# When do minimum payments end?

Shows how long a credit card balance takes to pay off with only the minimum payment, the total interest, the first minimum, and the fixed payment that clears it in 36 months.

- Page: https://www.acalculator.org/finance/minimum-payment-calculator
- JSON spec: https://www.acalculator.org/finance/minimum-payment-calculator.json
- Version: d34af9dee3bc

## Default answer

Example with the default inputs (Card balance $5,000.00, APR 22%, Minimum payment is % of balance + interest, Percent of the balance 1%, Lowest minimum $25.00): Paying only the minimum on $5,000.00 at 22% APR takes 230 months and costs $8,099.77 in interest.

## Inputs

| Key | Label | Description |
| --- | --- | --- |
| balance | Card balance | What you owe on the card now. |
| apr | APR | The card’s annual percentage rate on the balance. |
| rule | Minimum payment is | How your card works out the minimum: a percent of the balance plus the month’s interest, or a percent of the balance alone. |
| pct | Percent of the balance | The percent of the balance in the minimum, from your card agreement, such as 1% or 2%. |
| floor | Lowest minimum | The dollar amount the minimum never goes below, from your card agreement, such as $25 or $35. |

## Outputs

| Key | Label | Description |
| --- | --- | --- |
| months | Months to pay it off | How many minimum payments clear the balance, with no new charges. |
| time | Time to pay it off | The months as years and months. |
| principal | Balance paid off | The card balance the minimum payments clear. |
| interest | Total interest | All the interest paid until the balance is 0. |
| paid | Total paid | The balance plus all the interest. |
| first | First minimum payment | The minimum payment due in the first month. |
| payment36 | Payment to pay it off in 3 years | The fixed monthly payment that clears the balance in 36 months. |
| interest36 | Interest paying it off in 3 years | The interest paid with that fixed payment. |
| saved | Interest saved in 3 years | Total interest paying the minimum − the interest paying it off in 36 months; shown when it is more than $0. |

## Method

Each month: interest = balance × APR ÷ 12; minimum = max(floor, % × balance + interest) or max(floor, % × balance), at most balance + interest; balance = balance + interest − minimum, until 0. 36-month payment = B × r ÷ (1 − (1 + r)^−36).

## Assumptions

- You make no new purchases and pay exactly the minimum on time each month. No fees, and the APR does not change.
- Interest is the monthly rate APR ÷ 12 on the balance, with months of equal length; card issuers use the daily balance, so real interest differs a little.
- The last payment is whatever is left. Values are not rounded to the cent between months.

## Worked examples

1. balance = $1,000.00, apr = 12%, rule = interest, pct = 1%, floor = $25.00 gives first = $25.00, months = 52, interest = $283.47, payment36 = $33.21, saved = $87.75. Source: Consumer Financial Protection Bureau, Regulation Z, Appendix M1 to Part 1026, Repayment Disclosures (the minimum payment repayment estimate assumes only minimum payments, months of equal length, and a final payment that pays the account in full; the 36-month estimate). https://www.consumerfinance.gov/rules-policy/regulations/1026/m1/.
2. balance = $5,000.00, apr = 22%, rule = interest, pct = 1%, floor = $25.00 gives first = $141.67, months = 230, interest = $8,099.77, payment36 = $190.95. Source: Consumer Financial Protection Bureau, How does my credit card company calculate the amount of interest I owe? https://www.consumerfinance.gov/ask-cfpb/how-does-my-credit-card-company-calculate-the-amount-of-interest-i-owe-en-51/.
3. balance = $300.00, apr = 0%, rule = percent, pct = 2%, floor = $25.00 gives months = 12, interest = $0.00, first = $25.00, paid = $300.00. Source: Consumer Financial Protection Bureau, Regulation Z, Appendix M1 to Part 1026, Repayment Disclosures (the minimum payment repayment estimate assumes only minimum payments, months of equal length, and a final payment that pays the account in full; the 36-month estimate). https://www.consumerfinance.gov/rules-policy/regulations/1026/m1/.

## FAQ

### How is a credit card minimum payment calculated?

Card agreements use a formula, often a percent of the balance (such as 1%) plus the month’s interest and fees, or a percent of the balance alone (such as 2%), with a dollar floor such as $25 or $35, whichever is greater. Your agreement or statement shows your card’s formula.

### How long does it take to pay off a card with minimum payments?

Often years. $5,000 at 22% APR, with a minimum of 1% of the balance plus interest and at least $25, takes 230 months (19 years and 2 months) and costs about $8,100 in interest.

### Why does paying the minimum take so long?

The minimum falls as the balance falls, so the part that pays down the balance shrinks too. With 1% plus interest, only about 1% of the balance goes to it each month until the dollar floor takes over.

### What is the 3-year payment on my statement?

Card statements show the fixed monthly payment that would pay the balance off in 36 months, and how much you would save. This page works it out with the amortized payment B × r ÷ (1 − (1 + r)^−36), r = APR ÷ 12.

### What if the minimum does not cover the interest?

With a percent-of-balance minimum below the monthly interest rate and a low floor, the balance can grow or never reach 0. If paying the minimum takes more than 100 years, the page says so instead of giving an answer.

### Why might my statement’s numbers differ a little?

Card issuers charge interest on the average daily balance and add fees. This page uses APR ÷ 12 each month and no fees, so its months and interest can differ slightly.

## Sources

- Consumer Financial Protection Bureau, Regulation Z, Appendix M1 to Part 1026, Repayment Disclosures (the minimum payment estimate assumes only minimum payments; months may be treated as equal; the final payment pays the account in full; the 36-month estimate). https://www.consumerfinance.gov/rules-policy/regulations/1026/m1/ (retrieved 2026-10-02)
- Consumer Financial Protection Bureau, How does my credit card company calculate the amount of interest I owe? https://www.consumerfinance.gov/ask-cfpb/how-does-my-credit-card-company-calculate-the-amount-of-interest-i-owe-en-51/ (retrieved 2026-10-02)