Credit Card Payoff Calculator
What this credit card payoff calculator does: it shows when one card balance would reach $0, and what it costs in interest, under three ways of paying:
1. Fixed Payment: the same amount every month
2. Target Payoff: the monthly amount needed to clear the card by a chosen number of months
3. Minimum Only: a minimum that shrinks as the balance falls, the way most card minimums work
4. A minimum-payment warning box modeled on the one card statements must show under federal law, with the 3-year payoff figure
Free, no sign-up. Your numbers stay in your browser. Results are educational estimates, not financial advice. For several cards at once, use the Debt Payoff Calculator.
See your debt-free date, and the CARD Act minimum-payment warning box on your own balance
| Date | Payment | Principal | Interest | Balance |
|---|
How to use the credit card payoff calculator
1. Pick your currency and start month (the month the balance is current; the first payment is the following month).
2. Choose a Calculation Mode: Fixed Payment, Target Payoff, or Minimum Only.
3. Enter the Credit Card Balance and Annual Interest Rate (APR) from your statement.
4. Set the minimum-payment formula: Min: % of Balance + Interest (1% is common) and the Minimum Payment Floor (often $25 to $40). Your card agreement states the exact formula.
5. Enter the Fixed Monthly Payment or the target number of months, depending on the mode. Save with Copy Summary, Export CSV, Export PDF, or Copy Shareable Link.
How to read your results
| Result | What it means |
|---|---|
| Debt-Free Date | The month the balance reaches $0. “Never” means the payment doesn’t cover the monthly interest. |
| Total Interest / Total Paid | All interest until payoff, and balance plus interest. |
| True Cost Ratio | Total paid ÷ starting balance. 115% means every $1 of balance costs $1.15. |
| 3-Way Payoff Comparison | Minimum only, your plan, and the payment that clears the card in 36 months, side by side. |
| Minimum Payment Warning | Time and interest at minimum payments compared with the 3-year payment, the same comparison card statements must show. |
Worked example: a $1,223 balance at 22.36%
Here’s one example run through the calculator, starting January 2027: a $1,223 balance at 22.36% APR (the Federal Reserve’s reported average for accounts assessed interest in August 2026), with a minimum of 1% of the balance plus interest and a $25 floor.
| Way of paying | Monthly payment | Time to $0 | Total interest |
|---|---|---|---|
| Minimum only | $35.02 at first, then shrinking | 91 months (7 yrs 7 mo) | $1,203.40 |
| 36-month payoff | $46.94 | 36 months | $466.66 |
| Target: 12 months | $114.68 | 12 months | $153.14 |
| Fixed $100 | $100 | 15 months (April 2028) | $177.86 |
🧮 How this was calculated
- Monthly rate: 22.36% ÷ 12 = 1.863%. Month 1 interest: $1,223 × 22.36% ÷ 12 = $22.79
- Minimum, month 1: $22.79 interest + 1% of $1,223 ($12.23) = $35.02, which is above the $25 floor. Only $12.23 goes to principal
- Fixed $100, month 1: $100 − $22.79 = $77.21 to principal; balance $1,145.79
- Each month repeats on the new balance. Minimum-only takes 91 months and $1,203.40 of interest; $100 a month takes 15 months and $177.86
- Paying $46.94 for 36 months instead of the minimum saves $1,203.40 − $466.66 = $736.74 in interest
Assumptions: no new purchases or fees · APR stays the same · interest = balance × APR ÷ 12 · first payment the month after the start date.
The minimum-only total interest, $1,203.40, is almost as large as the original balance. That happens because the minimum shrinks as the balance falls, so each month pays off only about 1% of what’s left.
Example figures are illustrative, not averages or statistics.
Methodology and sources
1. Interest: balance × APR ÷ 12 each month. Issuers usually calculate interest daily on the average daily balance, so statements can differ slightly.
2. Minimum payment: that month’s interest + the percentage you enter × the balance, never less than the floor. Issuers set their own formulas; check your card agreement.
3. 36-month payment: the fixed amount that clears the balance in 36 months at the same APR.
4. Minimum payment warning: under Regulation Z, 12 CFR 1026.7(b)(12), from the Credit CARD Act of 2009, card statements must show how long minimum-only payments would take and what they’d cost, plus the monthly payment that pays the balance off in 3 years and its total cost.
5. Not included: new purchases, annual fees, late fees, penalty APRs, and promotional rates ending.
Frequently Asked Questions
1. Why is my credit card balance barely going down?
Ans: Most of a minimum payment goes to interest. In the example, the first $35.02 minimum includes $22.79 of interest, leaving $12.23 for the balance. Any amount paid above the monthly interest goes straight to principal.
2. Does carrying a balance help my credit score?
Ans: No. The CFPB explains that you don’t need to carry a balance or pay interest to build credit. Paying on time and keeping balances low relative to limits are what scoring models look at.
3. Should I use a balance transfer to pay off my credit card?
Ans: A fixed-rate mortgage keeps the same interest rate and P&I payment for the whole term. An ARM has a fixed period (often 5, 7, or 10 years), then the rate can change, so the payment can rise or fall. Pick Adjustable ARM and enter a possible later rate to see how the payment could change.
4. How is a credit card minimum payment calculated?
Ans: Each issuer sets its own formula. A common one is the month’s interest and fees plus 1% of the balance, with a floor such as $25 or $35. Your card agreement and statement show the exact terms.
5. What is the 36-month payment on my statement?
Ans: Under the Credit CARD Act, statements must show the monthly payment that would pay off the current balance in about 3 years, and the total cost, next to the cost of paying only the minimum. The calculator shows the same comparison for any balance you enter.
6. What happens if my payment doesn’t cover the interest?
Ans: The unpaid interest is added to the balance, so the debt grows even though you’re paying. The calculator shows “Never” as the debt-free date and the month’s interest amount, which a payment has to exceed to reduce the balance.
7. What about a balance transfer?
Ans: A balance transfer moves debt to a card with a promotional rate, often with a transfer fee of a few percent. The CFPB notes the promotional rate ends after a set period, and the regular rate applies to what’s left. You can model the remaining balance at the new rate in this calculator.
Kevin Brown researches personal finance topics using official sources; he is not a licensed financial advisor or mortgage lender. Last reviewed: October 2026.
