Enter your credit card balance, annual interest rate (APR), and monthly payment to see how long it will take to pay off your debt — plus the total interest you'll pay along the way. Switch to payoff by months mode to find the exact payment needed to clear your balance in a set timeframe.
Total Interest Paid
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Required Monthly Payment
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Months to Pay Off
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Total Amount Paid
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First Month Interest Charge
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Credit card interest is typically calculated using a Daily Periodic Rate (DPR), which is your APR divided by 365. This rate is applied to your average daily balance each day of the billing cycle. At the end of the cycle, all those daily interest charges are summed to produce your monthly finance charge.
APR stands for Annual Percentage Rate — it represents the yearly cost of borrowing on your card. The higher your APR, the more interest accrues each day on your unpaid balance. Even a few percentage points difference can mean hundreds of dollars more in interest over a multi-year payoff.
You're charged interest when you carry a balance past your statement due date. If you pay your full statement balance by the due date each month, most cards offer a grace period meaning no interest is charged on purchases. Once you carry a balance, interest begins accruing daily.
As of early 2024, the average credit card APR in the United States is around 20–24%. Rates vary widely depending on the card type, your credit score, and the issuer. Rewards and premium cards often carry higher APRs, while credit union cards tend to be lower.
The most effective strategies are paying more than the minimum each month, paying off the full balance when possible, and looking into balance transfer cards with a 0% introductory APR. Even small increases in your monthly payment can dramatically reduce both your payoff timeline and total interest paid.
Most issuers calculate the minimum payment as either a flat fee (e.g. $25–$35) or a small percentage of your balance (typically 1–3%), whichever is greater. Paying only the minimum can extend your payoff timeline by years and cost significantly more in interest over time.
A credit card interest calculator focuses on how much interest you are charged per billing cycle based on your balance and APR. A payoff calculator goes further, projecting the month-by-month schedule showing how long it will take to eliminate the debt entirely given a set payment amount.
Carrying a high balance relative to your credit limit — known as your credit utilization ratio — can negatively impact your credit score. Keeping utilization below 30% is generally recommended. Paying down your balance improves your utilization and can meaningfully boost your score over time.