Credit Card Payoff Calculator

The debt snowball method prioritizes paying off your smallest credit card balance first, regardless of interest rate. You pay the minimum on all cards except the smallest one, where you apply all extra payments. Once the smallest card is paid off, you roll that payment amount to the next smallest card, creating a 'snowball' effect that grows as you eliminate each debt.

The debt snowball method (paying smallest balances first) provides psychological wins and motivation through quick victories. The debt avalanche method (paying highest interest rates first) saves more money in interest. Our calculator uses the snowball method because it's more effective for most people's psychology and helps build momentum for debt payoff success.

Our calculator provides accurate estimates based on the debt snowball method and standard credit card interest calculations. However, actual results may vary due to factors like balance transfers, promotional rates, late fees, or changes in your credit card terms. Use this as a planning tool and always verify with your credit card statements.

Start with whatever extra amount you can afford, even if it's just $25 or $50 per month. The key is consistency. As you pay off cards and free up more money, you can increase your extra payment amount. The calculator shows you the impact of different payment amounts, so you can see how even small increases can significantly reduce your payoff time.

If you don't know your exact minimum payment, you can leave it blank and our calculator will estimate it as 1% of your balance plus the monthly interest. However, using your actual minimum payment from your credit card statement will give you the most accurate results. Check your latest statement or call your credit card company for the exact amount.

Missing a payment can significantly impact your payoff plan by adding late fees, increasing your interest rate, and extending your payoff timeline. Always prioritize making at least the minimum payment on all cards. If you're struggling to make payments, contact your credit card companies immediately - many offer hardship programs or payment arrangements.

A balance transfer to a 0% APR card can be beneficial if you can pay off the balance before the promotional period ends. However, be aware of balance transfer fees (typically 3-5%) and ensure you have a plan to pay off the debt before the regular APR kicks in. Our calculator can help you compare the total cost of different payoff strategies.

Our calculator can handle up to 5 credit cards. It automatically sorts them by balance (smallest first) and applies the debt snowball method. You can add or remove cards as needed, and the calculator will recalculate your payoff timeline and interest savings based on your specific situation.

APR (Annual Percentage Rate) includes both the interest rate and any additional fees or costs associated with the credit card. For most credit cards, the APR and interest rate are the same. The APR gives you a more complete picture of the total cost of borrowing, which is why we use it in our calculations.

Track your progress monthly, celebrate small wins (like paying off a card), and visualize your debt-free future. Use our calculator to see how each extra payment brings you closer to your goal. Consider setting up automatic payments and creating a visual debt tracker. Remember that becoming debt-free is a marathon, not a sprint - consistency is key.