Question

For a credit card with a balance of $10,500 and an interest rate of 21.99% (monthly compounding, charged on the outstanding balance each month), how much total interest will you pay over the repayment period if your payment each month is $245?

Answer 1

Payment Schedule

Opening Balance	Interest 21.99%	Payment	Principal Repayment	Closing Balance
10,500.00	192.41	245.00	52.59	10,447.41
10,447.41	191.45	245.00	53.55	10,393.86
10,393.86	190.47	245.00	54.53	10,339.33
10,339.33	189.47	245.00	55.53	10,283.80
10,283.80	188.45	245.00	56.55	10,227.25
10,227.25	187.41	245.00	57.59	10,169.66
10,169.66	186.36	245.00	58.64	10,111.02
10,111.02	185.28	245.00	59.72	10,051.31
10,051.31	184.19	245.00	60.81	9,990.50
9,990.50	183.08	245.00	61.92	9,928.57
9,928.57	181.94	245.00	63.06	9,865.51
9,865.51	180.79	245.00	64.21	9,801.30
9,801.30	179.61	245.00	65.39	9,735.91
9,735.91	178.41	245.00	66.59	9,669.32
9,669.32	177.19	245.00	67.81	9,601.51
9,601.51	175.95	245.00	69.05	9,532.46
9,532.46	174.68	245.00	70.32	9,462.14
9,462.14	173.39	245.00	71.61	9,390.53
9,390.53	172.08	245.00	72.92	9,317.61
9,317.61	170.75	245.00	74.25	9,243.36
9,243.36	169.38	245.00	75.62	9,167.74
9,167.74	168.00	245.00	77.00	9,090.74
9,090.74	166.59	245.00	78.41	9,012.33
9,012.33	165.15	245.00	79.85	8,932.48
8,932.48	163.69	245.00	81.31	8,851.17
8,851.17	162.20	245.00	82.80	8,768.37
8,768.37	160.68	245.00	84.32	8,684.05
8,684.05	159.14	245.00	85.86	8,598.18
8,598.18	157.56	245.00	87.44	8,510.74
8,510.74	155.96	245.00	89.04	8,421.70
8,421.70	154.33	245.00	90.67	8,331.03
8,331.03	152.67	245.00	92.33	8,238.70
8,238.70	150.97	245.00	94.03	8,144.67
8,144.67	149.25	245.00	95.75	8,048.92
8,048.92	147.50	245.00	97.50	7,951.42
7,951.42	145.71	245.00	99.29	7,852.13
7,852.13	143.89	245.00	101.11	7,751.02
7,751.02	142.04	245.00	102.96	7,648.05
7,648.05	140.15	245.00	104.85	7,543.21
7,543.21	138.23	245.00	106.77	7,436.43
7,436.43	136.27	245.00	108.73	7,327.71
7,327.71	134.28	245.00	110.72	7,216.99
7,216.99	132.25	245.00	112.75	7,104.24
7,104.24	130.19	245.00	114.81	6,989.42
6,989.42	128.08	245.00	116.92	6,872.50
6,872.50	125.94	245.00	119.06	6,753.44
6,753.44	123.76	245.00	121.24	6,632.20
6,632.20	121.54	245.00	123.46	6,508.74
6,508.74	119.27	245.00	125.73	6,383.01
6,383.01	116.97	245.00	128.03	6,254.98
6,254.98	114.62	245.00	130.38	6,124.60
6,124.60	112.23	245.00	132.77	5,991.83
5,991.83	109.80	245.00	135.20	5,856.63
5,856.63	107.32	245.00	137.68	5,718.96
5,718.96	104.80	245.00	140.20	5,578.76
5,578.76	102.23	245.00	142.77	5,435.99
5,435.99	99.61	245.00	145.39	5,290.60
5,290.60	96.95	245.00	148.05	5,142.55
5,142.55	94.24	245.00	150.76	4,991.79
4,991.79	91.47	245.00	153.53	4,838.26
4,838.26	88.66	245.00	156.34	4,681.92
4,681.92	85.80	245.00	159.20	4,522.72
4,522.72	82.88	245.00	162.12	4,360.60
4,360.60	79.91	245.00	165.09	4,195.51
4,195.51	76.88	245.00	168.12	4,027.39
4,027.39	73.80	245.00	171.20	3,856.19
3,856.19	70.66	245.00	174.34	3,681.86
3,681.86	67.47	245.00	177.53	3,504.33
3,504.33	64.22	245.00	180.78	3,323.54
3,323.54	60.90	245.00	184.10	3,139.45
3,139.45	57.53	245.00	187.47	2,951.98
2,951.98	54.09	245.00	190.91	2,761.07
2,761.07	50.60	245.00	194.40	2,566.67
2,566.67	47.03	245.00	197.97	2,368.70
2,368.70	43.41	245.00	201.59	2,167.11
2,167.11	39.71	245.00	205.29	1,961.82
1,961.82	35.95	245.00	209.05	1,752.77
1,752.77	32.12	245.00	212.88	1,539.89
1,539.89	28.22	245.00	216.78	1,323.11
1,323.11	24.25	245.00	220.75	1,102.36
1,102.36	20.20	245.00	224.80	877.56
877.56	16.08	245.00	228.92	648.64
648.64	11.89	245.00	233.11	415.52
415.52	7.61	245.00	237.39	178.14
178.14	3.26	245.00	241.74	-63.60
Total Interest Payment	$        10,261.40