You owe the total amount, but interest is shown so you can see the impact.

FACT: After 5 years the total interest payments are greater than your balance even though the balance remains the same.(20% ARP, min. payments)

Total Amount Owed:
$4
The equation is $
4
+ $
4
(4)(4)
Interest Portion:
$4
The equation is $
4
(4)(4)

### Total amount owed if you don't reduce the balance

### $

### Total amount owed if you can reduce the balance by 25%

### $

### Total amount owed if you can reduce the balance by 50%

### $

### Total amount owed if you can reduce the balance by 75%

### $

Wealth Creation Opportunity:
Pay off your credit card every month and invest the money you would have paid in interest. Your investment will double every 10 years. (7% rate of return)

The balance after 10 years is $
4
(1+0.07
)^{10}
10 year Total Benefit:
$4
The balance after 15 years is $
4
(1+0.07
)^{15}
15 year Total Benefit:
$4
The balance after 20 years is $
4
(1+0.07
)^{20}
20 year Total Benefit:
$4
The balance after 25 years is $
4
(1+0.07
)^{25}
25 year Total Benefit:
$4
The balance after 30 years is $
4
(1+0.07
)^{30}
30 year Total Benefit:
$4