Credit Card Minimum Payment Calculator
Credit Card Minimum Payment Calculator Definitions
Credit Card Balance
Your current outstanding balance on your credit card.
Credit Card Interest Rate
The annual interest rate charged on your credit card balance. If you enter a low promotional interest rate that is only available for a short period, the actual time required to pay off your credit card may be much longer than the calculator estimates.
Minimum Payment
The minimum payment is the percentage of your outstanding credit card balance used to calculate your required monthly payment. Your minimum payment is based on the percentage you enter and your current balance, but it will never be less than $15. As your balance decreases, your minimum payment may also decrease. Paying only the minimum amount can significantly increase the time it takes to pay off your credit card debt.
Monthly Payment
This is your initial monthly payment based on the minimum payment calculation. For credit cards, the monthly payment is calculated using the percentage of your current outstanding balance that you enter. As your balance decreases, your minimum monthly payment may also decrease, which can significantly increase the time required to pay off your credit card.
Balance Payoff
This is the estimated amount of time required to pay off your credit card debt if you make only the minimum payments. Your monthly payment is based on the percentage of your current outstanding balance that you enter. As your balance decreases, your minimum payment may also decrease. Paying only the minimum can significantly increase the time it takes to fully pay off your credit card balance.
Total Payments
This is the estimated total amount you will pay to pay off your credit card debt when making only the minimum payments. The calculation is based on your current outstanding balance and the minimum payment percentage you enter. Because your monthly payment may decrease as your balance is paid down, making only minimum payments can result in paying more over time.
