Payoff $5,000 Debt
Calculate the monthly payment needed to pay off a debt of $5,000 in a certain number of months or years. It can be used for a credit-card debt, student loan debt, or any other type of debt.
You have a debt of $5,000 with an interest rate of 7.50%.
To pay it off in 2 years, you will have to pay:
$225.00 / month
You will pay a total of $399.95 in interest.
What if You Refinance?
The effects of high interest-rate debt can be large. Here's how much you'd have to pay each month to pay off a $5,000 debt in 2 years with different interest rates:
| Interest Rate |
Payment |
Total Interest |
| 5% |
$219.36 |
$264.57 |
| 6% |
$221.60 |
$318.47 |
| 7% |
$223.86 |
$372.71 |
| 8% |
$226.14 |
$427.27 |
| 10% |
$230.72 |
$537.39 |
| 12% |
$235.37 |
$648.82 |
| 15% |
$242.43 |
$818.40 |
| 20% |
$254.48 |
$1,107 |
| 25% |
$266.86 |
$1,405 |
| 30% |
$279.56 |
$1,710 |
What's the Highest Credit Card Interest Rate?
In the U.S. there is no federal law that limits the rate of interest that a credit card company can charge. However, there is a maximum of 36% for active U.S. military members and their dependents.
Perhaps because of this law, there is no credit card with an APR greater than 36% as of July 2023.
In 2009, First Premier Bank offered a card with a stunning 79.9% interest rate, probably the highest ever.