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Credit Card Payoff Calculator

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Total interest

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Months to payoff
n = −log(1 − B·r ⁄ P) ⁄ log(1 + r) · r = APR ⁄ 12

A credit card balance has two clocks: the one on your statement, and the real one — how many months of payments until zero. This calculator runs the real one, and shows the total interest your APR extracts along the way.

How card interest compounds against you

Each month your balance is charged APR ÷ 12. On $5,000 at 22%, that's about $92 — meaning the first $92 of any payment vanishes into interest before touching the debt. Pay $200 and only $108 hits the principal; the payoff takes about 33 months and $1,500 of interest. Pay $100 and you're trapped near the interest line for years.

The minimum payment trap

Issuers set minimums around 1–3% of the balance — deliberately close to the interest charge. Minimums on a $5,000 balance can stretch payoff beyond 15 years and roughly double the repayment. The calculator's warning state shows the exact threshold: any payment at or below balance × APR ÷ 12 never finishes, mathematically.

What actually speeds things up

The insight line shows the 1.5× experiment live: raising a $200 payment to $300 on that $5,000 balance cuts about 13 months and hundreds in interest. Windfalls work the same way — every extra dollar goes 100% to principal. Juggling several cards? The debt payoff calculator compares avalanche vs snowball ordering across all of them, and the loan calculator handles fixed-term loans.

The formula, honestly

Payoff time isn't linear: n = −log(1 − B·r/P) ÷ log(1+r). As P approaches the monthly interest B·r, the logarithm's argument approaches zero and months shoot toward infinity — the mathematical face of the minimum-payment trap.

For information only; not financial advice.

Frequently Asked Questions

How long will it take to pay off my credit card? +

months = −log(1 − B×r ⁄ P) ÷ log(1 + r), where B is the balance, r the monthly rate (APR ÷ 12) and P the monthly payment. A $5,000 balance at 22% APR with $200/month takes about 33 months.

Why do minimum payments take so long? +

Minimums are usually 1–3% of the balance, barely above the monthly interest. Most of each payment services interest, so the principal shrinks glacially — often stretching payoff past a decade and doubling what you repay.

How much interest will I pay in total? +

Total interest = (monthly payment × months) − balance. In the $5,000 at 22% example with $200/month, roughly $1,500 of interest on top of the balance.

What happens if my payment barely covers the interest? +

If your payment is less than or equal to the first month’s interest (balance × APR ÷ 12), the balance never falls — the math has no payoff date. Even $10 above the interest line starts real progress.

Does paying twice a month help? +

Slightly — interest accrues on average daily balance, so earlier money reduces it. The dominant factor is still the total you pay per month; increasing the amount beats splitting it.

Should I pay off the highest-APR card first? +

Mathematically yes — the avalanche method minimizes total interest. The snowball method (smallest balance first) wins on motivation. Compare both across all your debts in the debt payoff calculator.

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