See how long it takes to pay off a credit card balance when making only minimum payments, and how much interest you will pay.
Rates as of Q2 2025 (example)
This credit card calculator shows what happens if you only make the minimum payment on your credit card balance each month — how long it would take to pay off the balance, and how much total interest you'd pay along the way. Because minimum payments are typically calculated as a percentage of your current balance, the payment amount shrinks as your balance shrinks, which can dramatically extend the payoff timeline.
Each month, this calculator computes interest on the current balance, then calculates the minimum payment as the greater of a percentage of the balance or the dollar floor. The portion of the payment beyond interest reduces the principal, and this repeats — recalculating the minimum payment based on the new, lower balance — until the balance reaches zero.
Formula: Monthly Interest = Balance × (APR ÷ 12). Minimum Payment = max(Balance × Minimum Payment %, Payment Floor). Principal Paid = Minimum Payment − Monthly Interest.
Example: For a $5,000 balance at a 22% APR (example rate — enter your actual rate) with a 2% minimum payment and a $25 floor, the initial minimum payment would be $100 — but as the balance shrinks, so does the minimum payment, which can stretch the payoff time to many years and result in total interest that may exceed the original balance. (Note: all figures in this example are for illustration purposes only and do not represent your actual card terms.)
Credit card APRs in the US are typically among the highest consumer interest rates — rates as of Q2 2025 (example) commonly ranged from the high teens to mid-30s depending on creditworthiness and card type. Because minimum payments are usually calculated as a percentage of the current balance (often 1-3%, with a dollar floor), paying only the minimum results in a "declining payment" schedule that can take decades to pay off a balance and result in total interest that significantly exceeds the original purchase amount. This is one of the key differences from a fixed-payment loan, where the payment amount stays constant — minimum credit card payments shrink over time, slowing your progress against the balance even further (example minimum payment formula used in this calculator — check your card's specific terms).
Most issuers calculate the minimum payment as the greater of a percentage of your current balance (commonly 1-3%, example range) or a fixed dollar floor (such as $25). Check your card statement for the exact formula your issuer uses.
Because the minimum payment is usually a percentage of the current balance, the payment amount shrinks as the balance shrinks. This "declining payment" pattern means progress against the principal slows over time, which can stretch payoff times to decades for larger balances.
No — the default is an example only. Credit card APRs vary significantly by issuer, card type, and your creditworthiness. Check your card statement or account online for your actual APR.
Paying a fixed amount above the minimum each month — rather than letting your payment shrink with the balance — can dramatically reduce both your payoff time and total interest. Try the Credit Card Payoff Calculator to model a fixed monthly payment scenario.
No. This calculator assumes no new charges are added to the balance — it shows how long it would take to pay off the existing balance with minimum payments only. Any new purchases would extend the payoff timeline and increase total interest.
A balance transfer moves debt from a high-interest credit card to another card, often one with a promotional low or 0% introductory APR for a limited time. This can reduce interest costs significantly if you can pay down the balance before the promotional rate ends, but transfers often involve a fee — check the terms carefully.
Disclaimer: The information, rates, and figures provided on this page are for educational and illustrative purposes only. All rates, minimum payment percentages, and examples shown are sample values and do not reflect your actual credit card terms. Financial rules and credit card terms change frequently. Always check your card statement and consult a qualified financial advisor before making any financial decisions.