Minimum-payment trap
Credit card minimum payment calculator
What paying only the minimum costs you, next to the fixed payment that clears the balance in three years.
How this works
- Card statements must show how long minimum-only payments take and what a three-year payoff costs (Regulation Z, the CARD Act rules).
- Issuers set their own minimum formula. The default here is interest plus 1% of the balance, at least $25. You can change it.
- The three-year payment is a standard fixed-payment amortization at your APR.
- It assumes no new charges, fees or rate changes.
Sources
Awaiting expert reviewPreview build. Estimates only; not financial, tax or legal advice.
Common questions
How long does it take to pay off a credit card with minimum payments?
It depends on your balance, your APR and your issuer's minimum payment formula. Your statement must show how long minimum-only payments would take and what paying the balance off in three years would cost (Regulation Z). This calculator shows both for your own card.
How is a credit card minimum payment calculated?
Each issuer sets its own formula. The calculator's default is interest plus 1% of the balance, at least $25, and you can change it to match your statement.
What does the three-year payment assume?
A fixed monthly payment at your APR that clears the balance in three years, with no new charges, fees or rate changes.
Is the information I enter saved or sent anywhere?
No sign-up is needed. Your numbers are saved only in this browser, and the other tools on the site reuse them.