Credit Card Payoff Calculator
Enter your card balance, its yearly interest rate (APR) and what you can pay each month to see the payoff time and the interest cost.
Updated
Report a problem
Formula
With a monthly rate r = APR ÷ 12 ÷ 100, balance B and payment P, the number of months is:
n = −ln(1 − B × r ÷ P) ÷ ln(1 + r)
rounded up to a whole month. The calculator steps through the months one at a time: add one month of interest, subtract the payment, repeat. The last payment is whatever is left. It needs P > B × r, otherwise the balance never falls. Total interest is total paid minus B.
Worked example
A balance of 5,000 at 18% APR, paying 200 a month:
r = 0.18 ÷ 12 = 0.015n = −ln(1 − 5,000 × 0.015 ÷ 200) ÷ ln(1.015) = −ln(0.625) ÷ ln(1.015) = 31.57, so 32 months- 31 payments of 200 plus a final payment of 113.96 gives a total paid of 6,313.96
- Interest is 6,313.96 − 5,000 = 1,313.96
Frequently asked questions
How long will it take to pay off my credit card?
It depends on the balance, the rate and your payment. A 5,000 balance at 18% APR with 200 paid each month takes 32 months and costs 1,313.96 in interest.
How is the interest calculated?
Each month the balance is multiplied by the APR divided by 12 (18% gives 1.5% a month), then your payment is subtracted. This calculator assumes no new purchases and no fees.
Why does it say my payment is too low?
If the payment is no more than one month of interest, the balance never goes down. On 5,000 at 18% APR the monthly interest is 75, so you need to pay more than 75.
How much does paying a bit more save?
A lot. On 5,000 at 18% APR, paying 300 instead of 200 clears the card in 20 months instead of 32 and cuts the interest from 1,313.96 to 797.17.