Why minimum payments are a trap
A $5,000 balance at 19.99% APR paying only the 2% minimum takes over 30 years and costs more than $11,000 in interest. The card issuer designed it that way.
Paying even an extra $50/month often cuts the payoff time in half and saves thousands. The earlier dollars in a repayment do the most work because they avoid the most interest.
Two popular payoff strategies: ‘avalanche’ (highest APR first, mathematically cheapest) and ‘snowball’ (smallest balance first, psychologically motivating). Both beat minimum payments by a huge margin.