Time Cost: The Hidden Years in Your Credit Card Debt
Time Cost is how many extra months or years minimum-only payments add to your credit card debt compared to a smarter payoff strategy. Bubbleverse calculates it by simulating two paths — minimum payments vs a fixed higher payment — and showing the difference.
How Time Cost Is Calculated
- Minimum-only path — pays only minimum due each month until balance hits zero
- Optimal path — pays a fixed amount above minimum, targeting highest-cost card first
Time Cost = months on minimum path minus months on optimal path.
Real-World Example
₹50,000 at 42% APR: minimum-only takes ~14 years. ₹5,000/month clears it in ~14 months. Time Cost saved: ~12.5 years.
Frequently Asked Questions
- What is Time Cost in credit card debt?
- The extra months or years minimum-only payments add. A ₹50,000 balance that takes 14 years at minimum could be cleared in 14 months with the right plan.
- How much time do minimum payments add in India?
- With 30–46% APR, minimum payments can stretch a ₹50,000 balance to 14+ years. Paying ₹5,000/month clears it in 14 months — a Time Cost of 12+ years.
- How do I reduce my Time Cost?
- Double your minimum payment. Attack the highest-APR card first using FiZ Score. Convert revolving balances to EMI. Track your Interest Drain.
Related Metrics
- Trap Score — overall debt trap severity
- FiZ Score — per-card severity score
- Interest Drain — percentage of payment going to the bank
- Bubble Pop — your debt-free moment