Credit card payoff
How to pay off $7,500 of credit card debt at 29% APR
Balance over time
Payment to be debt-free by a date
| Debt-free in | Monthly payment | Total interest | Total paid |
|---|---|---|---|
| 1 year | $728 | $1,229 | $8,729 |
| 2 years | $416 | $2,468 | $9,968 |
| 3 years | $315 | $3,800 | $11,300 |
| 4 years | $266 | $5,241 | $12,741 |
| 5 years | $239 | $6,716 | $14,216 |
What each monthly payment gets you
| Monthly payment | Time to pay off | Total interest |
|---|---|---|
| Minimum (starts at $256) | 23 years, 8 months | $16,911 |
| $225 | 5 years, 9 months | $7,931 |
| $300 | 3 years, 3 months | $4,144 |
| $375 | 2 years, 4 months | $2,871 |
| $575 | 1 year, 4 months | $1,619 |
| $750 | 1 year | $1,191 |
Minimum assumed as 1% of the balance plus that month's interest, at least $25. It shrinks as the balance shrinks, which is why it takes so long.
Options that could lower the cost
0% balance transfer
Moving $7,500 to a card with 0% for 18 months and a 3% fee ($225), then paying the same $315 a month, could clear it in 2 years, 2 months for about $434 in fee plus interest, compared with $3,800 staying at 29%. That assumes you qualify, make no new charges, and the rate after the promo is the same 29%.
Consolidation loan
For illustration, a 36-month loan at 12% APR on $7,500 would be about $250 a month with $1,462 of interest, versus $3,800 over the same 3 years at 29%. Real loan rates depend on your credit and may include origination fees.
Pay a fixed amount, not the minimum
Choosing a fixed payment and keeping it as the balance falls is the simplest change. Try your exact numbers in the Credit Card Payoff Calculator, or plan several cards with the Debt Avalanche Calculator.
This tool provides educational estimates only and is not financial advice. Estimated scores are not your actual FICO® or VantageScore®. Not affiliated with Experian, Equifax, or TransUnion.
Same balance, other APRs
Same APR, other balances
Frequently asked questions
How much interest does $7,500 at 29% APR cost per month?
About $181 in the first month (29% divided by 12, times the balance). That amount shrinks as the balance goes down.
What payment pays off $7,500 in 3 years?
About $315 a month at 29% APR, with roughly $3,800 of interest in total, assuming no new charges.
How long does it take with only minimum payments?
With a minimum of 1% of the balance plus interest (at least $25), it could take 23 years, 8 months and cost about $16,911 in interest. Your card's minimum formula may differ.
Is a balance transfer worth it here?
With a 3% fee and 0% for 18 months, paying $315 a month could cost about $434 (fee plus interest) versus $3,800 staying at 29%. It only helps if you qualify and avoid new charges.