Credit Card Payoff Time Calculator
Find out exactly how many months it takes to clear a credit card balance at a fixed monthly payment, and the interest it costs.
How it works
Each month: interest = balance × (APR ÷ 12) · balance = balance + interest − payment · Count months until the balance reaches zero
A credit card charges interest monthly on the outstanding balance, so a fixed payment races against a shrinking amount of interest. When the payment is only a little above the monthly interest, almost nothing touches the principal and the payoff drags on for years. Raising the payment attacks principal directly, which cuts both the number of months and the interest sharply because you stop paying interest on money you have already repaid.
Worked example
On a $5,000 balance at 21% APR, the first month accrues 5,000 × (21% ÷ 12) = $87.50 of interest. A $200 payment leaves $112.50 to cut the balance. Continuing at $200 clears the card in about 2 years 8 months with roughly $1,300 in interest.
Frequently asked questions
Why does a small payment take so long?
Because most of it is eaten by interest. If your payment is barely above the monthly interest charge, only a few dollars reduce the balance each month, so the debt can take decades — or, at or below the interest, never clear at all.
How is credit card interest actually charged?
Most cards use the average daily balance and a daily periodic rate (APR ÷ 365), compounded daily. This calculator uses an equivalent monthly rate (APR ÷ 12) for a close, easy-to-follow estimate; your statement may differ by a few dollars.
What if I pay the full statement balance?
Cards offer a grace period on purchases — pay the full statement balance by the due date every month and you owe no interest at all. Interest only applies when you carry a balance forward.
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Educational estimate, not financial advice. Actual loan terms, fees and interest depend on your lender and credit profile.