How the payoff is worked out
The calculator runs your card month by month: interest is added at the monthly rate, then your payment comes off. It does this twice, once with the payment you make now and once with the extra and any one-off payment added, and shows the difference. It also prices a loan for the same balance, so you can see whether borrowing to pay the card off would cost less than keeping it.
Under Regulation Z the APR is the periodic rate multiplied by the number of periods in a year (12 CFR 1026.14(b)), so by default the monthly rate is the APR divided by 12. The second setting compounds the daily rate (APR ÷ 365) across a month. The loan rate is divided by 12.
Worked example: $45 a month plus $55 extra on $2,000 at 15%
Experian's credit card payoff calculator opens with $2,000 at 15% and $45 a month, and shows 66 payments and about $938 of interest. Dividing the APR by 12 gives 66 months and $937.61. Adding $55 a month makes the payment $100.00, which clears the card in 24 months (2 years) with $315.89 of interest: $621.72 saved, and 42 months sooner.
A one-off payment
A single $500 payment today, with the $55 extra each month, leaves $1,500 to clear: it takes 17 months (1 year 5 months) and costs $171.60 in interest.
A loan instead of the card
A 24-month loan at 12% APR for the same $2,000 has a payment of $94.15 and $259.53 of interest. The card plan costs $315.89 in interest, so the loan would save $56.37. With a 9% loan over 36 months and a 5% origination fee, the loan costs $389.58 in interest and fees in total. Loan figures are comparisons: a real loan depends on your credit record and its own terms.
What this calculator leaves out
It models one card with no new spending and a fixed rate. It does not include a balance transfer offer, annual fees, or paying several cards at once, and it does not apply the rule that payments above the minimum go to the highest-rate balance. The loan comparison covers interest and an origination fee but not a prepayment charge.
To see the interest on a balance and the minimum-payment path, use the credit card interest calculator.
To price a consolidation loan on its own, use the debt consolidation loan calculator.
Use the right country page
This page uses dollars and US card terms. The country choices above the inputs open separate local pages. Choosing United Kingdom opens the UK credit card loan payoff calculator, which works in pounds and turns the APR into a monthly rate with the effective-rate convention. Inputs reset and amounts are not converted.
Inputs for the credit card loan payoff calculator
How the yearly rate becomes a monthly rate
Most tools divide the APR by 12. Daily compounding charges interest on interest within the month.
Card balance
How much you owe on the card now.
Card APR
The yearly rate on your statement.
Monthly payment you make now
The amount you pay each month without any extra.
Extra each month
Added to the payment every month. Enter zero for none.
One-off payment now
A single payment made today, before the first month. Enter zero for none.
Loan APR
The APR of a loan you could use to clear the balance instead.
Loan term
The months the loan would run. A whole number up to 120.
Loan origination fee
A percentage of the loan, paid in cash. Enter zero for none.
CALCULATOR QUESTIONS
US credit card loan payoff calculator questions
How much interest do extra payments save?
On $2,000 at 15%, adding $55 to a $45 payment saves $621.72 of interest and 42 months.
How long does $2,000 take to pay off at $100 a month?
At 15% APR, with the APR divided by 12, it takes 24 months and costs $315.89 in interest.
Would a loan be cheaper than my card?
Only if its APR and fees are lower overall. In the example the 12% two-year loan has $259.53 of interest against $315.89 for the card plan.
What if my payment does not cover the interest?
The calculator refuses the entry and tells you the monthly interest you need to beat, because the balance would otherwise grow.
Does it handle more than one card?
No. It models a single card. For several cards, run each separately.