Credit Card Payoff Calculator
Find out exactly how long it will take to pay off your credit card balance and how much interest you'll pay — then see how extra payments help.
Frequently Asked Questions
What happens if I only pay the minimum on my credit card?
Paying only the minimum payment dramatically extends payoff time and maximizes interest costs. A $5,000 balance at 20% APR with a $100 minimum payment takes over 9 years to pay off and costs more than $4,300 in interest. More than doubling the payment to $250/month cuts the payoff to under 2 years and saves over $3,000 in interest.
What is APR on a credit card?
APR (Annual Percentage Rate) is the yearly interest rate charged on your balance. Most credit cards charge 18–29% APR, though premium cards and cards for people with excellent credit can be lower. Your daily periodic rate = APR ÷ 365. Interest compounds daily on most cards. Always pay your statement balance in full each month to avoid any interest charges.
Should I pay off credit cards or invest?
If your credit card APR is above 10%, pay it off first — it's virtually a guaranteed 20%+ return. No investment reliably beats 20% annually. Once high-interest debt is gone, invest in tax-advantaged accounts (401k to the employer match, then Roth IRA, then HSA) before taxable brokerage accounts. The exception: always capture your full employer 401k match first, as it's a 50–100% instant return.