Credit Card Payoff Calculator — Calculations & Slabs for FY 2026-27
Enter your credit card balance, interest rate, and monthly payment to see the exact months needed to pay off the balance and the total interest charged.
1. Enter Card Details
The monthly payment is less than the interest generated this month. The balance will increase indefinitely.
Repayment Proportions
Payoff Projections
| Month | Principal | Interest | Balance |
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💳 The Mathematics of Credit Card Amortization
Credit cards utilize open-end revolving credit math, where interest compounds on a monthly cycle based on your average daily balance. Unlike fixed-term loans (like mortgages or auto loans), the repayment schedule fluctuates depending on how much you pay each month.
Amortization & Payoff Formulas
When calculating the amortization schedule of credit card debt, we use the following standard equations:
- Monthly Interest Rate (r): The APR is divided by 12 and converted to a decimal:
r = APR / 100 / 12 - Payoff Timeframe in Months (N): If a fixed monthly payment (PMT) is entered, the number of months required to reach $0 is calculated as:
N = - ln(1 - (B × r) / PMT) / ln(1 + r)where B is the starting balance, and ln represents the natural logarithm. - Required Monthly Payment (PMT): If a desired payoff timeframe of N months is specified, the exact monthly payment required to clear the debt is:
PMT = B × [ (r × (1 + r)^N) / ((1 + r)^N - 1) ]
Understanding the "Minimum Payment Trap"
Credit card issuers establish minimum payments as a small percentage of your outstanding balance (typically 1% to 2% plus accrued interest, or a flat $25-$35). This minimum payment barely covers the generated interest, leaving almost nothing to reduce the principal balance. By paying only the minimum, the debt compounds for decades, drastically increasing the total interest cost.
Our payoff tool allows you to input custom payment sizes to see exactly how small additions to your payment size can shave years and thousands of dollars off your financial liabilities.