Credit Card Repayment Calculator UK
Find out how long it will take to clear your credit card balance and how much interest you will pay with our free UK repayment calculator. Enter your outstanding balance, APR and the amount you plan to pay each month. The calculator shows the number of months to clear the debt, total interest paid and total amount repaid so you can see the true cost of your credit card borrowing.
Credit card interest rates in the UK typically range from 18% to 30% APR, making them one of the most expensive forms of borrowing. Paying only the minimum each month can mean your debt takes decades to clear and costs thousands in interest. Even a small increase in monthly payments can dramatically reduce the time and cost. This calculator helps you experiment with different payment amounts to find a realistic repayment plan that fits your budget and gets you debt-free sooner.
The True Cost of Credit Card Debt
Credit cards charge interest on a monthly compound basis, which means interest is added to your balance each month and you then pay interest on that interest the following month. A £3,000 balance at 22.9% APR with £100 monthly payments takes 41 months to clear and costs £1,056 in total interest. Paying only the minimum of £25 per month would take over 20 years and cost more than £4,000 in interest alone. These figures illustrate why paying as much as you can each month is so important.
If you are struggling with credit card debt, free help is available from organisations like StepChange and Citizens Advice. The GOV.UK debt options page explains your rights and the support available, including debt management plans and breathing space schemes.
Strategies to Clear Credit Card Debt Faster
The most effective strategy is simply to pay more than the minimum each month. Even an extra £20 to £50 can cut years off your repayment timeline. Balance transfer cards offering 0% interest for 12 to 30 months let you pay down the principal without interest accumulating, though you will typically pay a 1% to 3% transfer fee. Always set a calendar reminder before the promotional period ends, as the rate reverts to the standard APR, which is usually 20% or higher.
If you have multiple debts, consider using our debt payoff planner to compare the avalanche method (paying highest interest first) with the snowball method (paying smallest balance first). For a broader view of your finances, the compound interest calculator shows how the money you free up from debt repayment could grow if invested instead.
Understanding APR vs Monthly Interest Rate
APR (Annual Percentage Rate) is the yearly interest rate charged on your balance. To find the monthly rate, divide the APR by 12. A card with 22.9% APR charges approximately 1.91% per month on the outstanding balance. This means a £3,000 balance accrues around £57 in interest in the first month alone. Credit card companies are required by law to display the APR prominently, making it the easiest way to compare the cost of different cards.
Typically the greater of £25 or 1% of the balance plus that month's interest. Paying only this means most goes towards interest and it can take decades to clear.
Your APR divided by 12 gives the monthly rate. Each month interest is charged on the outstanding balance. A 22% APR means roughly 1.83% per month.
Yes, significantly. Even a small increase can save hundreds or thousands in interest and clear your debt years sooner.
A 0% balance transfer card gives you 12 to 30 months interest-free. You pay a 1% to 3% fee. Make sure you clear the balance before the promotional period ends.
Your balance grows each month rather than shrinking. Always pay at least the monthly interest, and ideally significantly more.
This calculator provides estimates for guidance only. Results assume a fixed monthly payment and constant APR. This is not financial advice. If you are struggling with debt, free help is available from StepChange, Citizens Advice and National Debtline. For regulated financial advice, speak to a qualified adviser.