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Credit Card Payoff Calculator: Snowball vs Avalanche

Use our free credit card payoff calculator to find out how long to pay off credit card debt and how much interest you'll pay. This debt payoff calculator supports multiple cards and compares the snowball (smallest balance first) vs avalanche (highest APR first) methods.

See how extra payments can dramatically reduce your payoff time and total interest. Our credit card payoff calculator with extra payments shows month-by-month projections so you can visualize your path to becoming debt-free.

The average American has over $6,500 in credit card debt at interest rates averaging 20%+ APR. Making only minimum payments can take 15-20+ years to pay off. Learn strategies below to escape the minimum payment trap.

Your Credit Cards

$5,000
Total Balance
23.0%
Avg APR
$100
Min Payment

Payment Strategy

Minimum required: $100

Additional amount above budget

Payoff Results

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Enter your card details to see payoff plan

Snowball vs. Avalanche Method

❄️ Debt Snowball

Pay off the smallest balance first, regardless of interest rate. When that card is paid off, roll that payment to the next smallest balance.

Pros:

  • Quick wins boost motivation
  • Psychological momentum
  • Easier to stick with long-term

Cons:

  • May pay more total interest
  • Not mathematically optimal

🏔️ Debt Avalanche

Pay off the highest APR first. This minimizes total interest paid and is mathematically optimal.

Pros:

  • Saves the most money
  • Mathematically optimal
  • Faster overall payoff

Cons:

  • First payoff may take longer
  • Requires more discipline

Bottom line: Avalanche saves more money, but Snowball can be more motivating. The best method is the one you'll actually stick with. Both are vastly better than minimum payments only.

The Minimum Payment Trap

Credit card companies set minimum payments intentionally low — typically 1-3% of your balance or $25, whichever is greater. This keeps you in debt longer and maximizes their interest income.

Example: $5,000 balance at 22% APR

  • • Minimum payment (~2%): $100/month
  • • Time to pay off: 9+ years
  • • Total interest paid: $4,311
  • • Total paid: $9,311 (nearly double!)

Same debt with $300/month payment

  • • Fixed payment: $300/month
  • • Time to pay off: 20 months
  • • Total interest paid: $956
  • • Total paid: $5,956
  • Savings: $3,355 in interest!

Real-World Example: Meet Lisa

Lisa has 3 credit cards with a combined balance of $12,000:

Card 1 (Store Card)

Balance: $2,000

APR: 26.99%

Card 2 (Visa)

Balance: $5,500

APR: 19.99%

Card 3 (Mastercard)

Balance: $4,500

APR: 22.99%

Lisa's Options (paying $500/month):

Avalanche Method (Highest APR First)

Order: Card 1 → Card 3 → Card 2

Time: 29 months

Total interest: $2,847

Snowball Method (Lowest Balance First)

Order: Card 1 → Card 3 → Card 2

Time: 29 months

Total interest: $2,912

Lisa's choice: She chose Avalanche to save $65 more in interest. However, both methods get her debt-free in 29 months — a huge improvement over 8+ years with minimum payments!

Balance Transfer Strategy

A balance transfer moves high-interest debt to a new card with a 0% introductory APR (typically 12-21 months). This can save significant interest if you can pay off the balance during the promotional period.

When Balance Transfer Makes Sense

  • • You have good credit (670+)
  • • You can pay off during 0% period
  • • Transfer fee (3-5%) is less than interest saved
  • • You won't add new debt

Balance Transfer Risks

  • • Deferred interest if not paid in full
  • • High APR after promo period (often 20%+)
  • • Temptation to use old cards again
  • • Transfer fees reduce savings

Credit Card Debt in America (2025)

$1.14T
Total US Credit Card Debt
$6,501
Average Balance Per Person
20.7%
Average Credit Card APR
46%
Cardholders Carrying Balance

Sources: Federal Reserve, TransUnion, Bankrate (2024-2025 data)

5 Tips to Pay Off Credit Cards Faster

1.

Pay More Than the Minimum

Even an extra $50-100/month can cut years off your payoff time and save thousands in interest.

2.

Use Windfalls Wisely

Tax refunds, bonuses, and gifts can make a huge dent in your balance. Commit to putting at least 50% toward debt.

3.

Stop Using the Cards

Switch to cash or debit while paying down debt. Adding new charges undoes your progress.

4.

Negotiate a Lower APR

Call your card issuer and ask for a rate reduction. If you have good payment history, you have leverage.

5.

Consider a Balance Transfer

A 0% APR balance transfer can save significant interest if you can pay off the balance during the promotional period.

Disclaimer

This credit card payoff calculator provides estimates for educational purposes only. Actual results may vary based on payment timing, interest calculation methods, fees, and other factors. This is not financial advice. Consider consulting with a credit counselor or financial advisor for personalized debt management strategies.

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