Credit Card Payoff Calculator

Sick and tired of credit card debt? Find out exactly how long it will take you to pay off your credit cards—and how to do it faster.

*Not sure how to use the credit card calculator?

Pay Off Your Credit Card Debt Faster

It all starts with a budget. The EveryDollar budgeting app helps you make a plan for your money every month—so you can confidently cover your expenses and free up more money to throw at your credit card debt!

Create Your Free Budget

How to Use the Credit Card Payoff Calculator

Enter the current balance, interest rate and minimum payment for each credit card.
Then, click Get Your Debt-Free Date to see when you’ll pay off all your credit cards. We’re not going to lie—it can be a little depressing to see that date, especially if you’ve got a long way to go. But don’t stop there!
If you’ve got multiple credit cards, you’ll also see how much faster you can pay them all off with the debt snowball method. By tackling your credit cards from smallest to largest balance, you’ll make more progress (plus save a ton of money in interest).
Lastly, you can add an extra monthly payment to boost your payoff even more. Once you see how much faster you can pay off your credit cards, you’ll be ready to attack your debt head on!

Credit Card Terms

Credit card terminology can be confusing and overly complicated (lucky for the credit card companies—but not for you). Let’s break down what some of the common credit card terms actually mean.

Balance

This is the amount you owe on your credit card. You can find your current balance by reading your most recent credit card statement or logging in to your credit card account online.

Interest Rate

This is the amount the credit card company charges if you don’t pay off your balance by the due date. Your interest depends on the credit card’s APR (annual percentage rate) and is usually charged as a percentage of your unpaid balance.

Minimum Payment

This is the lowest amount you are required to pay each month to stay in good standing with the credit card company. But keep in mind, if you only pay the minimum payment and don’t pay off your entire balance in full, you’ll get charged interest.

How to Pay Off Credit Card Debt

Don’t let credit card debt get you down! Here’s how to pay off your credit card debt fast:

Use the debt snowball method.
By tackling your credit cards from smallest to largest balance (instead of worrying about the interest rates), you’ll pay off your debt faster. The debt snowball works because it gives you the momentum and motivation to keep going.
Get on a budget.
It’s hard to pay off your debt if you have no clue where your money is going. That’s where a budget comes in—specifically a zero-based budget. Making a plan for every single dollar helps you cover the basics and boost your credit card payment.
Find more money.
Once you’ve made your budget, it’s time to free up more money by lowering your expenses and increasing your income. Every extra dollar gets you one step closer to being credit card debt-free!

Credit Card FAQ

How is credit card interest calculated?: Credit card interest depends on the card’s APR. But even though it’s called an annual percentage rate, it’s calculated daily. To figure out how much you’ll pay in interest, multiply your average daily interest rate by your average daily balance (oh, and don’t forget the compound interest).
How does credit card debt consolidation work?: Credit card consolidation is the process of paying off your existing credit card debt with either a new credit card or a personal loan. The goal with credit consolidation is to trade multiple credit card payments for one single payment with better terms. But there’s no guarantee you’ll get a lower interest rate when you consolidate. Instead of combining your debts, you’ll be better off knocking them out one by one with the debt snowball.
Should I do a balance transfer?: A balance transfer is a type of credit consolidation where you take the balance from one credit card and transfer it to another card, usually one with a lower interest rate. That may sound nice, but balance transfers don’t help you get rid of your debt—they just move it around. Plus, you have to pay a balance transfer fee.
Are 0% APR credit cards okay?: Watch out for credit cards that promote 0% APR! Most of the time, the 0% interest is only an introductory rate that lasts for a couple of months before switching to a variable rate that can jump sky-high. It’s a sure way to make your credit card debt problem an even bigger problem. So, steer clear.
How does credit card debt impact my credit score?: Carrying a credit card balance from month to month can cause your credit score to go down. And while paying off your credit card debt can boost your score, the credit game is a never-ending, exhausting cycle. The truth is, you don’t need a credit score to live your life or reach your goals—actually, it’s a lot easier without credit slowing you down.

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