Debt Consolidation Calculator — Card Debt vs Personal Loan
Swapping 24% revolving debt for a 12% fixed-term loan can cut both the cost and the timeline — if you stop re-borrowing on the freed-up cards. Run the honest comparison here.
- New loan payment
- $398.57
- Interest if you stay the course
- $6,509.25
- Interest on the loan
- $2,348.58
How this calculator works
- The card path simulates your current payment against revolving interest; the loan path amortizes the same balance at the loan APR over a fixed term. Fixed terms force the payoff that revolving credit lets you postpone forever.
- Watch origination fees (1–8% on some loans) and — most importantly — the re-borrowing risk: consolidation only works if card balances stay at zero afterward.
Frequently asked questions
What rate can I get on a consolidation loan?
Roughly: 740+ credit sees 8–13%, 670–739 sees 13–20%, below that 20–36%. If the loan APR isn't meaningfully below your card APR, consolidation buys structure, not savings.
Will consolidation hurt my credit?
Short-term dip from the inquiry, then usually a solid gain: card utilization drops to near zero while the installment loan is scored differently. Keep the paid-off cards open.
Loan vs balance transfer — which is better?
Balance transfer wins if you can clear the debt within the 0% window (fee ~3–5%). A loan wins for larger balances needing 3–5 years, where a fixed rate beats the post-promo cliff.
Related calculators
Disclaimer: Results are estimates for educational purposes only and are not tax, legal, or financial advice. Tax rules are simplified (credits, phase-outs, and local taxes may not be modeled). Verify important decisions with the IRS, your state tax authority, or a licensed professional.