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Credit Card Payoff Calculator

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How to use the Stop Paying Interest

Credit Card Debt is one of the most expensive forms of borrowing. Paying just the minimum can keep you in debt for decades. Use this calculator to see how increasing your monthly payment can slash years off your debt sentence and save you thousands in interest.

❄️ Debt Snowball

Focus on paying off your smallest balance first while paying minimums on others. Best for psychological quick wins.

🌋 Debt Avalanche

Focus on paying off the highest interest rate card first. This is mathematically the fastest way to become debt-free.

The Formula

N = -log(1 - (r × P) / A) / log(1 + r)

Strategies to Pay Off Faster

  • The 50/30/20 Rule: Allocate 20% of your income strictly for debt repayment and savings.
  • Balance Transfer: Move high-interest debt to a card with a 0% introductory APR period (usually 12-18 months).
  • Automate Payments: Set up auto-pay for a fixed amount that is higher than the minimum due to ensure consistent progress.

Frequently Asked Questions (FAQ)

Frequently Asked Questions

What happens if I only pay the minimum?

Most of your payment goes to interest, with only a tiny fraction reducing the principal. It can take 20+ years to pay off a $5,000 balance this way.

Will paying off my card hurt my credit score?

No! Lowering your credit utilization ratio is one of the best things you can do for your score. However, closing the account after paying it off might slightly lower it by reducing your available credit limit.

Should I use a Personal Loan to pay off cards?

It depends. If you can get a personal loan with a significantly lower interest rate (e.g., 8-10%) than your credit cards (20%+), debt consolidation can save you money and simplify your payments.