Loan Payoff Calculator

Conquering debt doesn’t have to feel overwhelming. Our Debt Payoff Calculator equips you with a practical, step-by-step plan to eliminate balances across credit cards, student loans, car loans, and more. Using the Debt Snowball Method, this tool helps you identify which debts to tackle first and how long it will take to pay them off, based on your unique inputs.

Existing Debts
Debt #1
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Debt #2
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Debt #3
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Add New Debt
Extra Payments
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Calculate
Monthly payment too low to cover interest.
Debt Avalanche
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Total Interest -
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Debt Snowball
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Debt Payoff Calculator

Enter your loan balances, interest rates, and monthly payments, and the calculator will generate a customized debt payoff plan. It provides a breakdown of:

  • Total time to pay off all debts
  • Monthly payment schedule
  • Total interest paid
  • How the snowball method accelerates debt elimination

This tool simplifies your debt repayment journey.

How to Use the Debt Reduction Calculator

Getting started with the calculator is quick and straightforward:

List each debt

by name, balance, minimum monthly payment, and interest rate.

Add extra payments (optional)

to see how additional funds shorten your debt timeline.

Select “Fixed Total Payment”

if you want to keep paying the same amount monthly and accelerate progress.

Click “Calculate”

to view your personalized repayment plan.

You’ll see a full payoff timeline, interest savings, and a month-by-month breakdown.

What Is the Debt Snowball Method?

The Debt Snowball Method is a behavioral repayment strategy that prioritizes your smallest balances first, giving you fast wins and motivation to keep going. Here’s the general approach:

Order your debts by balance, from smallest to largest.
Make minimum payments on all debts except the smallest.
Pay as much as possible toward that smallest debt.
Once it’s gone, roll that freed-up payment into the next smallest debt.
Repeat the cycle until you’re completely debt-free.

This method is particularly effective for people who thrive on visible progress. Prefer to minimize interest? The calculator also lets you simulate the Debt Avalanche Method, which focuses on the highest interest rate first.

Debt Snowball vs. Debt Avalanche:

  • Snowball: Prioritizes smallest balances for faster psychological wins.
  • Avalanche: Pays off the highest-interest debt first, saving more on interest.

Our Debt Payoff Calculator lets you compare both methods so you can choose the best repayment strategy for your financial situation.

Example of Loan Payoff Calculation

Let’s say you enter the following:

  • Credit Card – $2,000 balance, $80/month, 18% interest
  • Car Loan – $7,500 balance, $220/month, 5% interest
  • Personal Loan – $12,000 balance, $150/month, 7% interest
  • Extra Monthly Payment – $100

Using the Snowball Method, the tool would:

  • Focus your extra payments on the Credit Card first.
  • Once it’s paid off, your $80 minimum + $100 extra = $180 toward the Car Loan.
  • After that, your $180 + $220 = $400 toward the Personal Loan.
  • You’ll see a faster debt-free date and save hundreds in interest along the way.

With the Fixed Total Payment option enabled, your total monthly debt payment stays the same, meaning every time you pay off a balance, the payment snowballs into your remaining debts, speeding up repayment.

More Handy Personal Finance Tools

If you’re working toward financial freedom, these calculators can help: