Pro Tool

Credit Card Payoff Calculator

Calculate how long it will take to pay off your credit card balance. Compare payment strategies and see how much interest you can save.

Loan Details

Minimum recommended: ₹100

How to Use the Credit Card Payoff Calculator

Paying off credit card debt can be challenging, but having a clear plan makes it manageable. Our calculator helps you understand the impact of interest rates and payment amounts on your debt-free journey.

Fixed Payment Strategy

Choose a fixed monthly amount you can afford. The calculator will show you how many months it will take to clear the balance and the total interest you'll pay. Increasing this amount even slightly can save significant interest.

Payoff Goal Strategy

Have a target date to be debt-free? Enter your desired number of months, and we'll calculate exactly how much you need to pay each month to reach that goal.

Why Credit Card Interest Matters

Credit cards typically have high Annual Percentage Rates (APR), often ranging from 15% to 25% or more. This compound interest can cause your balance to grow rapidly if you only make minimum payments.

  • Principal: The actual amount you borrowed/spent.
  • Interest: The cost of borrowing money, calculated daily or monthly based on your APR.
  • Minimum Payment: The smallest amount required to keep your account in good standing, usually covering interest plus a small fraction of the principal.

Tips for Paying Off Debt Faster

  1. Pay More Than the Minimum: Even an extra $20 or $50 a month goes directly to the principal, reducing future interest.
  2. Consolidate Debt: Consider a balance transfer card with a 0% introductory APR or a personal loan with a lower interest rate.
  3. Snowball vs. Avalanche Method:
    • Snowball: Pay off smallest balances first for psychological wins.
    • Avalanche: Pay off highest interest rate cards first to save the most money.