Debt Payoff Calculator
List your credit cards and loans to see when you’ll be debt-free, and how much interest the avalanche or snowball method saves compared with paying only the minimums.
2026 rates · verified Oct 26, 2026
Debt-free in
1 year 5 months
$5,014.91 less interest than minimums only
| Monthly budget | $350.00 |
|---|---|
| Total interest | $758.32 |
| Debt-free by | April 2028 |
Payoff order
- Credit card: paid off in month 17
Card issuers usually charge interest daily, so real interest can differ slightly.
Your inputs
Calculated in your browser. Your numbers never leave your device.
Avalanche, snowball or minimums only
| Plan | Debt-free by | Time | Total interest |
|---|---|---|---|
| Avalanche | April 2028 | 1 year 5 months | $758.32 |
| Snowball | April 2028 | 1 year 5 months | $758.32 |
| Minimums only | March 2047 | 20 years 4 months | $5,773.23 |
- Avalanche
- Snowball
- Minimums only
Month-by-month table
| Month | Paid | Interest | Credit card | Total owed |
|---|---|---|---|---|
| 1 | $350.00 | $83.29 | $4,733.29 | $4,733.29 |
| 2 | $350.00 | $78.85 | $4,462.14 | $4,462.14 |
| 3 | $350.00 | $74.33 | $4,186.47 | $4,186.47 |
| 4 | $350.00 | $69.74 | $3,906.21 | $3,906.21 |
| 5 | $350.00 | $65.07 | $3,621.28 | $3,621.28 |
| 6 | $350.00 | $60.32 | $3,331.60 | $3,331.60 |
| 7 | $350.00 | $55.50 | $3,037.10 | $3,037.10 |
| 8 | $350.00 | $50.59 | $2,737.69 | $2,737.69 |
| 9 | $350.00 | $45.61 | $2,433.30 | $2,433.30 |
| 10 | $350.00 | $40.53 | $2,123.83 | $2,123.83 |
| 11 | $350.00 | $35.38 | $1,809.21 | $1,809.21 |
| 12 | $350.00 | $30.14 | $1,489.35 | $1,489.35 |
| 13 | $350.00 | $24.81 | $1,164.16 | $1,164.16 |
| 14 | $350.00 | $19.39 | $833.55 | $833.55 |
| 15 | $350.00 | $13.89 | $497.44 | $497.44 |
| 16 | $350.00 | $8.29 | $155.73 | $155.73 |
| 17 | $158.32 | $2.59 | $0.00 | $0.00 |
Debt
At this payment the balance never goes down.
Avalanche vs snowball
Both methods pay every minimum and put all the extra money on one debt at a time. They differ in which debt goes first. The avalanche targets the highest interest rate, which always saves the most interest. The snowball targets the smallest balance, which clears a whole debt sooner: a quick win that can keep you going.
Take three debts with $575.00 of minimums and $300 extra, a budget of $875.00 a month:
- Credit card: $5,000 at 19.99%, minimum 3% of the balance, at least $10
- Car loan: $12,000 at 7.5%, minimum $350 a month
- Line of credit: $3,000 at 9.5%, minimum $75 a month
| Plan | Paid off (month) | Months | Interest |
|---|---|---|---|
| Avalanche | credit card (month 13), line of credit (month 17), car loan (month 26) | 26 | $2,132.70 |
| Snowball | line of credit (month 9), credit card (month 18), car loan (month 26) | 26 | $2,403.76 |
| No extra ($575.00 budget) | car loan (month 39), credit card (month 42), line of credit (month 43) | 43 | $4,421.88 |
Both plans finish in month 26, but the avalanche costs $271.06 less interest. The snowball’s first win comes sooner: it clears the line of credit in month 9, 4 months before the avalanche clears its first debt (the credit card, month 13). The avalanche doesn’t clear the line of credit until month 17. Even with no extra money, keeping the payments at $575.00 and rolling each paid-off minimum onto the next debt clears everything in 3 years 7 months.
Why minimum payments take so long
The Financial Consumer Agency of Canada’s example: $2,000 on a card at 18%. Paying $60 a month takes 3 years 11 months and costs $793.41 in interest. Paying $160 a month takes 1 year 2 months and $231.45 (FCAC rounds these to $793 and $231).
It’s worse when the minimum shrinks with the balance. A $5,000 card at 19.99% with a minimum of 3% (at least $10) starts at $150 a month, but the payment falls as the balance falls. Paying only the minimum takes 20 years 4 months and costs $5,773.23 in interest, more than the original balance.
How Canadian credit card minimums work
Your card agreement sets the minimum. FCAC says it’s usually either a flat amount (typically $10) plus interest and fees, or the higher of a dollar amount (typically $10) and a percentage of the balance (typically 3%). In Quebec, the minimum has been 5% since August 1, 2025. Federally regulated lenders must give an interest-free grace period of at least 21 days on new purchases when you pay the full balance, but once you carry a balance you pay interest until it’s paid in full.
Where to get help
If the payments are more than you can manage, talk to your lender early; they may be able to change the terms. The Financial Consumer Agency of Canada explains managing debt, including how to find a reputable credit counsellor. Non-profit credit counselling organizations can review your budget and the options for repaying what you owe, such as a debt management plan.
How this is calculated
- Each month, interest is added to each balance: balance × yearly rate ÷ 12, rounded to the cent.
- Every debt gets its minimum, or its whole balance if that’s less. A percentage minimum is worked out on the balance after interest, with the dollar floor.
- Your monthly budget is the starting minimums plus your extra amount, and it stays the same. What’s left after the minimums goes to the first unpaid debt in your strategy’s order, so a paid-off debt’s minimum rolls onto the next.
- “Minimums only” pays each debt its own minimum, with no extra and nothing rolled over.
What this calculator assumes
- Interest is charged monthly at the yearly rate ÷ 12. Card issuers usually charge interest daily, so real interest can differ slightly.
- No new purchases, fees or rate changes, and payments are made on time every month.
- The snowball orders debts by their starting balance.
- A plan that would take more than 100 years is shown as never paying off.
Frequently asked questions
Should I pay off debt or save?
It’s a trade-off between a sure return and a possible one. Paying down a card at 19.99% saves 19.99% a year with certainty, which few investments match, while a low-rate loan may cost less than savings could earn. Many people keep a small emergency fund first so a surprise bill doesn’t go back on the card. Compare your debts’ rates with what your savings earn after tax.
Does a balance transfer help?
It can lower the interest for a while, but check the details. Transfers usually carry a fee, the low rate ends after a set period, and FCAC notes that the grace period doesn’t apply to balance transfers, so interest can start right away. It helps most when the balance can be paid off before the promotional rate ends.
What about a consolidation loan?
A consolidation loan replaces several debts with one payment, ideally at a lower rate. Enter it here as one debt with a fixed payment to compare it with your current plan. The saving disappears if the cards fill up again, and a longer term can mean more interest overall even at a lower rate.
Why does the minimum payment change every month?
Most card minimums are a percentage of the balance, typically 3% with a $10 floor, so as the balance falls, so does the minimum. That’s why paying only the minimum takes so long: the payment shrinks along with the debt. A fixed payment, even the same amount as the first minimum, clears it far sooner.
Rates for tax year 2026, verified · Page updated
Sources
- FCAC – Paying off your credit card · checked
- FCAC – How credit cards work · checked