How to use it
- Enter the balance and credit limit of each card. Leave unused cards empty.
- Optionally change the target percentage.
- Read the overall percentage, the percentage for each card and the pay-down amount.
How it works
Per card: balance ÷ limit × 100. Overall: sum of balances ÷ sum of limits × 100. Pay-down to target = total balance − target % × total limit, and 0 if you are already under it. Which balance is used (statement or current) depends on the lender and is not modelled here.
Worked example
Card 1: 500 of 2,000 is 25%. Card 2: 1,500 of 3,000 is 50%. Together 2,000 of 5,000 is 40%. To reach 30% the balance must fall to 1,500, so pay 500 in total.
Tips
- Paying a card before its statement date can lower the balance that gets reported; check how your issuer reports.
- Closing a card removes its limit and can raise your overall percentage.
- To plan paying a card off, use the credit card payoff calculator.