Debt Payoff Calculator

The most effective strategies are: (1) Pay more than the minimum — even an extra $50–$100/month makes a significant difference. (2) Use the debt avalanche method — focus extra payments on the highest-rate debt first while making minimums on everything else. (3) Consider balance transfer cards with 0% intro APR to pause interest for 12–21 months. (4) Pick up side income or cut expenses temporarily to throw extra money at debt.

Credit card minimum payments are typically 1%–3% of the balance plus interest. On a $10,000 balance at 18% APR, the minimum might be $200/month, but you would take over 30 years to pay it off and pay more than $18,000 in interest. By increasing to $300/month, you cut the payoff time to about 44 months and total interest to roughly $3,100. Always try to pay well above the minimum.

The debt avalanche method (paying off highest-interest debt first) saves the most money mathematically. The debt snowball method (paying off smallest balances first) provides psychological wins that help some people stay motivated. Both work — the best method is the one you will stick with. If you need early wins to stay on track, use the snowball. If you want to minimize total interest paid, use the avalanche.