balance at 22% APR takes 17 years and costs $5,500 in interest — more than the original debt. Our payoff calculator shows how much faster you can pay off debt with extra payments and exactly how much interest you save.

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Finance

حول Credit Card Payoff Calculator

Credit card debt at 20–25% APR is among the most expensive debt you can carry. The minimum payment trap is real: paying only minimums on a $5,000 balance at 22% APR takes 17 years and costs $5,500 in interest — more than the original debt. Our payoff calculator shows how much faster you can pay off debt with extra payments and exactly how much interest you save.

كيفية الاستخدام

  1. Enter the current balance, APR, and minimum payment (or minimum payment formula).
  2. Enter any extra monthly amount you can pay above the minimum.
  3. See months to payoff, total interest, and savings from the extra payment.
  4. Use the "snowball" mode to enter multiple cards and see the optimal payoff order.

الصيغة والمنهجية

Minimum payment interest: each month, interest = Balance × (APR/12). Min payment covers interest first, then principal. Time to payoff with fixed payment P: n = −ln(1 − Balance × r/P) / ln(1+r), where r = APR/12.

حالات الاستخدام الشائعة

  • Finding out how long it takes to pay off a specific balance
  • Deciding between paying extra vs investing the extra cash
  • Comparing balance transfer offers (lower APR vs transfer fee)
  • Planning a debt-free date and working backwards to the required payment
  • Motivating debt payoff by seeing the total interest saved

الأسئلة الشائعة

Avalanche (highest rate first) saves the most money mathematically. Snowball (smallest balance first) provides psychological wins faster and works better for people who need motivation. Both beat paying only minimums.
Usually yes if you can pay off the balance during the 0% intro period. Factor in the transfer fee (typically 3–5%) and the rate after the promo ends. Use this calculator to compare total cost with and without the transfer.

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