Credit Card Payoff Calculator
See how long a credit card takes to pay off and how much extra payments accelerate it.
Want to understand the concept, not just the number? Read Debt Snowball vs Avalanche .
| Year | Principal paid | Interest paid | Balance |
|---|---|---|---|
| 1 | $3,439 | $1,427 | $4,561 |
| 2 | $4,277 | $589 | $283 |
| 3 | $283 | $5 | $0 |
How it's calculated
Credit card interest compounds on your balance every month, and the rate is high, often over 20%. Paying only the minimum sends most of your money to interest, so the balance barely moves and the debt can drag on for years.
Paying more than the minimum attacks the principal directly. This calculator treats your balance like a fixed loan over the term you set, then shows how an extra monthly amount cuts both the payoff time and the total interest.
Because the rate is so high, extra payments on a credit card usually save more than almost anywhere else you could put the money. Clearing the highest-rate card first is the fastest way to stop the bleeding.
Assumptions
- Treats the balance like a fixed loan paid over the target term, plus any extra payment.
- Assumes no new charges are added to the card.
Last updated: 2026-08-07
These assumptions follow our general methodology.
Frequently asked questions
Why is credit card debt so expensive?
APRs are often 20% or more, far above mortgage or student loan rates, so interest piles up quickly if you only pay the minimum.
Should I pay off the highest rate or smallest balance first?
Paying the highest rate first, the avalanche method, saves the most money. Paying the smallest balance first, the snowball method, gives quicker wins that some people find easier to stick with. Both work.
Will a balance transfer help?
A 0% balance transfer can pause interest for a promotional period, which lets your payments go entirely to principal. Watch for the transfer fee and be sure you can clear the balance before the promo rate ends.