How it works
Each month the card charges interest on the balance (APR ÷ 12). Your payment first covers that interest; the rest reduces the balance. The calculator repeats this until the debt is gone.
Example
A $6,000 balance at 24% APR paid at $250 a month takes about 34 months and costs around $2,250 in interest. Paying $400 a month cuts the time to about 19 months and the interest to roughly $1,200.
Strategies to get out of card debt faster
- Avalanche: pay the minimum on all cards and put any extra money on the card with the highest APR.
- Snowball: pay off the smallest balance first for quick wins and motivation.
- Consider a 0% balance transfer card or a lower-rate personal loan — check the fees first.
- Stop adding new purchases to the card you are paying off.
Frequently asked questions
Why does paying only the minimum take so long?
Minimum payments are often just a little more than the monthly interest, so very little goes to the balance. A fixed, larger payment saves a lot of time and money.
What is APR on a credit card?
The annual percentage rate. The card charges about one twelfth of it every month on the balance you carry.
Does this include new purchases?
No. It assumes you stop using the card while paying it off.
Results are estimates for information only and are not financial, legal or medical advice. Rates, taxes and fees vary — confirm with a professional or your lender.