Credit Card Calculator Find Your Way to Financial Freedom

Credit Card Calculator Find Your Way to Financial Freedom calculator can be used to estimate the total interest paid and the total amount repaid on a credit card balance over a specified period.

Input Parameters

Calculation Results

Calculation Formula

Total Interest Paid = (Balance × Annual Interest Rate / 12) × (1 - (1 + Annual Interest Rate / 12)^-Repayment Period) / Monthly Payment

Where:
Balance = Initial credit card balance
Annual Interest Rate = Annual interest rate as a decimal
Monthly Payment = Monthly payment amount
Repayment Period = Number of months to repay the balance

Total Interest Paid:

$0.00

Total Amount Repaid:

$0.00

Credit Card Calculator Find Your Way to Financial Freedom Calculator Usage Guide

Learn how to use the Credit Card Calculator Find Your Way to Financial Freedom calculator and its working principles

How to Use the Calculator

  1. Enter the initial credit card balance in the "Credit Card Balance" field.
  2. Enter the annual interest rate in the "Annual Interest Rate" field. For example, if the interest rate is 18%, enter 18.
  3. Enter the monthly payment amount in the "Monthly Payment" field.
  4. Enter the number of months you plan to repay the balance in the "Repayment Period" field.
  5. Click the "Calculate" button to see the total interest paid and the total amount repaid.
  6. Click the "Reset" button to clear all fields and start over.

Understanding the Results

The calculator provides two key results:

  • Total Interest Paid: The total amount of interest you will pay over the repayment period.
  • Total Amount Repaid: The total amount you will pay back, including both the original balance and the interest.

This calculator helps you understand the true cost of carrying a credit card balance and can be used to plan your repayment strategy effectively.