Updates automatically as you type.
Calculated in your browser; your inputs are not sent to us. Privacy
Calculation details
Review the generated output before relying on it.
This tool runs in your browser. Your calculator inputs and results are never transmitted to us or to ad/affiliate partners. Ads and sponsored links may set third-party cookies to serve and measure them, but they never receive your calculation values. If you explicitly save a scenario, its permitted fields stay in local browser storage until you clear them. See our Privacy Policy.
Use this result
Share the current inputs or ask ChatGPT to explain the calculation in context.
More options
How This Tool Works
Calculation Method
Computes Consolidated payment from Debt 1 balance, Debt 1 APR, Debt 1 minimum, Debt 2 balance, Debt 2 APR, Debt 2 minimum, Consolidation APR and Consolidation term.
Site methodology
No unrelated authority link is added merely to make this page look sourced. Tool-specific external sources are shown only when they directly support the method, rate, or rule.
Assumptions to Verify
- Rates, fees, timing, and rules can change.
- Use the result as a planning estimate and verify current terms.
Privacy: The calculation runs in this browser. Shared links contain the page address only, not your inputs or results.
$10k at 12%, 36 months
What this means for your numbers: The worked example's 36-month term saves ~$950 versus minimum payments on the original cards. Stretching to 60 months flips it to $450 more: term is the whole decision.
Illustrative breakdown using the worked example above. The calculator computes your own numbers with the same formula.
Worked example: $5,000 at 22% and $3,000 at 14%, consolidating at 12% for 36 months
Say card one has a $5,000 balance at 22% APR with a $150 minimum, and card two has $3,000 at 14% with a $100 minimum. The payoff loop compounds monthly at apr/100/12, so card one adds $91.67 in interest the first month ($5,000 x 0.018333). Paying $150 leaves $5,441.67 minus $150, and the balance grinds down for 52 months, accruing $2,798.05 in interest along the way. Card two runs faster: first-month interest is $35.00 against a $100 payment, so it clears in 38 months with $713.99 in interest. Combined today: $3,512.04 of interest across 90 months.
Now consolidate both into one loan of $8,000 at 12% over 36 months. The monthly payment uses the standard amortization formula, payment = P x r / (1 - (1 + r)^-n), with r = 0.01 monthly. That gives $8,000 x 0.01 / (1 - 1.01^-36) = $265.71 per month. Total paid is $265.71 x 36 = $9,565.72, so interest is $1,565.72. Against the $3,512.04 baseline, the save function reports $1,946.32 in interest and 54 months back ($90 - $36 = 54).
The same $8,000 consolidated at 22% over 36 months tells the opposite story: the payment rises to $222.98 x ... let's use the exact figure, $222.98 per month would not cover it at 12 months, and at 36 months interest comes to $27.16 only because the shorter term offsets the rate. Run the tool with a 60-month term at 22% and the interest climbs to roughly $5,238, worse than the two cards combined, which is exactly the 'higher cost' branch of the result message.
Where the model breaks: edge cases and real-world friction
At crate = 0, the amortization formula is mathematically indeterminate (division by zero), so treat it as the limit the formula approaches: payment = principal / term, exactly $8,000 / 36 = $222.22 per month and $0 interest. Any positive rate slightly above that payment and adds interest. Negative crate or cterm = 0 fails the input guard and returns the 'Check the inputs' message rather than a number.
The 600-month cap matters. A card with a $5,000 balance, a 29.99% APR, and a $50 minimum takes over 20 years; the loop stops at 600 months and reports 600 even if the true payoff is longer, which understates baseline interest and overstates the consolidation savings. If a single card's monthly interest exceeds its minimum (balance x APR/1200 > minimum), the balance grows forever and the cap is always hit.
The model also ignores the real world. A 0% balance-transfer offer usually carries a 3% to 5% upfront fee ($240 to $400 on $8,000), which the calculator counts as nothing. Personal loans charge origination fees of 1% to 8%, similarly invisible. Minimums are treated as fixed, but card minimums typically fall as the balance shrinks, which lengthens payoff and raises baseline interest, again inflating savings. Finally, a consolidation loan with a fixed term can lure a lower monthly payment ($265.71 versus the $250 you were paying) that hides an extended commitment; the calculator surfaces the month count precisely so you can see that trade.