Credit Card Amortization Calculator

Turn card balance into a clear payoff plan. Compare payment strategies and see monthly savings. Stay consistent, cut interest, and reach zero faster now.

Calculator Inputs

Enter your statement balance.
Typical cards range 10–30%.
Daily uses actual days per month.
Schedule begins on this month.
Pick how your payment is computed.
Used only for fixed mode.
Percent of statement balance.
Typical floor amount on cards.
Used only for target mode.
Set to 0 for a true payoff plan.
Adds to your selected payment mode.
Prevents endless schedules.
Choose a symbol for display.
Used only for custom currency.
Results appear above after you calculate.

Example Data Table

Sample only. Change inputs to match your card.

Month Period Starting Balance New Charges Interest Payment Ending Balance
1Mar 2026$3,500.00$0.00$71.69$200.00$3,371.69
2Apr 2026$3,371.69$0.00$67.89$200.00$3,239.58
3May 2026$3,239.58$0.00$65.22$200.00$3,104.80

Example assumes 24.99% APR and a $200 fixed payment.

Formula Used

  • Monthly rate: r = APR / 12.
  • Daily method (approx): r = (1 + APR/365)days − 1.
  • Interest estimate: Interest = (Start + 0.5×Charges) × r.
  • Statement balance: Statement = Start + Charges + Interest.
  • Minimum rule: Payment = max(Percent×Statement, MinimumDollar).
  • Target months payment: P = B×r / (1 − (1+r)−n), where n is months.

Assumption: new charges are treated as mid-cycle spending, so they accrue about half a month of interest. Real statements vary by issuer and posting dates.

How to Use This Calculator

  1. Enter your current balance and APR from your statement.
  2. Choose a payment mode: minimum, fixed, or payoff target.
  3. If you plan to keep spending, add monthly new charges.
  4. Use extra payment to test faster payoff scenarios.
  5. Press Calculate and review the summary and schedule.
  6. Download the schedule as CSV or PDF for tracking.

Tip: set monthly new charges to 0 to simulate a true payoff plan.

Payment Behavior and Payoff Time

Payoff speed is driven by how much principal you retire each statement cycle. For a $3,500 balance at 24.99% APR, a $200 fixed payment can reduce the balance steadily, while a minimum-payment rule may stretch repayment for years. This calculator compares approaches side by side, so you can see the trade‑off between short-term cash flow and long-term interest cost. A faster payoff also improves utilization which can support healthier credit behavior over time for households.

APR Sensitivity and Compounding

APR changes compound quickly. Raising APR from 18% to 27% increases the effective monthly rate and can add hundreds of dollars of interest on mid-sized balances. The daily method approximates compounding using actual days in each month, while the monthly method uses APR/12. The schedule shows the first-period effective rate to make the difference visible.

Impact of New Charges

Continuing to spend during payoff is the biggest reason balances stall. If you add $150 of new charges each month, the statement balance may not decline even with a consistent payment. The model treats new charges as mid‑cycle spending, so they accrue roughly half a month of interest on average. Setting charges to zero produces a clean payoff plan.

Minimum Payments and Negative Amortization

Minimum payments are usually defined as a percentage of the statement with a dollar floor, such as 2% or $25. At high APRs, that minimum can be close to the interest-only amount. When new charges persist or payments are too low, the balance can grow, a pattern often called negative amortization. The calculator flags early balance growth so you can adjust faster.

Using Extra Payments Strategically

Even small extra payments have an outsized impact because they reduce future interest. Adding $50 per month to a fixed payment typically shortens payoff by several months and lowers total interest materially. If you choose a payoff target, the calculator estimates a required base payment using the standard amortization formula, then lets you layer extra payments on top.

Exporting and Auditing the Schedule

A good plan is trackable. The CSV export supports budgeting tools and spreadsheets, while the PDF export is useful for printing or sharing with a partner. Each row reports starting balance, charges, interest, payment, ending balance, and cumulative totals. Use the chart to spot plateaus, then iterate: lower charges, raise payment, or extend the simulation window.

FAQs

1) Which payment mode is best for planning?

Use fixed mode to test a steady payment, minimum mode to mirror many statements, and target mode to calculate a payment that finishes within a chosen month count.

2) Why do daily and monthly interest results differ?

Daily compounding uses the number of days in each month to approximate statement interest. The monthly method uses APR/12. Over long schedules, small rate differences can meaningfully change total interest.

3) What happens if I keep adding monthly charges?

New charges increase the statement balance and create additional interest. If charges are large relative to your payment, payoff can stall or reverse. Try lowering charges or increasing payments until the balance trends down.

4) Can I model a promotional APR or balance transfer?

You can approximate a promotion by entering the lower APR for the full run. If your rate changes later, rerun the calculator from the new balance using the new APR and the remaining months you want.

5) Why didn’t the schedule reach a zero balance?

This typically occurs when payments are too low, new charges are too high, or the simulation limit is short. Increase payment, reduce charges, or raise the maximum months to see whether payoff becomes possible.

6) How accurate is the interest estimate?

It is an educational estimate. The model assumes mid-cycle spending for new charges and uses an effective monthly rate. Issuer rules, posting dates, grace periods, and fees can change real outcomes.

Disclaimer: estimates are educational and may differ from issuer calculations.

Related Calculators

Important Note: All the Calculators listed in this site are for educational purpose only and we do not guarentee the accuracy of results. Please do consult with other sources as well.