Question 1

How long will it take to pay off my credit card?

Accepted Answer

It depends on your balance, interest rate, and monthly payment. Paying only the minimum can take decades. Use this calculator to see how increasing your monthly payment dramatically reduces payoff time and total interest.

Question 2

What is the minimum payment trap?

Accepted Answer

Credit card minimums are typically 1-3% of the balance. At 20% APR on a $5,000 balance, paying only the minimum takes about 25 years and costs over $8,000 in interest. Even $50 extra per month makes a huge difference.

Question 3

Should I pay off the highest rate card first?

Accepted Answer

The avalanche method (highest rate first) saves the most money mathematically. The snowball method (smallest balance first) provides psychological wins that help motivation. Both are effective if you stick with them.

Month	Payment	Principal	Interest	Balance
1	$200.00	$104.21	$95.79	$4,895.79
2	$200.00	$106.20	$93.80	$4,789.59
3	$200.00	$108.24	$91.76	$4,681.35
4	$200.00	$110.31	$89.69	$4,571.03
5	$200.00	$112.43	$87.57	$4,458.61
6	$200.00	$114.58	$85.42	$4,344.03
7	$200.00	$116.78	$83.22	$4,227.25
8	$200.00	$119.01	$80.99	$4,108.24
9	$200.00	$121.29	$78.71	$3,986.95
10	$200.00	$123.62	$76.38	$3,863.33
11	$200.00	$125.99	$74.01	$3,737.34
12	$200.00	$128.40	$71.60	$3,608.94
13	$200.00	$130.86	$69.14	$3,478.09
14	$200.00	$133.37	$66.63	$3,344.72
15	$200.00	$135.92	$64.08	$3,208.80
16	$200.00	$138.52	$61.48	$3,070.28
17	$200.00	$141.18	$58.82	$2,929.10
18	$200.00	$143.88	$56.12	$2,785.21
19	$200.00	$146.64	$53.36	$2,638.57
20	$200.00	$149.45	$50.55	$2,489.12
21	$200.00	$152.31	$47.69	$2,336.81
22	$200.00	$155.23	$44.77	$2,181.58
23	$200.00	$158.20	$41.80	$2,023.38
24	$200.00	$161.24	$38.76	$1,862.14

Credit Card Payoff Calculator

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