Credit Card Minimum Payment Calculator

Paying only the minimum keeps your account in good standing, but it dramatically extends your payoff timeline. Because your payment shrinks as your balance goes down, more of your money goes toward interest over time.

Yes. Even if you pay on time, interest continues to build on your remaining balance. With high credit card rates, this can significantly increase the total amount you pay back.

Most lenders calculate it as a small percentage of your current balance – often around 1% – 4% – plus any fees or interest owed. Your minimum will typically decrease as your balance gets smaller.

Your payoff timeline depends on your balance, interest rate, and how your issuer calculates minimum payments. Since minimums typically shrink as balances decline, making only the minimum can extend payoff time.

Yes. Paying more reduces your balance faster, cuts down on interest, and shortens your payoff timeline. Even small extra payments can make a meaningful difference.

Making minimum payments on time generally keeps your account in good standing. However, carrying a high balance (especially if it’s close to your limit) can increase your credit utilization ratio, which may negatively impact your credit score.

Missing a payment can lead to late fees, a higher penalty interest rate, and possible credit score damage if the payment is more than 30 days late. Making at least the minimum on time helps you avoid these consequences.