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Credit Card Payoff Calculator

Calculate how long it will take to pay off your credit card debt and see how different payment strategies can help you become debt-free faster.

100% FreePayment StrategiesInterest SavingsDebt-Free Date
Your Credit Card Details

₹10,000 - ₹10,00,000

12% - 48% per annum

₹1,000 - ₹1,00,000

2% - 5% of balance

Payment Strategy Comparison
Balance Reduction Timeline
Payoff Amortization Schedule
MonthDatePaymentPrincipalInterestBalance
Payoff Summary
Smart Insights

Pay More Than Minimum

Increase your payment by just ₹1,000 to save lakhs in interest and years of debt.

Stop New Charges

Avoid using this card until balance is zero. New purchases extend payoff time significantly.

Consider Balance Transfer

A 0% APR balance transfer could save you thousands. Check if you qualify.

What is a Credit Card Payoff Calculator?

A Credit Card Payoff Calculator is a financial planning tool that helps you determine how long it will take to pay off your credit card debt based on your current balance, interest rate, and monthly payment amount. It shows you your debt-free date and calculates the total interest you'll pay over the payoff period.

This calculator is especially useful for comparing different payment strategies - from making only minimum payments to aggressive payoff plans. By visualizing the impact of different payment amounts, you can make informed decisions about how to tackle your credit card debt effectively.

How is Credit Card Payoff Calculated?

The payoff calculator uses amortization formulas to determine your debt-free timeline:

Monthly Interest Charge:

Interest = Balance × (APR / 12 / 100)

Principal Payment:

Principal = Monthly Payment - Interest

New Balance:

New Balance = Old Balance - Principal

Months to Payoff:

n = -log(1 - (B × r / P)) / log(1 + r)

Where: n = months, B = balance, r = monthly interest rate, P = payment

Example Calculation:

Balance: ₹50,000 | APR: 36% | Monthly Payment: ₹5,000

Monthly Interest: ₹1,500 | Principal: ₹3,500 | Payoff Time: 12 months

Payment Strategies Explained

Minimum Payment

Pay only the minimum due (typically 2-5% of balance). This is the slowest and most expensive way to pay off debt.

  • • Longest payoff time
  • • Highest interest cost
  • • Can take 10+ years
  • • Not recommended

Fixed Payment

Set a fixed monthly payment amount that's higher than minimum. Provides predictable payoff timeline.

  • • Moderate payoff time
  • • Moderate interest cost
  • • Predictable budget
  • • Good balance

Aggressive Payoff

Pay as much as possible each month. Fastest way to become debt-free with maximum interest savings.

  • • Shortest payoff time
  • • Lowest interest cost
  • • Maximum savings
  • • Highly recommended
Key Benefits of Using This Calculator

See Your Debt-Free Date

Know exactly when you'll be debt-free based on your payment plan. Visualize your path to financial freedom.

Calculate Interest Savings

Compare how much interest you'll save by paying more than the minimum. Small increases make big differences.

Compare Strategies

Evaluate minimum payment vs fixed payment vs aggressive payoff strategies side-by-side.

Motivate Action

See the real impact of extra payments. Even ₹500 more per month can save years of debt and lakhs in interest.

Frequently Asked Questions

Important Disclaimer

This Credit Card Payoff Calculator provides estimates based on the information you provide. Actual payoff time and interest charges may vary based on your card issuer's specific calculation methods, billing cycles, and any fees or charges applied to your account.

The calculator assumes you make consistent monthly payments and don't make additional purchases on the card. New charges, late fees, or changes to your interest rate will affect your actual payoff timeline. Always refer to your credit card statement for precise balance and interest calculations.

This tool is for educational purposes only and does not constitute financial advice. Consult with a financial advisor for personalized guidance on managing credit card debt and planning your payoff strategy.

Credit Card Payoff Calculator - Calculate Debt-Free Date | FincalFY | FincalFY