The Minimum Payment Trap

Let's say you have a $5,000 credit card balance at 22% APR. Not unusual, right? The minimum payment might be around $100 per month. Seems manageable. You can handle that.

But here's what they don't print in big letters: at minimum payments only, it will take you about 9 years to pay off that balance. And you'll pay roughly $6,000 in interest.

Why This Happens

Credit card minimum payments are usually calculated as a percentage of your balance, often 1-2%. As your balance goes down, so does your minimum payment. This keeps you paying forever.

Breaking the Cycle

The good news? Even small increases to your payment can dramatically reduce your payoff time.

Take Control Today

The credit card companies have done the math. Now it's your turn.