Credit Card Repayment Calculator
Calculate how long it will take to pay off your credit card debt and see how much interest you'll pay. Compare fixed payments vs minimum payments.
Credit Card Details
Repayment Summary
32 Months
2.7 years
$1,313.96
Cost of carrying the debt
$6,400.00
Principal + Interest
$200.00
Payment Breakdown
First Year Payment Breakdown
- Interest
- Principal
Remaining Balance Over Time
Payment Schedule
| Month | Payment | Principal | Interest | Balance |
|---|---|---|---|---|
| 1 | $200.00 | $125.00 | $75.00 | $4,875.00 |
| 2 | $200.00 | $126.88 | $73.13 | $4,748.13 |
| 3 | $200.00 | $128.78 | $71.22 | $4,619.35 |
| 4 | $200.00 | $130.71 | $69.29 | $4,488.64 |
| 5 | $200.00 | $132.67 | $67.33 | $4,355.97 |
| 6 | $200.00 | $134.66 | $65.34 | $4,221.31 |
| 7 | $200.00 | $136.68 | $63.32 | $4,084.63 |
| 8 | $200.00 | $138.73 | $61.27 | $3,945.90 |
| 9 | $200.00 | $140.81 | $59.19 | $3,805.08 |
| 10 | $200.00 | $142.92 | $57.08 | $3,662.16 |
| 11 | $200.00 | $145.07 | $54.93 | $3,517.09 |
| 12 | $200.00 | $147.24 | $52.76 | $3,369.85 |
| 13 | $200.00 | $149.45 | $50.55 | $3,220.40 |
| 14 | $200.00 | $151.69 | $48.31 | $3,068.70 |
| 15 | $200.00 | $153.97 | $46.03 | $2,914.73 |
| 16 | $200.00 | $156.28 | $43.72 | $2,758.45 |
| 17 | $200.00 | $158.62 | $41.38 | $2,599.83 |
| 18 | $200.00 | $161.00 | $39.00 | $2,438.83 |
| 19 | $200.00 | $163.42 | $36.58 | $2,275.41 |
| 20 | $200.00 | $165.87 | $34.13 | $2,109.54 |
| 21 | $200.00 | $168.36 | $31.64 | $1,941.18 |
| 22 | $200.00 | $170.88 | $29.12 | $1,770.30 |
| 23 | $200.00 | $173.45 | $26.55 | $1,596.86 |
| 24 | $200.00 | $176.05 | $23.95 | $1,420.81 |
| 25 | $200.00 | $178.69 | $21.31 | $1,242.12 |
| 26 | $200.00 | $181.37 | $18.63 | $1,060.75 |
| 27 | $200.00 | $184.09 | $15.91 | $876.67 |
| 28 | $200.00 | $186.85 | $13.15 | $689.82 |
| 29 | $200.00 | $189.65 | $10.35 | $500.16 |
| 30 | $200.00 | $192.50 | $7.50 | $307.66 |
| 31 | $200.00 | $195.39 | $4.61 | $112.28 |
| 32 | $200.00 | $112.28 | $1.68 | $0.00 |
Credit card debt can feel overwhelming, but understanding exactly how long it will take to pay off and how much interest you'll pay is the first step toward financial freedom. Our credit card repayment calculator helps you see the true cost of carrying debt and shows you how different payment strategies affect your payoff timeline.
The difference between making minimum payments and paying a fixed amount each month can be staggering. A $5,000 balance at 18% APR might take over 20 years to pay off with minimum payments, costing thousands in interest. But with a fixed $200 monthly payment, you could pay it off in about 2.5 years and save thousands.
This calculator shows you exactly what happens with each payment strategy, helping you make informed decisions about how to tackle your credit card debt. Use it to see how increasing your monthly payment can dramatically reduce both your payoff time and total interest paid.
How Credit Card Interest Works
Credit card interest is calculated daily based on your average daily balance. Each month, your card issuer calculates interest on your outstanding balance and adds it to your account. When you make a payment, it first goes toward the interest, then toward reducing your principal balance.
The key thing to understand is that credit card interest compounds - you pay interest on interest. This is why credit card debt can grow so quickly if you only make minimum payments. The interest keeps accumulating, and if your payments don't cover all the interest, your balance can actually increase even if you're not making new purchases.
Most credit cards use a daily periodic rate, which is your APR divided by 365. This means interest is calculated every single day on your current balance. The higher your balance and the higher your APR, the more interest you'll pay each month.
Minimum Payments: The Debt Trap
Making only minimum payments is one of the biggest financial mistakes people make. Here's why:
- 1.Takes Forever: Minimum payments are typically 1-3% of your balance, which means it can take decades to pay off even moderate debt.
- 2.Most Goes to Interest: In the early months, most of your minimum payment goes to interest, not reducing your principal.
- 3.Costs Thousands: You'll pay 2-3 times your original balance in interest over the life of the loan with minimum payments.
- 4.Balance Can Grow: If your minimum payment doesn't cover all the interest, your balance will increase even without new purchases.
The calculator shows you exactly how much time and money you'll save by paying more than the minimum. Even adding $50-100 to your minimum payment can cut years off your payoff time and save hundreds or thousands in interest.
Strategies for Paying Off Credit Card Debt
- 1.Pay More Than Minimum: Even small increases in your monthly payment can dramatically reduce payoff time and interest. Use this calculator to see the impact of different payment amounts.
- 2.Debt Avalanche Method: Pay minimums on all cards, then put extra money toward the card with the highest interest rate. This saves the most money overall.
- 3.Debt Snowball Method: Pay minimums on all cards, then put extra money toward the smallest balance first. This provides psychological wins and motivation.
- 4.Balance Transfer: Transfer high-interest debt to a card with 0% APR for a promotional period. This can save significant interest if you can pay it off during the promotional period.
- 5.Stop Using the Card: The most important step - stop adding new charges while you're paying off debt. Cut up the card or freeze it if necessary.
Understanding Your Payment Schedule
The payment schedule shows you exactly how each payment is applied:
- Payment: Your total monthly payment amount
- Principal: The portion that reduces your balance
- Interest: The portion that goes to the credit card company
- Balance: How much you still owe after each payment
Notice how in the early months, most of your payment goes to interest. As your balance decreases, more of each payment goes toward principal. This is why paying extra early in the payoff process saves the most money.
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