Finance Calculators
Debt Payoff Calculator
See how fast you can become debt-free. Enter your balance, monthly payment, and APR to calculate payoff time and total interest.
How It Works
Months = -log(1 - B Γ r / P) / log(1 + r), where B = balance, r = monthly rate, P = payment.
About This Calculator
What It Does
Calculate how many months it takes to pay off your credit card or loan debt. Enter your current balance, monthly payment, and APR to see payoff time, total interest, and total repayment. The calculator shows how different payment amounts affect your timeline. It assumes a fixed APR and no new charges β ideal for planning a debt repayment strategy. Making only minimum payments can extend payoff for decades. Even small extra payments can shave months or years off your debt.
Worked Example
Example 1 β Standard payment: A $5,000 balance at 18% APR with $200 monthly payments. Payoff in ~32 months. Total interest β $1,400. Total repayment β $6,400. Example 2 β Extra payment: Same $5,000 at 18% but paying $250/month (just $50 more). Payoff in ~24 months β 8 months sooner. Total interest β $1,060. Saving $340 by paying $50 extra. Example 3 β Minimum payments: At a typical minimum of 2% of balance ($100), payoff extends to ~88 months (7+ years). Total interest β $3,800. This shows the true cost of paying only the minimum.
Real-World Usage
Use this before taking on new debt to plan how you'll pay it off. Compare payment strategies: the snowball method pays smallest balances first for motivation; the avalanche method targets highest APR first for maximum savings. See how consolidating high-interest debt to a lower rate can accelerate payoff. Track progress over time β increasing your payment by even $25 per month can save thousands. Financial advisors recommend paying off high-interest debt before focusing on investments.
Local Context
UK credit card APRs: 18-30% typical. Personal loan rates: 2.8-15%. Balance transfers with 0% introductory periods are common (12-24 months). The FCA regulates consumer credit. The Consumer Credit Act 1974 provides Section 75 protection for purchases over Β£100 and under Β£30,000. Insolvency options include IVA (Individual Voluntary Arrangement) and Debt Relief Orders.
Last reviewed: May 2026.
This is an estimate. Actual payoff time depends on additional fees, rate changes, and payment consistency.
Frequently Asked Questions
How long to pay off $5,000 at 18% APR with $200/month?
About 32 months (2 years, 8 months). Total interest β $1,400.
What if my payment is too low?
If your monthly payment is less than the monthly interest charge, the debt grows β you will never pay it off.
How can I pay off debt faster?
Increase your monthly payment. Even $50 more per month can save years and thousands in interest.