Credit Card Payoff

Estimate how many monthly payments will clear one credit card balance at a fixed APR, including a smaller final payment.

Enter your values in the calculator fields to get an instant result.

Calculator guide

Estimate how many monthly payments will clear one credit card balance at a fixed APR, including a smaller final payment.

Formula or method

Each month, round interest = remaining balance × (APR ÷ 12) to the nearest cent. Pay the lesser of the planned monthly payment and balance plus that month's interest. Repeat until the balance reaches zero; total paid is the sum of actual payments, and interest is total paid minus the starting balance.

How to use this calculator

  1. Enter your current card balance, card APR as a percentage, and planned monthly payment.
  2. Check the payoff time and final payment, then compare total paid with total interest.
  3. Try a larger affordable payment to see how it affects the estimate.

Worked example

With a $100 balance at 12% APR and a $60 monthly payment, month one adds $1 interest and leaves $41 after paying $60. Month two adds $0.41 interest, so the final payment is $41.41. Payoff takes 2 months, total paid is $101.41, and interest is $1.41.

Understanding the result

The final payment can be less than the planned payment; multiplying the planned payment by the number of months would overstate the total. A payment that does not exceed the first month's interest cannot pay down the balance under these assumptions.

Limitations and assumptions

  • Assumes the APR stays fixed, interest is charged monthly and rounded to cents, and one payment is made at the end of every month. Actual cards commonly calculate interest daily and may have different statement or payment dates.
  • Excludes new purchases, balance transfers, fees, promotional rates, minimum-payment rules, missed payments, and changes in APR.
  • Amounts are rounded to cents; schedules longer than 100 years are not estimated.

Frequently asked questions

Why is my last payment smaller?

Only the remaining balance plus that month's interest is due; the tool never charges the full planned payment after the card is paid off.

Why does the calculator say my payment is too low?

If the payment is no larger than the first month's interest, the balance will not fall with a fixed monthly payment.

Will my statement match exactly?

Not necessarily. Issuers often use daily interest, varying billing periods, fees, and statement-specific payment rules.

Sources

Educational estimate only; not financial advice or an issuer payoff quote.