Paying only the minimum keeps you in debt for years and multiplies the cost. Pay more than the minimum, pay in full whenever possible, and avoid cash advances, which charge a higher APR from day one.
How to use the Credit Card Calculator
- Credit card balance
- APR
- Monthly payment
- Additional monthly payment
Results update as you type, and every field accepts the units shown in its menu.
How it works
Enter the balance, APR, the monthly payment you plan to make and any extra payment.
Tips
- Compare loans by APR and total cost, not just the monthly payment.
- Extra payments go straight to principal and can save a lot of interest.
- Pay off the highest-rate debt first if you want to save the most money.
- Check for prepayment penalties before paying a loan off early.
Common mistakes to avoid
- Stretching a loan term to lower the payment without seeing the extra interest.
- Paying only the minimum on credit cards.
- Forgetting fees that are rolled into the loan.
Inputs explained
| Field | What to enter |
|---|---|
| Credit card balance | Amount in your currency |
| APR | In % |
| Monthly payment | Amount in your currency |
| Additional monthly payment | Amount in your currency |
What each result means
- First month’s interest = [Credit card balance]×[APR]÷1200
- Months to pay off – planned payment = nper([APR]÷1200, [Monthly payment], [Credit card balance])
- Interest – planned payment = [Monthly payment]×[Months to pay off – planned payment] – [Credit card balance]
- Months to pay off – with extra payment = nper([APR]÷1200, [Monthly payment] + [Additional monthly payment], [Credit card balance])
- Interest – with extra payment = ([Monthly payment] + [Additional monthly payment])×[Months to pay off – with extra payment] – [Credit card balance]
- Interest saved = [Interest – planned payment] – [Interest – with extra payment]
- Total paid with extra payment = ([Monthly payment] + [Additional monthly payment])×[Months to pay off – with extra payment]
Example values
How the main result changes when Credit card balance changes and everything else stays at the example values above:
| Credit card balance | Months to pay off – with extra payment |
|---|---|
| 2,500 | 14 |
| 3,750 | 23 |
| 5,000 | 34 |
| 6,250 | 48 |
| 7,500 | 67 |
| 10,000 | 167 |
Formula
Monthly interest = balance × APR ÷ 12Months to pay off (fixed payment) = −log(1 − B × i ÷ P) ÷ log(1 + i)Minimum payment = max(minimum $, balance × minimum %)Worked example
Inputs — Credit card balance: $5,000; APR: 22.99 %; Monthly payment: $150; Additional monthly payment: $50.
Results — First month's interest = $95.79; Months to pay off – planned payment = 54; Interest – planned payment = $3,044.95; Months to pay off – with extra payment = 34; Interest – with extra payment = $1,870.64; Interest saved = $1,174.31; Total paid with extra payment = $6,870.64.
Frequently asked questions
How long will it take to pay off my credit card?
Divide the balance by what you pay after interest – this calculator does it exactly.
How is credit card interest calculated?
Daily on the average daily balance, at APR ÷ 365.
What is a good credit card APR?
Average APRs are over 20%; under 15% is low for a standard card.
What formula does the Credit Card Calculator use?
Monthly interest = balance × APR ÷ 12.