How to Determine How Long to Pay off Your Credit Card

The Federal Reserve Board announced new rules for credit card companies in February 2010, making it easy for you to determine how long it will take for you to pay off your credit card. The disclosure could inspire you to make more than the minimum payment each month, resulting in an early payoff of your credit card and hundreds or even thousands of dollars in savings on finance charges. One way to pay the card off early is to switch to biweekly payments. That will result in 26 payments over a year instead of 12 if you pay monthly.

Instructions

1

Open your credit card statement or access it online by visiting the website for your card company.

2

Read the first page of the statement to find specific payoff information for your account. Note how long it will take to pay off the account if you make only the minimum payment. Also note the specific monthly payment needed to pay your account off in three years. The payoff information is calculated with the assumption that you will make all your payments on time and will not add additional charges to the account.

3

Call your credit card company's customer service if you would like other payoff information, such as the required monthly payment necessary for paying the card off in a year or six months.