How do I pay off my debt faster?

Increase your monthly payment, pay off the highest-interest debt first (the avalanche method) and avoid new debt. Even a small extra payment shortens the time and saves a significant amount of interest.

Why is credit card debt dangerous?

Credit card interest is often 15–25%. If you only pay the minimum, most of it goes to interest and the debt barely shrinks. Always pay more than the minimum.

What is the avalanche method?

You first pay off the highest-interest debt while making minimum payments on the others. Once it's paid, you move that payment to the next debt. Mathematically this saves the most interest.

Is it worth consolidating debts?

Consolidating several high-interest debts into one lower-interest loan can save money and simplify payments. Compare the total costs and be careful not to extend the repayment period too much.

Debt Payoff Calculator 2026

Calculate how fast you pay off debt with a monthly payment and total interest. Free debt payoff calculator.

Debt amount: 5,000 €

Annual interest rate: 12.00 %

Monthly payment: 200 €

2.4 in years

Debt paid off

Repayment time	29 months
You pay in total	5,782 €
Total interest	782 €

ℹ️ If the monthly payment is smaller than the accruing interest, the debt will never decrease — increase the payment. Pay off the highest-interest debt (credit card) first. Consolidating loans can save money.

The debt payoff calculator shows how quickly you can clear your debt at a chosen monthly payment and how much interest piles up along the way. It works well for consumer loans, instalment plans, and credit card balances.

How the calculator works and what it’s for▾

How payoff is calculated

The tool derives a monthly interest rate from the annual rate, subtracts the interest from your monthly payment first, and uses the rest to reduce the principal. It repeats this month after month until the balance reaches zero.

For example, a 5,000 debt at 12 percent annual interest with a 200 monthly payment clears in a little over two years, with several hundred euros of interest accruing.

What you enter and what you get

You enter the total amount of debt, the annual interest rate as a percentage, and the amount you can afford to pay each month.

You get the payoff time in months, the total you will pay, and a separate figure for total interest, which makes the true cost of the credit clear.

Tips for paying off faster

Pay off the highest-interest debt, such as a credit card, first, because it generates the most interest. Even a small increase in the monthly payment shortens the term and saves a notable amount of interest.

Consolidating several loans into one can lower the average rate and simplify repayment.

Important warning

If the monthly payment is smaller than the interest that accrues, the debt never shrinks and instead grows. In that case you must raise the payment so that the repayment starts to reduce the principal.

🔄 Reviewed June 2026