Personal Loan vs Credit Card Calculator
Free personal loan vs credit card calculator — compare total interest and payoff time between carrying card debt vs a fixed-term personal loan.
Important: By using this page, you agree that calculator or tool results, charts, About explanations, quick tips, and formulas are for informational use only — not professional advice. You assume all risks of relying on them. See the full disclaimer below and our Terms of Service.
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How it works
Enter card balance, APR, and monthly payment, then personal loan APR and term. Compare total interest and months to debt-free.
About Personal Loan vs Credit Card Calculator
Informational only — not professional advice. Report an error.
You owe $15,000 on a card at 22%, paying $350 a month, and a lender pre-qualifies you for an 11% personal loan over five years. Is borrowing to pay off borrowing actually smarter? Revolver credit card debt at high APR can dwarf the cost of a fixed-rate personal loan with the same payoff horizon — but only if you qualify for a materially lower loan rate and do not reload the card afterward.
Enter card balance, APR, and planned monthly payment, then personal loan APR and term. The calculator compares months to debt-free, total interest, total paid, and labels which option wins on math alone. Cards compound on remaining balance while minimums flex; loans amortize on a fixed schedule with predictable payments.
When loan APR is several points below card APR, interest savings often reach thousands on five-figure balances. On $15,000 at 22% paying $350/month versus an 11% loan, the side-by-side total interest tells the story faster than gut feel.
This is the right first pass before applying for consolidation loans: if the loan payment exceeds your current card payment, cash flow may tighten even when total interest falls. Run both scenarios side by side before origination. Subtract origination fees from projected loan savings — they are real money.
Assumes no new card charges during payoff. Variable-rate loans and deferred-interest promos are not modeled. Prepayment penalties on personal loans can reduce savings if you pay off early — confirm with the lender.
Spreadsheet users often compare only monthly payment and miss total interest. This tool surfaces both so you can align the decision with your goal — lowest total cost, fastest debt-free date, or lowest monthly cash outflow. Automate loan payments and remove the card from daily use if the loan wins.
Your credit score at application time determines the loan APR you actually get — if pre-qualification showed 11% but hard pull lands at 14%, rerun before signing because the card path may win again at the higher loan rate.
Quick tips
- Subtract origination fees from projected loan savings before celebrating.
- If the loan wins on interest, automate payments and stop using the card for daily spending.
- A shorter loan term cuts total interest if the payment still fits your budget.
- Multiple debts? The Debt Consolidation Calculator handles more than one balance at once.
Formulas
cardPath = iterative payoff at fixed monthly paymentloanPath = fixed amortization over term × 12 months
This tool is part of the free Personal Finance collection on FindMeTool. Explore more Personal Finance tools or browse the full tool directory.