Credit Card Payoff Calculator
See how a fixed monthly payment, APR, new spending and annual fees may affect your debt-free date.
Quick answer
Enter the current balance, APR and monthly payment. New spending and an annual fee are optional. The calculator simulates the balance month by month and stops when it reaches zero.
Formula and calculation
Each month adds estimated interest at APR ÷ 12, plus new charges and one-twelfth of the annual fee, before subtracting the payment.
Worked example
With a $5,000 balance at 21% APR and a $200 monthly payment, stopping new purchases allows the payment to reduce principal after monthly interest is applied.
Limitations
Cards commonly use daily periodic rates, variable APRs and fee rules. This monthly model is an educational estimate and assumes payments arrive on time.
Source and methodology
TransUnion credit-card payoff methodology. The source supports the general concept; ToolGemini uses only the values you enter and the formula described above.
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Money calculator hub · All calculators · Savings goal calculator
Frequently asked questions
Why can new purchases prevent payoff?
When interest, fees and new charges approach or exceed the payment, little or none of the payment reduces the existing balance.
Does this use the minimum-payment formula on my statement?
No. It uses the fixed payment you enter. Issuers use different minimum-payment rules.
How can I reduce estimated interest?
Stopping new charges and paying more principal earlier generally reduces later interest, subject to your card terms.