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Debt Payoff Calculator

Estimate your debt-free date and compare paying expensive debt first or smallest debt first.

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This tool is for existing debts where you already know your EMI or minimum payment. Want to calculate EMI for a new loan? Use Loan EMI Calculator ›

Pay expensive debt first (Avalanche). This may reduce total interest.

Your debts

DEBT 1

Current outstanding amount

%
0%60%

Use the yearly rate. If your credit card shows 3% per month, enter about 36% yearly.

For loans, use EMI. For credit cards, use the minimum amount due from your statement.

DEBT 2

Current outstanding amount

%
0%60%

Use the yearly rate. If your credit card shows 3% per month, enter about 36% yearly.

For loans, use EMI. For credit cards, use the minimum amount due from your statement.

How much extra can you pay each month?

Any amount you can pay above the minimums.

₹0₹50k

Total monthly: ₹12,500

DEBT-FREE IN

2y

May 2028

Strategy: Expensive firstMinimums: ₹7,500Extra: ₹5,000Fees: Not included

Total interest

₹44,505

Interest saved

₹55,426

vs minimums only

Months saved

23 months

Total paid

₹2.95 Lakh

Payoff order

1. Credit CardMonth 8 · ₹6,646 interest
2. Personal LoanMonth 24 · ₹37,859 interest

What this means

Under pay expensive debt first (Avalanche), the first focus is Credit Card because it has the highest interest rate (36%). This debt has a higher interest rate than the others you entered. Review lender rules, fees, and repayment terms carefully. Paying ₹5,000 extra per month saves 23 months and ₹55,426 in interest.

What can change this

New borrowing, missed payments, fees, rate changes, or paying less than the planned extra amount can extend the payoff timeline.

What to check next

Check whether the extra monthly payment is realistic, then compare both strategies to see which approach is easier to follow.

Costs and assumptions

This estimate is based only on the information entered here.

Included
  • Debt balances, annual interest rates, and minimum payments
  • Extra monthly payment when entered
  • Selected payoff strategy
Not included unless stated
  • Late fees, penal interest, settlement charges, and foreclosure charges
  • GST or other lender charges
  • Variable rates, changing minimum payments, and informal loan terms
What to check before deciding
  • Loan or card statement for the actual annual rate and fees
  • Whether prepayment, foreclosure, or settlement rules apply
Example repayment scenario

If a credit card balance has a higher yearly rate than a personal loan, the expensive-debt-first path directs the extra amount to the card first while keeping minimum payments on other debts. The smallest-debt-first path directs the extra amount to the lowest balance first.

Both views are estimates. Actual payoff timing can change if fees, GST on charges, minimum dues, interest rates, or missed payments change.

When to use this calculator

  • Comparing pay expensive debt first and pay smallest debt first paths.
  • Estimating a debt-free date from balances, rates, minimum payments, and extra payment.
  • Checking credit card debt using an approximate annual rate.
  • Separating loan EMI commitments from credit card minimum amount due.
How the payoff estimate is calculated

This shows the simplified method used for the estimate. It is meant for transparency, not as a full financial model.

Formula

1. Add monthly interest to each debt. 2. Pay the required minimums. 3. Send any extra payment to the debt selected by the strategy.

Scroll sideways if the formula is wider than the screen.

InterestEach month adds interest using balance x annual rate / 12 / 100.
MinimumsRequired monthly payments are applied to every active debt first.
ExtraAny extra payment goes to the priority debt: highest rate for expensive-debt-first, or lowest balance for smallest-debt-first.
RedirectWhen a debt is paid off, its minimum payment is redirected to the next priority debt.

Assumption: Minimum payments stay constant. Extra payment redistributes as debts are cleared. The estimate simulates one month at a time until all balances reach zero.

Does not account for late fees, penal interest, variable minimums, GST on charges, settlement costs, foreclosure charges, or changing interest rates.

Frequently asked questions

What is the debt payoff calculator?
It estimates how long it may take to repay existing debts using balances, annual interest rates, minimum payments, an extra monthly payment, and a selected repayment order.
What is expensive-debt-first?
Expensive-debt-first means directing extra payment toward the debt with the highest annual interest rate first. It is also commonly called the avalanche method.
What is smallest-debt-first?
Smallest-debt-first means directing extra payment toward the lowest balance first. It is also commonly called the snowball method.
What interest rate should I enter for a credit card?
Use an approximate annual rate. If your card shows 3% per month, enter about 36% yearly. Check your card statement because fees, GST on charges, and penal interest may differ.
Does this include late fees or penalties?
No. Late fees, penal interest, GST on charges, settlement costs, foreclosure charges, and changing interest rates are excluded unless you manually reflect them in your inputs.
Is this debt advice?
No. This is an educational repayment estimate only. It does not recommend a loan product, settlement option, or repayment strategy for your personal situation.

Educational estimate only. This calculator uses simplified assumptions based on your inputs. Actual outcomes may differ because of market returns, taxes, fees, inflation, product rules, exit penalties, lender charges, and personal circumstances. This is not financial, investment, tax, or legal advice. Actual EMI, interest rate, processing fee, GST, insurance, legal or valuation charges, prepayment rules, and lender approval terms may vary by bank or NBFC.

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