Credit Card Payoff Calculator

Monthly amortization simulation ยท By Stuart Mathieson · Updated October 2026

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Enter your current credit card balance

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Your credit card's APR

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Your planned monthly payment

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Additional amount to pay each month

How the credit card payoff calculator works

The calculator steps through your balance one month at a time. Each month it adds interest at your APR ÷ 12, then subtracts your payment plus any extra payment. It repeats this until the balance reaches zero, counting the months and the interest charged along the way.

Interest this month = balance × APR ÷ 12 ÷ 100
New balance = balance + interest − payment

If your payment doesn't cover the first month's interest, the balance would never fall, so the calculator asks for a higher payment. It also stops at 100 years.

Worked example

A $5,000 balance at 22% APR, paying $150 a month:

How your payment changes the payoff

For the same $5,000 balance at 22% APR:

Payoff time and interest on $5,000 at 22% APR by monthly payment
Monthly paymentTime to pay offTotal interest
$10011 years 5 months$8,678.06
$1504 years 4 months$2,798.05
$2002 years 10 months$1,749.88
$3001 year 9 months$1,021.60
$5001 year$574.44

At $100 a month, the interest ends up costing more than the original balance. Doubling the payment to $200 cuts the interest by about 80%.

Things to keep in mind

Frequently asked questions

What if my payment doesn't cover the interest?

The calculator will flag this - if your payment is at or below the interest charged that first month, the balance would never shrink, so you'll need to increase your payment amount.

What counts as "extra payment"?

Any amount you pay beyond your regular minimum or planned payment. It goes straight toward the principal, speeding up payoff and cutting total interest.

Does this handle promotional or variable interest rates?

No - it assumes one constant APR for the entire payoff period. If your rate changes (e.g. a promo rate expires), re-run the calculator with the new rate and remaining balance.

How can I pay off my credit card faster?

Pay more than the minimum, stop adding new charges, and if you have several cards put any extra toward the one with the highest APR. For a $5,000 balance at 22%, raising the payment from $150 to $200 a month clears it 18 months sooner and saves $1,048.17 in interest.

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