It will take 47 months to pay off $40,000 with payments of $1,200 per month, assuming the average credit card APR of around 18%. The time it takes to repay a balance depends on how often you make payments, how big your payments are and what the interest rate charged by the lender is. Increasing your payments to $4,800 per month, for example, would decrease your payoff timeline to 9 months.
Examples of How Long It Will Take to Pay Off $40,000 on a Credit Card
- If you pay $1,200 a month, it will take you 47 months to pay off $40,000
- If you pay $2,400 a month, it will take you 20 months to pay off $40,000
- If you pay $3,600 a month, it will take you 13 months to pay off $40,000
- If you pay $4,800 a month, it will take you 9 months to pay off $40,000
Note: All examples assume an average APR of 18%.
With credit cards and other lines of credit, you can technically take as much time as you need to pay off $40,000 , as long as you always make at least your required minimum monthly payment. You can use WalletHub’s credit card calculator to find out exactly how long it would take you to pay off $40,000 with specific interest rates and monthly payments.
This answer was first published on 12/05/23 and it was last updated on 12/13/23. For the most current information about a financial product, you should always check and confirm accuracy with the offering financial institution. Editorial and user-generated content is not provided, reviewed or endorsed by any company.
