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Credit Card Interest Rate Cost Comparison Calculator

Calculator Preferences
Credit Card Interest Rate Comparison Calculator Sign
Credit Card Interest Rate Comparison Calculator

This calculator will calculate the interest and opportunity costs of making only the minimum monthly payment on your credit card, and then compare those costs to rates that are 1-4% lower. The Learn tab includes:

  • What are foregone interest earnings?
  • The tsunami effect.
  • Get paid to lower your rates.
Learn More

Selected Data Record:

A Data Record is a set of calculator entries that are stored in your web browser's Local Storage. If a Data Record is currently selected in the "Data" tab, this line will list the name you gave to that data record. If no data record is selected, or you have no entries stored for this calculator, the line will display "None".

DataData recordData recordSelected data record: None
Balance:Current balance:Current balance:Current balance:

Current balance:

Enter the current balance on your credit card. Enter as a dollar amount but without the dollar sign and any commas. If you have added any charges to your card since your last statement, be sure to include those as well.

% rate:Percent rate:Annual interest rate :Annual interest rate percentage:

Annual interest rate:

Enter the annual interest rate you are being charged on the credit card. Enter as a percentage, but without the percent sign (for .1799 or 17.99%, enter 17.99).

ROI %:ROI percentage:Percent return on investments :Percentage return on investments :

Percentage return on investments :

Enter the annual percentage return you feel you could earn on your investments. Enter as a percentage, but without the percent sign (for .06 or 6%, enter 6).

Current age:Current age:Current age:Current age:

Current age:

Enter the lowest allowable minimum payment dollar amount. Enter as a dollar amount but without the dollar sign and any commas.

Enter your current age. The calculator will use this figure to calculate the opportunity cost of carrying a balance on a credit card and only making the minimum monthly payments.

Retire age:Retirement age:Age you plan to retire:Age you plan to retire:

Age you plan to retire:

Enter the age you plan to retire at. The calculator will use this figure to calculate the opportunity cost of carrying a balance on a credit card and only making the minimum monthly payments.

Interest Rate Comparison
Tap the text for a description of each column.
%%RateRate

Interest rate:

The first line in this column is your current annual interest rate, followed by 4 rates that are each 1% lower than the previous rate.

###
of
Pmts
Number
of
Payments

Number of Payments:

This column shows the number of minimum monthly payments you will make before the balance is paid off, for the corresponding interest rate listed in the far left-hand column.

Int
Cost
Int
Cost
Interest
Cost
Interest
Cost

Interest Cost:

This column shows how much interest you will end up paying if you make only the declining minimum monthly payments for the corresponding interest rate listed in the far left-hand column.

Int
Save
Int
Save
Interest
Savings
Interest
Savings

Interest Savings:

This column shows how much interest you could save if you lowered your current annual percentage rate to one listed in the far left-hand column.

Lost
Val
Lost
Val
Foregone
Value
Foregone
Value

Foregone Value:

This column shows how much your investment could have grown to if you had paid cash for your purchases and invested the avoided interest charges. Note that earnings are calculated starting with your current age and ending either when the credit card is paid off, or when you reach retirement age, whichever is longer.

Opp.
Cost
Save
Opp.
Cost
Save
Opp.
Cost
Savings
Opp.
Cost
Savings

Opportunity Cost Savings:

This column shows the reduced opportunity cost of lowering your current annual percentage rate to the one listed in the far left-hand column.

      
      
      
      
      

If you would like to save the current entries to the secure database, tap or click on the Data tab, select "New Data Record", give the data record a name, then tap or click the Save button. To save changes to previously saved entries, simply tap the Save button. Please select and "Clear" any data records you no longer need.

Feedback AppreciatedFeedback Greatly AppreciatedYour Feedback Would Be Greatly AppreciatedYour Feedback Is Greatly Appreciated
Heading

Tip

About

About the Credit Card Interest Rate Comparison Calculator

This calculator will first calculate the amount of interest you will end up paying if you continue making only the minimum monthly payment on your credit card.

Next the calculator will perform the same calculations on rates that are 1-4% lower so you can see how much you would save if you could get your rate lowered -- either by calling the credit card company or by transferring your balance to a lower rate card.

Finally, the calculator will also show you how much you could have earned had you paid cash for the purchases and invested the avoided interest charges - for all 5 interest rates.

If you're not sure what is meant by foregone interest earnings, I suggest you visit the Learn tab before using the calculator.

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Instructions

How to use the Credit Card Interest Rate Comparison Calculator

Step #1:

Enter the current balance on your card.

Step #2:

Enter the annual interest rate percentage.

Step #3:

Enter the percentage return you expect to earn on your investments.

Step #4:

Enter your current age.

Step #5:

Enter the age you plan to retire at.

Step #6:

Tap the "Calculate Comparison" button and scroll down to view the results.

Saving Entries:

If your web browser supports Local Storage, you can save your entries to your web browser so won't have to start over on your next visit. Please note that your saved entries can only be retrieved from the same device and web browser you were using when you stored them. If you would like to access your saved entries from any device I invite you to subscribe to the Ad-Free Member Version.

To save your entries to your web browser, click or tap the Data tab in the Help and Tools section (mobile: top right of the main screen), select "New Data Record" from the drop-down menu, enter a name for the data record, and then tap or click the Save button.

To load previously saved entries, click or tap the Data tab and select the saved data record from the drop-down menu. You can then save any changes to your entries by simply clicking the Save button while the data record is selected.

To clear a named set of saved entries, click or tap the Data tab, select the saved data record from the drop-down menu, and then tap or click the Clear button.

Numbers and Decimals:

Only numeric characters (0-9 and decimal points) may be entered in numeric fields. Non-numeric characters (dollar signs, percent signs, commas, etc.) may cause calculation errors. If the field includes a grid icon, tapping the icon will open a popup keypad which will include only the characters allowed in the field. If your device keypad does not include a decimal point, use this popup keypad to enter decimal numbers where applicable.

Popup Tool Tips:

Tap the info (i) icons for a further explanation of each entry field (you can click [X] or outside of the pop-up tool tips to close them). A summary of these explanations, along with any additional term explanations, can also be found under the Terms tab.

Disclaimer:

Since I can't test for every possible combination of numbers, please be sure to double-check the results of this calculator yourself before considering them to be valid. If you do discover an issue with the calculated results, please report the issue using the feedback form located below the calculator.

Scrolling & Shrinking:

In order to scroll the calculator vertically you will need to swipe just outside of the calculator's dark-blue border, or use the window's far right-hand scroll bar, whichever is applicable to your device.

If the top section of the calculator becomes to tall for your viewport, tapping in the "Enter a problem..." field should reset the top section to its original height.

Disclaimer:

The Algebra Calculator is the only calculator on the site that I did not create myself. And since I did not create it, I don't have access to the code for fixing any issues you may be experiencing. So if you are having issues with the calculator, please visit the support page at Mathway.com for assistance.

Glossary

Fields, Terms, and Definitions.

Reset button:

Clicking the "Reset" button will restore the calculator to its default settings.

Pocket Calculator

Calculate any amounts needed to enter into calculator.

 

Data Management

Save and retrieve entries and notes (requires HTML5 compliant web browser).

Calculator Data

Calculator Data:

If you are using the latest version of your web browser software, this feature will allow you to save your calculator entries to your web browser's local storage in between visits. This means the calculator entries can only be recalled with the same device and web browser you were using when you saved them. If you'd like to save data between devices you will need to subscribe to the Ad-Free Member Version.

Save: To save a new set of calculator entries, select "New Data Record" from the dropdown list, enter a nickname for the data record, then click the "Save" button.

Load: To load a previously saved set of calculator entries, simply select the name of the data record from the dropdown list.

Save Changes: To save changes to a set of previously saved calculator entries, be sure the name of the data record is selected, and then click the "Save" button.

Clear: To clear a saved set of entries, be sure the name of the data record is selected, and then click the "Clear" button.

Backup Data
My Notes:
Subscribe to the Cloud level of the Ad-Free Member Version to save your entries and notes to a secure online database, allowing you to access your saved entries from any device or web browser.

Sorry! The Save functions are bonus features reserved for those who allow ads to display on the page.

If you would like to use the Save features, please disable ad blocking for this website and refresh the page. Or you can choose to subscribe to the Ad-Free Member Version of the site.

Help and Tools

Help and Tools:

This section, which you can Unstick or Hide in the Calculator Preferences (just above the top of the calculator), contains the following tabs (content too long to fit within bordered frame can be scrolled up and down):

About: Click this tab for an introduction to the calculator.

Instructions: Click this tab for step-by-step instructions for using the calculator.

Terms: Click this tab for a list of the descriptions that are located within each popup help button (info icons).

PCalc: Click this tab for a handy "pocket" calculator you can use when you need to calculate an entry needed for the calculator.

Data: Click this tab to save a set of entries or a note in between visits. Entries and notes will be stored to your web browser's local storage (if supported by your browser of choice), meaning they can only be recalled with the same device and web browser you were using when you saved them. If you'd like to save entries and notes between devices you can do so by subscribing to the Ad-Free Member Version.

 

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