Credit Card Minimum Payment Calculator
Enter your balance, APR and your card's minimum formula to see the minimum payment, how long minimums take and the interest you would pay.
Free, no sign-upRuns in your browserHow we calculate
On your statement under “Interest charge calculation”.
Usually 1%.
The floor printed in your card agreement, often $25 to $40.
- First month's interest
- $91.67
- Payment to clear it in 3 years
- $190.95
- Fixed $200.00 a month
- 2 years 10 months
- Interest saved with the fixed payment
- $6,349.90
| Year | Paid | Interest | Balance left |
|---|---|---|---|
| 1 | $1,609.55 | $1,041.47 | $4,431.92 |
| 2 | $1,426.68 | $923.15 | $3,928.39 |
| 3 | $1,264.59 | $818.26 | $3,482.07 |
| 4 | $1,120.91 | $725.29 | $3,086.45 |
| 5 | $993.56 | $642.89 | $2,735.78 |
| 6 | $880.67 | $569.85 | $2,424.96 |
| 7 | $780.62 | $505.10 | $2,149.45 |
| 8 | $691.93 | $447.72 | $1,905.24 |
| 9 | $613.31 | $396.85 | $1,688.77 |
| 10 | $543.63 | $351.76 | $1,496.90 |
| 11 | $481.87 | $311.80 | $1,326.83 |
| 12 | $427.12 | $276.37 | $1,176.08 |
| 13 | $378.59 | $244.97 | $1,042.46 |
| 14 | $335.58 | $217.14 | $924.02 |
| 15 | $303.31 | $192.27 | $812.98 |
| 16 | $300.00 | $165.86 | $678.84 |
| 17 | $300.00 | $133.19 | $512.03 |
| 18 | $300.00 | $92.55 | $304.58 |
| 19 | $300.00 | $42.02 | $46.59 |
| 20 | $47.87 | $1.27 | $0.00 |
Assumes no new purchases or fees and a fixed APR; issuers compound daily, which adds a little. Educational, not financial advice.
How credit card minimum payments are calculated
Card issuers use one of two formulas, written in your cardholder agreement. The most common is a percentage of the balance plus that month's interest and fees, typically 1% plus interest. The other is a flat percentage of the balance, usually 2% to 3%. Either way there is a dollar floor, often $25 to $40, and if the balance is below the floor you pay the whole balance. This credit card minimum payment calculator applies the formula every month as the balance falls, so the minimum shrinks too, which is exactly why paying only the minimum takes so long.
Worked example
A $5,000 balance at 22% APR with a minimum of 1% plus interest and a $25 floor: the first minimum is $50 + $91.67 interest = $141.67. Paying only the minimum every month takes 232 months, more than 19 years, and costs $8,099.78 in interest. Keep paying that first $141.67 instead and the card is clear in 58 months with $3,121.28 of interest, less than half. Under a 2%-of-balance formula with no interest added, the same card barely moves: 2% is only slightly more than the 1.83% monthly interest, so it would take more than 80 years.
Why the statement shows a 36-month payment
Since the Credit CARD Act of 2009, statements must show how long paying only the minimum will take, the total cost, and the monthly payment that clears the balance in three years. For the example above that is $190.95 a month. The calculator shows the same figure so you can compare it with your statement.
Common mistakes
Paying the minimum keeps the account in good standing but is not a payoff plan. New purchases on top of the minimum push the date out further, and a late payment can trigger a penalty APR near 30%. Fix your payment at the first minimum or higher and let the extra go to the balance; the credit card payoff calculator shows the date for any fixed payment.
Sources
Consumer Financial Protection Bureau (how minimum payments are calculated), Credit CARD Act of 2009 and Regulation Z 12 CFR 1026.7(b)(12) (minimum payment warning and repayment disclosure).
Frequently asked questions
How is the minimum payment on a credit card calculated?
Usually 1% of the balance plus that month's interest and fees, or a flat 2% to 3% of the balance, with a dollar floor of about $25 to $40. On $5,000 at 22% APR, 1% plus interest is $141.67.
How long does it take to pay off a credit card with minimum payments?
Often more than 15 years. $5,000 at 22% APR with a 1%-plus-interest minimum takes 232 months and $8,099.78 of interest.
Why does my minimum payment go down every month?
Because it is a percentage of a balance that keeps shrinking. That keeps the payment small but stretches the payoff out for years.
What happens if I pay only the minimum?
Your account stays in good standing and no late fee applies, but most of the payment goes to interest. Paying a fixed amount equal to the first minimum cuts the time and interest sharply.
What is the 36-month payment on my statement?
Under the Credit CARD Act, statements show the monthly payment that clears the balance in three years if you make no new charges. For $5,000 at 22% it is $190.95.