Credit Card Minimum Payment Calculator

Three ways to pay this balance
Figure	Minimum only	Keep paying $171.86	36-month payment
Monthly payment	$171.86 at first, then less	$171.86	$229.61
Time to pay off	20 years, 5 months	4 years, 9 months	3 years
Total interest	$9,832.82	$3,716.29	$2,265.91
Total paid	$15,832.82	$9,716.29	$8,265.91

This credit card minimum payment calculator shows what your minimum is today, how long the balance lasts if you pay only the minimum, and the interest that costs. It also shows the payment that clears the card in 36 months, the figure printed on your statement, and what happens if you keep paying your first minimum.

How to use this calculator

Enter your balance and APR from your latest statement.
Pick your minimum payment rule. Your card agreement states the formula. The options are:
- interest plus 1% of the balance, with a $25 floor
- 2% of the balance, with a $25 floor
- 3% of the balance, with a $25 floor
- a custom percentage and floor
Compare the results. Nothing else to enter. The calculator runs the minimum-only path and the faster options side by side.

What the results mean

First minimum payment: What the rule asks for this month.
Minimum-only time and interest: How long it takes, and how much interest you pay, if you pay only the minimum each month and add no new charges. The minimum shrinks as the balance shrinks, which is why this path is so long.
36-month payment: The fixed payment that pays off the balance in three years. Card statements show this figure next to the minimum payment warning.
First minimum kept fixed: What happens if you keep paying this month's minimum every month instead of letting it fall. A payment that stays the same while interest drops sends more to principal each month, so the payoff comes sooner.

Worked example

Take a $5,000 balance at 22.99% APR.

Under the interest plus 1% rule, the first minimum is $146.75. Paying only the minimum takes 19 years, 1 month and costs $8,339.56 in interest.

Under a 3% of balance rule, the first minimum is $152.87. Minimum-only payoff takes 17 years, 6 months, with $7,498.66 in interest.

Now a fixed $150 a month. The balance is gone in 4 years, 6 months, and the interest is $3,045.30. The 36-month payment is $193.52, with $1,966.84 in total interest.

What your statement is required to show

The Credit CARD Act of 2009 added repayment disclosures to Regulation Z. Each statement must show how long it would take to pay off the balance with only minimum payments, the total cost of doing that, and the monthly payment that pays it off in 36 months with its total cost. If the minimum-only path already takes three years or less, the 36-month line can be left off.

Issuers follow Appendix M1 for these estimates. It assumes you pay only the minimum, make no new purchases, and have no grace period. It allows a monthly or a daily rate, and an estimate counts as accurate if it is within two months of the true figure. So your statement and this calculator may differ slightly.

How we calculate this

Each month the calculator adds interest at the APR divided by 12, rounded to the cent. It then works out the minimum from the rule, using the balance after that month’s interest. If the balance is below the floor, the minimum is the full balance. The 36-month payment uses the standard loan formula. See the methodology page.

How credit card minimum payments work: the formulas and why they shrink.
Credit card payment calculator: payments for 12 to 60 months.
Credit card payoff calculator: the date for any fixed payment.

FAQ

How is a credit card minimum payment calculated?

Your card agreement sets the formula. Formulas include a percentage of the balance, or the month’s interest plus a percentage of the balance, with a dollar floor. A balance below the floor is due in full. Pick the matching rule above, or set a custom percentage and floor, to see your minimum.

How long does it take to pay off $5,000 with minimum payments?

At 22.99% APR under an interest plus 1% rule with a $25 floor, it takes 19 years, 1 month and costs $8,339.56 in interest. The exact figure depends on your rate and your card’s formula, and it assumes no new purchases. Enter your own numbers above.

What is the 36-month payment on my statement?

It is the fixed monthly payment that would pay off your current balance in three years if you make no new purchases. Federal rules require it on card statements unless an exemption applies. You do not have to pay it, but the CFPB notes that paying more than the minimum reduces your interest and gets the balance paid sooner.

Why does paying the minimum take so long?

The minimum is tied to the balance. Each month the balance drops a little, so next month’s minimum drops too, and most of each payment goes to interest. Keeping your payment at the first minimum, or any fixed amount above it, stops that shrinking and moves more money to principal every month.

Can a minimum payment be less than the interest?

It can under some rules, especially a flat percentage with a high APR. Then the balance never falls, and statements must say you would never pay it off at the minimum. An interest plus a percentage rule always covers the month’s interest, so the balance goes down, slowly, every month.