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How Long Does It Take To Pay a $2,000 Credit Card Debt with Minimum Payments?

July 10, 2015

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fin1-300x168.jpgWhen it comes to your financial health, minimum payments on your credit cards are poison.

A $2,000 credit balance with an 18% annual rate, with a minimum payment of 2% of the balance, or $10, whichever is greater, would take 370 months or just over 30 years to pay off.

Making minimum payments on your credit card is a treadmill to nowhere,” says Greg McBride, chief financial analyst at the personal finance website Bankrate.com. During that time, you would end up paying more $4,931 in interest and charges, 146% more than the original balance on the card, according to an online calculator on credit-card comparison site, CreditCards.com.

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