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Credit Card Payoff Calculator

Estimate how long it will take to pay off a credit card balance at a fixed monthly payment, and how much interest you will pay.

What this tool does

Estimate how long it will take to pay off a credit card balance at a fixed monthly payment, and how much interest you will pay. You fill in these fields: Credit card balance, Annual percentage rate (APR), and Fixed monthly payment. It shows time to pay off, total interest paid, total paid, first payment, and final payment.

Inputs

  • Credit card balance (USD): A number. Must be greater than 0. The amount you owe on the card today.
  • Annual percentage rate (APR) (%): A number. Accepts 0 to 1,000. Interest is charged each month at one twelfth of this rate.
  • Fixed monthly payment (USD): A number. Must be greater than 0. The same amount paid every month. No new purchases are added.

How to use

  1. Enter the credit card balance in USD.
  2. Enter the annual percentage rate (APR) as a percentage.
  3. Enter the fixed monthly payment in USD.
  4. Read the result: time to pay off, total interest paid, total paid, first payment, and final payment. It appears once every required field has a valid value.

Worked examples

Example 1. Inputs:

  • Credit card balance: 1,000 USD
  • Annual percentage rate (APR): 12%
  • Fixed monthly payment: 500 USD

Results:

  • Time to pay off: 3 months
  • Total interest paid: $15.25
  • Total paid: $1,015.25
  • First payment: $500.00
  • Final payment: $15.25

How this is worked out: Monthly rate = 12 / 12 = 1 percent. Month 1: interest 1000 x 0.01 = 10.00, balance 1010.00, pay 500, left 510.00. Month 2: interest 510.00 x 0.01 = 5.10, balance 515.10, pay 500, left 15.10. Month 3: interest 15.10 x 0.01 = 0.151, rounded to the cent 0.15, balance 15.25, pay the 15.25 left, balance 0. Months = 3. Total interest = 10.00 + 5.10 + 0.15 = 15.25. Total paid = 1000 + 15.25 = 1015.25. First payment 500, final payment 15.25.

Example 2. Inputs:

  • Credit card balance: 2,000 USD
  • Annual percentage rate (APR): 0%
  • Fixed monthly payment: 500 USD

Results:

  • Time to pay off: 4 months
  • Total interest paid: $0.00
  • Total paid: $2,000.00
  • First payment: $500.00
  • Final payment: $500.00

How this is worked out: 0 percent APR, so no interest is added. 2000 / 500 = 4 equal payments. Months = 4, total interest 0, total paid 2000, first and final payment 500.

Example 3. Inputs:

  • Credit card balance: 2,000 USD
  • Annual percentage rate (APR): 12%
  • Fixed monthly payment: 1,000 USD

Results:

  • Time to pay off: 3 months
  • Total interest paid: $30.50
  • Total paid: $2,030.50
  • First payment: $1,000.00
  • Final payment: $30.50

How this is worked out: Monthly rate = 1 percent. Month 1: interest 2000 x 0.01 = 20.00, balance 2020.00, pay 1000, left 1020.00. Month 2: interest 1020.00 x 0.01 = 10.20, balance 1030.20, pay 1000, left 30.20. Month 3: interest 30.20 x 0.01 = 0.302, rounded to 0.30, balance 30.50, pay 30.50, balance 0. Months = 3. Total interest = 20.00 + 10.20 + 0.30 = 30.50. Total paid = 2000 + 30.50 = 2030.50. First payment 1000, final payment 30.50.

Limitations

  • Assumes a fixed APR and a fixed payment for the whole payoff.
  • Assumes no new purchases, cash advances, late fees or balance transfer fees.
  • Interest is worked month by month in cents, not on the average daily balance a card issuer uses.
  • Payoffs longer than 100 years are refused.

FAQs

Q: How is the monthly interest worked out?
A: The APR is divided by 12, and that monthly rate is applied to the balance each month. The interest is rounded to the cent and added, then the payment is taken off.
Q: Why is the final payment smaller?
A: The last month pays only what is left, including that month's interest. That amount is usually less than the fixed payment.
Q: Does this include new purchases or fees?
A: No. It assumes no new charges and no fees. Real card statements use the average daily balance, so a statement can differ by small amounts.
Q: What if the payment is too small?
A: If the payment does not cover the monthly interest, the balance never goes down. The calculator shows a message saying so instead of a payoff time.

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