HesapHanem

Credit Card Payoff Calculator

See how long it takes to clear your card balance.

How it is calculated

The tool assumes a fixed monthly payment and no new purchases. The monthly rate is r = APR / 100 / 12. The exact number of months solves the loan equation: n = −ln(1 − r × balance / payment) / ln(1 + r). The months shown are n rounded up to a whole month. If APR is 0, n = balance / payment.

Total interest is payment × n − balance, using the unrounded n, so the last partial payment is accounted for. If the payment is not larger than the first month's interest (balance × r), the balance never falls and the tool returns no result. APR is treated as a simple annual percentage divided by 12; fees, rate changes, and the exact daily-balance method used by issuers are not modelled.

Worked example

Balance 5,000, APR 18% and a fixed payment of 200. The monthly rate is 18 / 100 / 12 = 0.015. Interest in month 1 is 75, so the payment clears principal. Then 1 − 0.015 × 5,000 / 200 = 0.625 and n = −ln(0.625) / ln(1.015) ≈ 31.57 months. Rounded up that is 32 months. Interest is 200 × 31.57 − 5,000 ≈ $1,313.60.

Try this example →

Common mistakes

  • Entering a payment barely above the monthly interest. The payoff then takes many years, and a payment at or below the interest never pays off the debt.
  • Typing the monthly rate in the APR field. Enter the annual figure, such as 18, not 1.5.
  • Making new purchases while paying; the tool assumes the balance only shrinks.
  • Comparing the months with a statement's minimum-payment table. Minimums usually fall as the balance falls, and this tool uses a fixed amount.

Sources

About this calculator

Using your balance, interest rate (APR), and monthly payment, this calculator applies standard amortization math to work out how many months it will take to pay off a credit card and the total interest you'll pay along the way, accounting for the fact that interest compounds on the remaining balance each month.

It's used by anyone trying to decide whether to pay the minimum or throw extra money at a card, and it makes vivid just how much a seemingly small monthly payment can cost in interest over years at typical card rates of 20%+. When a payment is too low to ever cover the monthly interest charge, the calculator gives no result, because the balance would never actually shrink.

Was this helpful?

You can pick up to 3 reactions.

Comments (1)

  • Editorial team

    If the tool shows nothing, your payment is probably not above one month of interest, so the balance never shrinks. Multiply the balance by the annual rate divided by 12 to find that floor. The result also assumes no new purchases and a rate that stays fixed. Card statements in some countries quote a monthly rate; multiply it by 12 before entering it here. How much extra per month would you be able to add?

Popular calculators

Loan Calculator

Monthly payment, total interest and full amortization schedule.

Percentage Calculator

Percent change, percent of, and ratio calculations.

Discount Calculator

Calculate final price, savings, and discount amount.

BMI Calculator

Body mass index from height and weight (metric or imperial).

Age Calculator

Compute your exact age in years, months and days from a birth date.

Compound Interest Calculator

Calculate the final amount and interest earned with compounding.

All Calculators