Credit Card Minimum Payment Calculator
See how long paying only your credit card minimum takes and what it costs, with either minimum rule (% of balance or interest + %), the payment that clears the card in 3 years, a fixed or extra payment, and a month-by-month schedule.
How it works
Each month: interest = balance × APR ÷ 12 · statement balance = balance + interest · minimum = max(floor, rate × statement balance) — or max(floor, interest + rate × statement balance) on “interest + %” cards · new balance = statement balance − minimum. 3-year payment = B × r ÷ (1 − (1 + r)^−36), with r = APR ÷ 12.
Card issuers set the minimum payment as a small share of the balance, in one of two ways. Some take a flat percentage of the balance, often 2%–3%, which already includes the month’s interest. Others charge the interest plus 1% of the balance (sometimes plus fees). Both have a dollar floor, often $25–$40. Pick the rule your card agreement uses. Because the minimum is recalculated from a smaller balance every month, the payment keeps shrinking, so less goes to principal and the payoff can take decades. The calculator runs the card month by month until the balance reaches zero. It then compares that with other plans: keeping today’s minimum fixed, a fixed payment of your choice, the minimum plus a small extra amount, and the payments that clear the card in 3 or 5 years. US statements must show a similar 3-year figure. The schedule shows each month’s minimum, interest and balance, and the steps show the first month’s numbers.
Worked example
Take a $6,000 balance at 22% APR, where the minimum is 2% of the balance with a $25 floor. Month 1 interest is $6,000 × 1.8333% = $110.00, so the statement shows $6,110.00 and the first minimum is 2% of that, $122.20. Only $12.20 of it reduces the balance. Because each later minimum is 2% of a slightly smaller balance, paying only the minimum takes 75 years 7 months (907 payments) and costs $44,974 in interest. Keeping the payment fixed at $122.20 instead clears the card in 10 years 7 months with $9,499 of interest. Paying $229.14 a month clears it in 3 years with $2,249 of interest. On a card that charges interest + 1% instead, the first minimum is $171.10 and the minimum-only payoff takes 20 years 5 months, with $9,764 of interest.
Sources: CFPB — How is my credit card’s minimum payment calculated? · Regulation Z §1026.7(b)(12) — Repayment disclosures on periodic statements
Frequently asked questions
Why does paying the minimum take so long?
The minimum is a percentage of the balance, so it drops every month as the balance falls. Late in the payoff you are paying almost nothing above interest. A balance that a fixed payment could clear in a few years can drag on for decades on minimums alone. On a card whose minimum is a flat 2% of the balance at 20%+ APR, barely a sliver of each payment reaches the principal.
How is a credit card minimum payment calculated?
Usually one of two ways: a flat percentage of the statement balance (often 2%–3%, interest included), or the month’s interest plus 1% of the balance, plus any fees. Either way there is a dollar floor, often $25–$40, and if the balance is smaller than the floor you pay the balance. Your card agreement says which rule applies. Choose it above to match your card.
How much interest do minimum payments cost?
Often more than the amount you originally borrowed, and on a 2%-of-balance card at a 20%+ APR, many times more. The comparison table shows how much keeping today’s minimum fixed, adding a small extra amount, or paying the 3-year amount saves.
What is the 3-year payment on my statement?
US card statements must show how long paying only the minimum would take and the total cost. They must also show the monthly payment that would clear the balance in about 36 months and what that would cost in total. The calculator works out the same 3-year figure from your balance and APR.
What is the smartest way to pay off a card faster?
Stop the payment from shrinking. Fix it at a set dollar amount, at least today’s minimum, and pay more whenever you can. Even a small extra amount above the minimum cuts years off. A lower-rate balance transfer or consolidation loan can help too, as long as you stop adding new charges.
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This is an educational estimate, not financial advice. Lenders use their own rounding, fees, mortgage-insurance rules and credit terms — confirm exact figures with your lender or a licensed advisor.