This chart illustrates how long it would take you to pay off typical credit card balances if you only make the minimum monthly payment. This example assumes a 2.5% minimum percentage payment, and an absolute minimum payment requirement of $10.00 per month at an interest rate of 17%.

AMOUNT OWED

TIME REQUIRED TO PAY OFF DEBT

TOTAL INTEREST EXPENSE

$ 1,000.00

12 years

$ 979.00

$ 5,000.00

24 1/3 years

$ 6,210.00

$10,000.00

29 years

$12,745.00

CREDIT CARD COMPANIES DON’T WANT YOU TO KNOW THIS INFORMATION!

Credit card companies want you to continue to use your credit cards and make minimum payments. This is how they make their money.