Calculate how long it takes to pay off your credit card balance and how much interest you'll pay
This credit card calculator shows you how long it will take to pay off your credit card balance and how much interest you will pay. Compare minimum-only payments versus adding extra each month to see the potential savings. Credit card debt can be particularly expensive due to high APRs and minimum payments that barely cover interest. This calculator compares two scenarios: paying only the minimum versus adding extra payments, showing the dramatic difference in both time to payoff and total interest paid.
The calculator simulates two scenarios: paying only the minimum and paying the minimum plus an extra amount, applying monthly interest each period.
Paying only the minimum on a $5,000 balance at 18% APR can take over 15 years and cost more than $5,000 in interest. Paying extra each month dramatically reduces both time and cost.
The average credit card APR ranges from 16% to 25%. A good APR is below the average, typically 12-16% for those with excellent credit. Balance transfer cards may offer 0% introductory APRs.
Paying only the minimum on a $5,000 balance at 18% APR can take over 15 years and cost more than $5,000 in interest. Paying an extra $100 per month cuts that to under 3 years.
The average credit card APR ranges from 16% to 25%. A good APR is below the average, typically 12-16% for those with excellent credit. Balance transfer cards may offer 0% introductory APRs.
Closing paid-off cards can reduce your available credit and increase your credit utilization ratio, potentially lowering your credit score. Keep cards open with zero balance unless there is an annual fee.
Credit utilization (the percentage of available credit you are using) accounts for 30% of your FICO score. Keeping utilization below 30% is recommended, and below 10% is ideal for the highest scores.