With a typical minimum payment of $150/month (about 2% of the balance), a $7,500 balance at 12% APR takes 5 yr 10 mo to pay off and costs $2,949 in interest. Adding just $100/month cuts that to 3 yr and $1,462 in interest.
Minimum payments are kept small — around 2% of the balance — which is what stretches payoff over years: most of each early payment goes to interest, not principal. Paying a fixed amount above the minimum sends every extra dollar straight to principal, lowering the next month's interest and compounding in your favor. Holding that extra payment steady, even as the required minimum falls, is the single biggest lever on both the time and the total interest.
Compare nearby scenarios: $5,000 at 12% APR · $10,000 at 12% APR · $7,500 at 7% APR · $7,500 at 15% APR.
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Updated July 2026