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Debt Calculator: Discover the Real Cost of Your Loans

How much is your debt really costing you?

Debt is a financial tool that, when poorly managed, can become a trap. Whether it's a credit card at 20% APR, a personal loan at 8%, or a variable-rate mortgage, compound interest works against you when you owe money. Each month you only pay the minimum, most of your payment goes to interest, not reducing the principal. A $10,000 debt at 18% with minimum payments can end up costing you over $20,000 and take more than 10 years to pay off. With this calculator, you can visualize exactly how much you'll pay in interest, how long you need to become debt-free, and how much you can save by increasing your monthly payment by even $50 more.

$10,000
$1,000$100,000
18%
0%30%
$300
$25$5,000

Estimated minimum payment: $250/mo

Time to pay off

3 years and 11 months

Total you'll pay

$13,967

Total interest paid

$3,967

Total interest cost

$3,967

If you pay $50 more per month...

You save 9 months and $811 in interest.

Your debt over time

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Strategies to get out of debt faster

Getting out of debt requires a plan, not just good intentions. The most effective strategy is the avalanche method: order your debts by interest rate from highest to lowest and put all extra money toward the most expensive debt while paying the minimum on the rest. Once it's paid off, move to the next highest rate. Another option is the snowball method, which prioritizes the smallest debts first for quick wins that keep you motivated. Whichever method you choose, the key is not accumulating more debt while paying off existing balances. Freeze or cut up credit cards if necessary. Negotiate with your bank for a lower interest rate or debt consolidation. Automate payments so you never miss one. Put any extra income — bonuses, tax refunds, side gigs — directly toward reducing the principal. And remember: every dollar you pay above the minimum is a dollar that stops generating interest against you.

Debt Calculator | How Much You Really Pay in Interest — CoinSim