# Calculating the most optimal way to pay off credit cards

I have 3 credit cards which I am slowly paying them off.

``````Card#   Balance    Monthly  Interest   Months to pay of   Minimum
Payment             at current rate    Payment
1       \$15,904    \$453       2%            35            \$453
2       \$11,555    \$652       2%            18            \$360
3       \$8,704     \$260       0%            24            \$260
``````

Facts:

• The interest rates are locked in and cannot change, so at least I don't have to worry about that.
• The monthly payments that I am sending in is the most I can pay.
• Other than redirecting money going to card #2, there isn't a whole lot of space to play with, as cards #1 and #3 are receving the minimum payment.

How do I calculate the most optimal way to pay off all cards in a shortest time?

• You have a 0% credit card? – DJClayworth Mar 16 '11 at 20:27
• @DJClayworth Several years ago I had medical issues. I called Chase, told them I could not pay their rate, explained my predicament and made it clear that it was either a really low rate or bankrupsy for me. IIRC, they asked for a medical note (or maybe not, it was a long time ago) and then gave me a 0% for 5 years. I am in year 2 or 3 now. Several months later I consolidated all my cards via a credit counseling agency and they negotiated with other creditors, so this is what I ended up with. – NeedAdvice Mar 16 '11 at 21:08
• @NeedAdvice it's been about 24 months since you posted this question, so assuming nothing changed you'd be approaching completely paid off. Can you give us an update on how the payoff went? – nohat Mar 13 '14 at 3:20
• @nohat Yes, so I actually paid it off a lot sooner than my math here dictated. The whole "credit card debt" idea just weighed heavily on my mind and I put in all kinds of effort to pay it off. First I tacked card #2 - if I had an extra dollar, I'd use it to reduce the balance. Then I caught 2 lucky breaks. 1 - the judge reduced child support since the kids were living with me. 2 - I got a \$20k bonus at work out of the blue. I put all the new found cash towards getting rid of debt. I was done with everything in little over 12 months. – NeedAdvice Mar 14 '14 at 4:31
• Here is an idea: Consider your house is on fire. Pay them off ASAP. No more than 1 year. – Pete B. Aug 22 '16 at 19:26