Credit cards make it easy to accumulate a balance. A simple swipe at the grocery store, a quick dip at a gas station, or just a click on a saved card when shopping online and your purchase is complete. Except that you are confronted with terms and conditions that can be dizzying to wrap your head around when you get the bill. What felt like the easier way to pay actually comes with a financial contract. If you don’t figure out what all the terms mean, it could end up costing more money than you expected. Even if you’re careful about paying your credit card bill every month, a sudden expense, like a surprise car repair or medical bill, can change everything.
When you finally get a chance to pay down your credit card debt, it isn’t always clear what the best payment plan is. Just how much more will you pay overtime if you make smaller payments? Would it be worth it to just really tighten the budget for a few years and pay it down faster?
To help you better understand how much you will have to pay back over time, we put together a simple calculator. You can use this calculator to show you how much interest you will end up paying if you make only the minimum required payment on your credit card debt. It will also tell you how many minimum payments you will need to make before your balance is paid off.
- Have your credit card bill handy.
- In the first box, enter the total amount that you owe for that credit card.
- In the second box, enter the APR for that line of credit.*
*If you have a card with an introductory APR that changes after some time, this calculator will not be accurate. You can contact one of our counselors for more information, and to discuss a debt management plan.
- Now look for the line on your credit card disclosure statement for something like: “your minimum payment will be X% of the balance or $Y, whichever is higher.”
- The minimum payment percentage (X%) goes in the third box below.
- The minimum payment dollar amount ($Y) goes in the fourth box. If you want to see the effect of paying more than the minimum monthly, put in a higher amount.
- Now click “Compute.”
The results will show how much you will pay just in interest, how many payments you will make, and how many years it will take to pay off the debt.
Are you feeling overwhelmed by your credit card debt? ACCC’s Debt Management Plan may be your answer!
- Is designed to fit your budget
- Will reduce your interest rate on most credit card accounts
- Will reduce or eliminate the penalty fees
Are you still not sure if a Debt Management Program is right for you? See what others are saying.
Everything was clear! I never had any trouble contacting staff, and everything went as planned. I am so thankful for the assistance of ACCC. Everything was explained clearly, the payments set were manageable, and the cost of the program makes it affordable to all who are in the same situation as I was. Its non-profit status helps me know that all of the money and efforts go to support people who need them, like me!
– Beverly from AZ
I really appreciate all that your company has done for me with my debt management. Your professionalism has been outstanding and I can’t say enough about the help you have given me. I am currently debt free and have been so since the day I completed your program. I would be more than happy to recommend your company to anyone with a similar issue as me. Thanks again for all that you do and have a wonderful day.
– Justin from FL
I’m very pleased to have lower interest rates and see an end to this credit game. Since I’ve joined the debt management program I’ve made big improvements on how I manage my money. I really like your company. It has made paying off my credit cards a reality. I really liked the counselor that received my first call; he was really good and informative. My counselor changed me for the better.
– Marjorie from TX
The testimonials provided herein are unsolicited comments from clients, based upon their individual needs, concerns, and circumstances. These comments are provided for informational purposes only and should not be construed as a guarantee of similar results or experiences, as each individual’s circumstances will vary. Client comments are included for informational purposes only.