Credit Compound

Interest & Payoff Calculator

Compound interest is the engine of this whole industry, and on a carried balance it runs against you. Put in your real numbers and see the cost per day, the payoff date, and what an extra $100 a month buys back.

This balance costs you

$110/mo

$4 every day in interest at 22% APR, before any principal moves.

Your plan: $250/mo

2 yr 8 mo

$1,979 total interest. $7,979 paid in all.

Add $100/mo: $350

1 yr 9 mo

$1,269 interest. Saves $710 and 11 months.

Minimum payments only

20 yr 9 mo

$9,933 in interest, on a $6,000 balance. This is the trap the issuer is hoping for.

The way out

Rule one of this entire site: pay in full, every month, and the APR becomes a number that never touches you. If you are carrying a balance today, a 0% balance transfer card or an aggressive fixed payment beats earning any reward. See the math behind the averages on our Facts & Data page, then start at Credit Cards 101.