MoneyCalc

Debt Payoff Time Calculator

Enter your debt balance, rate, and payment to see exactly when you'll be debt-free.

Before you calculate

A payment must exceed monthly interest to reduce the balance. No new borrowing, missed payments or rate changes are assumed.

How Debt Payoff Time Is Calculated

Each month, interest accrues on the remaining balance. Your payment covers that interest first; the rest reduces principal. This continues until the balance reaches zero.

n = -ln(1 − (r × P) / M) / ln(1 + r)

Example Scenarios

Increasing your payment accelerates payoff dramatically

An $8,000 debt at 12% APR paid at $250/month takes about 38 months. Bumping to $350/month cuts that to about 26 months—saving over $600 in interest.

High interest rates demand larger payments

At 24% APR, $8,000 at $250/month takes nearly 57 months and costs over $6,100 in interest. Refinancing to 10% at the same payment finishes in 36 months and saves ~$3,500.

Methodology & Assumptions

Calculations use the standard amortization formula with a fixed monthly payment. Results assume no missed payments and a constant interest rate throughout the payoff period.

Sources & calculation notes

Maintained by MoneyCalc. Results are estimates based on the inputs and assumptions shown, not personalized financial advice or a lender quote. Default rates are examples unless a specific tax year or official table is identified.

References explain the underlying concepts or rules. They do not endorse or independently certify this implementation.

Calculations run in your browser. Some tools retain settings on this device. Displayed rounding can produce small differences from a statement or contract.