The Credit Card Minimum Payment Calculator shows the real cost of paying only the minimum: how many years a balance lingers, and how much interest you hand over along the way.
How the minimum is modelled
Each month the calculator:
- Adds interest:
balance × (APR ÷ 12). - Sets the payment to the larger of your percentage-of-balance figure and your fixed floor.
- Subtracts the payment from the balance.
monthly payment = max(floor, balance × minimum %)
Because a percentage-based minimum shrinks as the balance falls, progress slows dramatically near the end — the classic minimum-payment trap.
Why it costs so much
| Balance | APR | Minimum rule | Time to clear | Interest paid |
|---|---|---|---|---|
| 3,000 | 22% | 2% / 25 floor | ~17+ years | thousands |
| 3,000 | 22% | Fixed 150/mo | ~2 years | a few hundred |
The exact numbers depend on your inputs, but the pattern is universal: switching from a shrinking minimum to a fixed monthly payment collapses both the time and the interest. If the minimum is ever smaller than the monthly interest, the balance grows and the card is never paid off — the tool flags this case.