Calculator
Debt Payoff Calculator
When you owe money across several cards and loans, the first step is to see the whole picture: how long it takes to become debt-free at a fixed monthly payment, and how much interest you pay getting there. This calculator treats your combined balances as one consolidated debt at an average rate. It also helps you choose a strategy — the snowball method (clear the smallest balance first for quick wins and motivation) or the avalanche method (clear the highest-rate debt first to pay the least interest). Enter your total debt, average APR, and monthly payment to get started.
Combined balance across all your loans and cards.
Rough weighted average rate across your debts.
The total fixed amount you put toward debt each month.
How your payments clear the debt
- Principal
- Interest
Treats all debts as one balance at a single average APR, which is an approximation — your real payoff depends on the mix of rates and the order you clear them. If your payment is less than or equal to one month of interest, the balance never reduces and the result shows 0. Excludes fees, penalties, and GST on charges.
What your result means
- The avalanche method (highest rate first) saves the most money; the snowball method (smallest balance first) gives quicker wins to keep you motivated.
- While clearing debt, do not take on new borrowing — otherwise you are refilling the bucket as you empty it.
- Keep a small emergency buffer even while repaying, so a surprise expense does not push you back onto a credit card.
How to use this calculator
- Add up every balance you owe — cards, personal loans, BNPL, family loans — and enter the total.
- Estimate a rough weighted-average APR across those debts (weight each rate by its balance).
- Enter the total amount you can put toward debt each month across all of them.
- Read the time to be debt-free and the total interest to set a realistic target date.
- Pick a method: list your debts smallest-to-largest for snowball, or highest-to-lowest APR for avalanche.
The formula
Months n = ln[ M ÷ (M − D × i) ] ÷ ln(1 + i), where D = total debt, i = monthly interest rate (average APR ÷ 12 ÷ 100), and M = monthly payment. Valid only when M > D × i. If i = 0, then n = D ÷ M. Total repaid = M × n, and total interest = (M × n) − D.
Worked example
Say you owe ₹3,00,000 across a card and a personal loan at an 18% average APR, and you can put ₹15,000 a month toward it: i = 0.015/month. The combined debt clears in about 23 months and costs roughly ₹46,000 in interest. Now apply a strategy. With avalanche you funnel that ₹15,000 at the highest-rate debt first (say a 42% card) while paying minimums on the rest — you clear the most expensive interest soonest, so total interest is lower. With snowball you attack the smallest balance first; you may pay a little more interest overall, but knocking out a full debt early gives momentum that keeps many people on track.
When to use it
- Getting a single debt-free date when you owe across several cards and loans.
- Choosing between the snowball method (motivation) and the avalanche method (lowest cost).
- Seeing how much sooner you finish if you add a bonus or raise to the monthly payment.
- Deciding whether to consolidate high-rate debts into one cheaper loan before paying down.