How long to pay off £5,000 on a credit card
The short answer: on a card charging 24.9% APR, £5,000 takes about 3 yrs to clear if you pay £200 a month, and costs about £2,123 in interest. Pay £500 a month and you’re done in a year, for about £663 of interest. Pay only the minimum and it can take 15 yrs 1 mo to 33 yrs. The table below shows every step in between.
How long it takes at different payments
| Monthly payment | Time to clear | Total interest | Total repaid |
|---|---|---|---|
| £100 | Never | The balance grows | — |
| £125 | 7 yrs 3 mo | £5,785 | £10,785 |
| £150 | 4 yrs 10 mo | £3,594 | £8,594 |
| £200 | 3 yrs | £2,123 | £7,123 |
| £250 | 2 yrs 3 mo | £1,527 | £6,527 |
| £300 | 1 yr 9 mo | £1,200 | £6,200 |
| £400 | 1 yr 3 mo | £849 | £5,849 |
| £500 | 1 yr | £663 | £5,663 |
| Minimum: 2.5% + interest | 15 yrs 1 mo | £4,097 | £9,097 |
| Minimum: 1% + interest | 33 yrs | £10,148 | £15,148 |
The balance is £5,000 at 24.9% APR with no new spending. The first month’s interest is about £104, which is why a £100 payment goes nowhere. Cards add interest daily, so your statements will differ by a few pounds either way.
Doubling your payment from £150 to £300 doesn’t halve the cost. It cuts the interest from £3,594 to £1,200, and the time from 4 yrs 10 mo to 1 yr 9 mo. Each extra pound goes straight onto the balance, so it stops interest building on it.
What you need to pay to be done by a date
| Clear it in | Monthly payment | Total interest |
|---|---|---|
| 1 year | £475 | £700 |
| 2 years | £267 | £1,399 |
| 3 years | £199 | £2,147 |
| 5 years | £146 | £3,788 |
How much the interest rate matters
The same £200 a month on £5,000, at different rates:
| APR | Time to clear | Total interest |
|---|---|---|
| 0% | 2 yrs 1 mo | £0 |
| 9.9% | 2 yrs 5 mo | £623 |
| 15% | 2 yrs 7 mo | £1,033 |
| 19.9% | 2 yrs 9 mo | £1,511 |
| 24.9% | 3 yrs | £2,123 |
| 29.9% | 3 yrs 4 mo | £2,926 |
Cards charge many different rates, and you may be offered a higher or lower one than the headline rate. If yours is high, moving the balance to a 0% card for a few percent fee can cut the interest sharply. See when a balance transfer is worth it. If you have more than one debt, which to pay off first shows how to order them.
Quick ways to get there faster
- Set a fixed direct debit that is higher than the minimum, so you never fall back to it.
- Stop using the card while you pay it down. New spending goes on top of the balance.
- Send windfalls straight to the card. Putting £1,000 off the £5,000 balance, while still paying £200 a month, saves about £901 in interest.
- Check your rate. Card rates vary a lot, and a lender may offer a lower one if your circumstances have improved.
If you’re struggling to keep up, StepChange, National Debtline and Citizens Advice give free, confidential advice.
This is general information, not financial advice. Figures assume a fixed 24.9% APR, interest of APR divided by 12 each month and no further spending on the card.
Common questions
How long does it take to pay off £5,000 on a credit card?
At 24.9% APR, paying £200 a month clears it in 3 yrs and costs about £2,123 in interest. Paying £500 a month clears it in a year. On minimum payments alone it can take over 15 years, and sometimes more than 30.
How much do I need to pay each month to clear £5,000 in two years?
At 24.9% APR you need about £267 a month for 24 months. The lower the rate, the less you need.
Why does a £100 payment never clear £5,000?
At 24.9% APR the first month's interest on £5,000 is about £104. A payment of £100 doesn't even cover that, so the balance would grow.
How much interest will I pay on £5,000?
It depends on how fast you pay. At 24.9% APR, £250 a month costs about £1,527 in interest; £150 a month costs about £3,594.
Would a balance transfer help?
It can. A 0% balance transfer card stops interest for a set period, usually for a fee of around 3% of the amount moved. If you can clear the balance in that period, it is often much cheaper. See our guide to when balance transfers are worth it.