Compare how long a card balance may take to repay under an estimated minimum payment versus a payment you choose, including optional extra monthly payments.
The APR is divided by 12 and 100 to estimate a monthly rate.
Interest is applied to the opening balance, then the minimum due is estimated from the resulting statement balance using the percentage and floor you entered.
The minimum-only schedule is compared with your monthly target plus any extra amount; your planned payment is never assumed to be below the estimated minimum due.
The schedule ends when the balance is paid, or reports when the payment does not reduce the balance. Payoff estimates are capped at 100 years.
Monthly rate: APR ÷ 12 ÷ 100
Monthly interest: Opening balance × monthly rate
Estimated minimum due: min(statement balance, max(statement balance × minimum %, minimum floor))
Next balance: Opening balance + monthly interest − payment
A credit card payoff calculator estimates how long a carried balance may take to clear and how much interest may accrue along the way. It compares two paths: paying the estimated minimum due each month, and paying a monthly amount you choose. You can also add a recurring extra payment to see its effect. The estimates are useful for planning, but they are not a statement from your card issuer.
Card minimums are not calculated the same way by every issuer. This calculator lets you enter a percentage of the statement balance and a minimum currency floor, then uses whichever amount is larger, capped at the full amount due. If your card agreement or statement gives a different minimum-due rule, the calculator's estimate may not match it; use the inputs as assumptions rather than a universal rule.
The model uses APR divided by 12 as a monthly rate and applies that rate to the opening balance before the monthly payment. Real cards often accrue interest daily and may include new purchases, fees, promotional rates, or payment timing effects. The calculation excludes those items, so use it to compare payment scenarios, not to predict an exact payoff date.
1. Convert the annual percentage rate to a monthly decimal rate: r = APR ÷ 12 ÷ 100.
2. For each month, estimate interest as opening balance × r, then add it to the opening balance to form the statement balance.
3. Estimate the minimum due as the smaller of the statement balance and the larger of (statement balance × minimum percentage) or the minimum floor.
4. For the planned-payment path, use the larger of the estimated minimum due or your target monthly payment plus the extra amount.
5. Subtract the payment from the statement balance to get the next month's opening balance; repeat until it is effectively zero.
6. Add the monthly interest to find total interest. The calculator reports when the payment does not reduce the balance or the estimate exceeds 100 years.
Let B be the opening balance and r the monthly rate. The estimated statement balance is B(1+r). If the percentage-based minimum is p of that amount, the payment is pB(1+r), unless the floor is larger. Ignoring the floor, this percentage payment reduces principal only when p(1+r) is greater than r. If it is equal, the payment merely covers interest; if it is smaller, the balance grows. This is why a low minimum percentage paired with a high APR can fail to amortize.
Interest in each later month is calculated from the remaining balance in this model. A larger payment reduces that balance sooner, so future interest is charged on a smaller amount. The saving is cumulative: paying extra now reduces next month's interest, and the lower balance then reduces interest again in following months. The calculator compares the sum of monthly interest in each completed schedule. It does not treat the full planned payment as principal because part of each payment first covers that month's interest.
A percentage-only minimum gets smaller as the balance falls. A fixed minimum floor prevents the payment from shrinking below a chosen amount, so it eventually becomes the active part of the rule and can speed up repayment. The entered floor is an assumption, not an amount guaranteed by a card provider. Check the statement or agreement for your actual due calculation, including any fixed fees, past-due amounts, or special rules.
Mira has a ₹50,000 card balance at 36% APR and wants to compare minimum payments with paying ₹5,500 each month.
Convert APR to a monthly rate: 36% ÷ 12 ÷ 100
First month's interest: 50000 × 0.03
Estimated minimum due: max(5% of statement balance, 500)
First payment under your plan: max(minimum due, 5000 + 500)
Interest with minimum payments: Sum of monthly interest until paid off
Interest with your plan: Sum of monthly interest until paid off
Answer: Minimum-payment payoff time 105 months; Interest with minimum payments ₹61,286; Minimum-payment estimated payoff date 2035-06-22
Assuming every issuer calculates the minimum payment as the same percentage.
Entering the card's monthly rate as APR, or dividing the APR by 12 before entering it.
Forgetting that interest is included in the statement balance before the modeled payment.
Treating this monthly estimate as an exact statement payoff date when daily interest, fees, or new purchases apply.
Comparing interest savings when one scenario does not pay off; that schedule has no finite total interest.
Comparing a planned payment with the minimum-only estimate.
Testing whether a recurring extra amount could shorten repayment.
Checking whether an entered minimum-payment rule covers the estimated interest.
Estimating how much interest a payment plan may accrue before the balance is cleared.
Is the minimum-payment formula the same for every card?
No. Issuers can use different minimum-due rules and floors. Enter the percentage and floor from your card statement or terms for a closer estimate.
Why can the calculator say my balance will not be paid off?
If a payment is no greater than the interest added that month, it does not reduce the principal. Increase the planned payment; if the minimum-only estimate does not amortize, your entered minimum-payment assumptions may be too low for the APR.
Will this match my card statement exactly?
No. This is a simplified monthly estimate. Card issuers may calculate interest daily, include fees or transactions, use different rounding, and change rates or minimum-payment rules. Check your card agreement and statements for the actual figures.