Am I Paying More Than I Need To Each Month?

You pay the minimum every month and the balance barely moves. This explains why in plain terms: how the minimum is worked out, why it traps you, and what happens if you add even a small amount on top. With a worked example on your balance and rate, you see the payoff time shrink in front of you.

Explain how minimum payments work on credit cards and revolving debt in plain language. Specifically: how is the minimum calculated, why does paying only the minimum keep me in debt so long, and what happens mathematically if I increase my payment by even {EXTRA_MONTHLY_AMOUNT} per month? Use a simple example with a {CARD_BALANCE} balance at {INTEREST_RATE}% APR to show the difference in payoff time and total interest between minimum-only payments, minimum plus the extra amount, and a fixed payment large enough to clear the debt in {TARGET_MONTHS} months. Keep the maths visible so I can follow the logic.