Credit Card Calculator
Find out how long to pay off your balance and how much interest you'll pay
Results & Details
// Payment Strategy Comparison
// Balance Paydown Over Time
Payoff Schedule
| Period | Payment | Principal | Interest | Balance |
|---|---|---|---|---|
| 💳 Calculate above to see your payoff schedule | ||||
How to Use the Credit Card Calculator
Enter your current credit card balance and APR (annual percentage rate), then choose a calculation mode. Pay Off Balance shows how long a fixed monthly payment takes to clear the debt. Fixed Payment works backwards — enter when you want to be debt-free and see the required payment. Minimum Only shows the shocking true cost of only making minimum payments.
How Credit Card Interest Works
Credit card interest is calculated daily on the outstanding balance. The APR is divided by 365 to get a daily rate, then multiplied by your average daily balance each month. This means interest compounds continuously, which is why credit card debt grows quickly when only minimum payments are made.
The Minimum Payment Trap
Credit card minimum payments are typically 1–3% of the outstanding balance. Because the minimum falls as the balance falls, you make tiny payments in later months — stretching a £3,000 balance at 20% APR into a 20+ year payoff costing thousands in interest. Always pay more than the minimum if you can.
Debt Avalanche vs Debt Snowball
If you have multiple credit cards, the avalanche method — paying off the highest APR card first — minimises total interest paid. The snowball method — paying off the smallest balance first — provides psychological wins that help some people stay motivated. This calculator helps you model either approach.
Credit Card Debt: The Minimum-Payment Trap, Quantified
Built and verified by Andrius R. · Updated June 2026
Credit cards are the most expensive mainstream debt, and their minimum payment is engineered to keep you in it. The numbers below show exactly how the trap works — and how cheaply it breaks once you see it.
Minimum payments vs fixed payments: the brutal comparison
| Strategy | Time to pay off | Total interest |
|---|---|---|
| Minimum only (interest + 1% of balance) | ~19 years | ~$8,100 |
| Fixed $200/month | 34 months | ~$1,750 |
| Fixed $400/month | 15 months | ~$732 |
The minimum route pays more in interest than the original debt — and the mechanism is sneaky: because the minimum is a percentage, it shrinks as your balance shrinks, keeping the payoff perpetually distant. Simply fixing your payment at the first month's minimum amount, never letting it drop, cuts years off. Paying meaningfully more cuts the interest by 80–90%.
How card interest actually accrues
Card APRs compound on your average daily balance — interest is calculated daily and added monthly, so a 22% APR is effectively slightly worse than 22%. The escape hatch: the grace period. Pay the statement balance in full by the due date and purchases accrue no interest at all — the card is free credit. Carry even $1 past the due date and you typically lose the grace period, with interest accruing on new purchases from day one until you've paid in full again. There is no "good amount" of balance to carry; the myth that carrying a balance helps your credit score is exactly backwards — it costs interest and raises your utilization.
Two balances, one strategy question: avalanche vs snowball
With multiple debts, pay minimums on all, then aim every spare dollar at one: the avalanche targets the highest APR first (mathematically optimal — always saves the most interest), while the snowball targets the smallest balance first (fastest visible wins, which research on debt repayment suggests helps many people persist). The interest difference between the two is usually modest; the difference between either and unfocused minimum-paying is enormous. Pick the one you'll actually sustain.
The shortcuts worth knowing
- Balance transfer cards (0% promotional APR for 12–21 months, typically for a 3–5% fee) can freeze the interest meter — but only help if you pay the balance down during the window rather than treating it as breathing room. Note the promo rate usually doesn't cover new purchases.
- A personal loan at 10–12% to consolidate 22%+ card debt halves the rate and converts revolving debt into a fixed schedule — see the loan calculator to compare.
- Call and ask. Issuers grant APR reductions to long-standing customers more often than people expect; a 10-minute call is free.
- Stop the inflow. None of the math works while new spending lands on the card you're trying to clear. Move daily spending to debit until the balance is gone.
From the Blog
// Pay More Than Min
Even paying £20 extra per month can save hundreds in interest and years off your payoff timeline.
// 0% Balance Transfer
Moving debt to a 0% transfer card resets the interest clock. Factor in any transfer fee (typically 2–3%).
// Avalanche Method
Pay minimums on all cards, then throw every extra pound at the highest APR card first. It minimises total interest.
// Avoid New Spend
Stop using the card while paying it off. New purchases at purchase APR slow down your payoff significantly.