The Minimum Payment Trap

Credit card minimum payments are designed to keep you in debt for years. See the math behind the trap.

Credit Card Balance

Interest Rate (APR)

Minimum Payment Calculation

Minimum Payment %

Fixed Minimum Amount

Minimum Payment Floor

Banks usually won't let the minimum drop below $25-$35.

Time to Debt Free

15 Years

If you only pay the minimum.

Total Interest Paid

$8,200

That's 1.6x your original debt!

Pay a little more each month to save thousands.

Monthly Payment $150

New Time: 3 Years Savings: $5,000