See how long a credit card balance really takes to clear at a fixed payment versus the minimum payment — and exactly how much interest each path costs you in total. Runs entirely in your browser — your numbers never leave this device.
| Year | Paid | Interest | Balance left |
|---|---|---|---|
| Year 1 | $2,400.00 | $769.86 | $3,369.86 |
| Year 2 | $2,400.00 | $450.96 | $1,420.82 |
| Year 3 | $1,513.97 | $93.15 | $0.00 |
A credit card balance shrinks only by the part of your payment that exceeds the month's interest. This calculator simulates the balance month by month at your APR: interest is charged on the current balance, your payment is applied, and the remainder carries forward. It reports the two numbers that matter — months to clear the balance and total interest paid — for any fixed monthly payment you choose.
The minimum-payment path is shown for contrast, using the common issuer model stated in the formula above: each month you pay that month's interest plus 1% of the balance, with a $25 floor. Because the payment falls as the balance falls, this path stretches for years and the interest column grows alarmingly — the worked example shows a $5,000 balance taking over 18 years and costing more in interest than the original debt. The model is stated openly because issuers' exact minimum formulas differ; if yours is different, the fixed-payment mode with your actual payment gives the reliable figure.
The honest edge cases are handled in words, not hidden. If a fixed payment is less than or equal to the first month's interest, the balance never falls and the calculator says so instead of returning a date. If it barely exceeds the interest, the payoff time is very long and the interest total very large — that is the correct answer, and seeing it is usually what motivates raising the payment.
Because it is designed to shrink with the balance: interest plus 1% of what you owe. On $5,000 at 18% APR the first minimum payment is $125 and only $50 of it reduces the debt. The fixed $200 payment in the first example clears the same balance in 32 months with $1,313.97 of interest; the minimum path takes 222 months and $6,538.62 of interest under the model stated on this page.
The balance never falls — it stands still if the payment exactly equals the interest, and grows if the payment is smaller. On $5,000 at 18% APR the first month's interest is $75, so any payment of $75 or less cannot clear the debt, and the calculator tells you that directly rather than inventing a payoff date.
Not necessarily — issuers use several formulas (a percentage of the balance, interest plus a percentage, or a flat percentage, each with different floors). This page states its model openly: interest + 1% of balance, $25 floor. To model your exact card, use the fixed-payment mode with the amount you actually pay each month.
Slightly, in your favour: interest is usually calculated on the average daily balance, so paying earlier in the cycle reduces the average balance a little. This calculator models one payment per month, so its interest figure is a touch conservative compared with split payments — the months-to-clear figure is the reliable headline either way.
That is a personal decision this page does not make for you, but the arithmetic is stark: a card at 18–24% APR charges interest far faster than typical savings accounts pay it. The calculator's job is to give you the exact interest cost of each payment level so the trade-off is made with real numbers.
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