Credit Card Payoff Calculator (2026)

How this calculation works

Credit card interest compounds daily on the average daily balance, so this calculator uses monthly compounding as a close approximation. The higher the APR, the more of each payment goes to interest.

The comparison baseline models a typical minimum payment of 1% of balance plus monthly interest (subject to a $25 floor) to show what the “easy” path really costs.

How this Credit Card Payoff Calculator (2026) works — 2026 guide

At a 23% APR, an $8,000 credit card balance paid with the minimum costs thousands in interest and takes decades to clear. This payoff calculator shows the faster path: a fixed monthly payment, the total interest you will actually pay, and exactly how much you save compared to minimum payments. It also models a lump-sum payment (tax refund, bonus) applied today, because every dollar of principal killed early stops compounding against you.

How to use it in 3 steps

1. Enter your balance, APR, and the fixed monthly payment you can commit to.
2. Optionally add a one-time extra payment.
3. Read your payoff time, total interest, total paid, and savings versus the minimum-payment baseline.

Who this is for

Anyone carrying credit card debt who wants a concrete payoff plan, or comparing whether a balance transfer or debt snowball makes sense. Pair with the [student loan comparison](/tools/student-loan-repayment-comparison/) for multi-debt strategy.

Data sources & authoritative references

This calculator is built on official U.S. rules and published statistics. Key sources:

• Federal Reserve — G.19 Consumer Credit: credit card interest rates
• CFPB — Credit card minimum payments
• Consumer Financial Protection Bureau — Credit card agreements database