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Guide

The Minimum Amount Due Trap

Why paying the minimum costs 36–46% a year.

By Nishit Kumar, Founder & Editor
Updated 17 August 2026

Your numbers

₹1 L
₹1,000₹1,00,000₹50 L
0.53.5%5
₹100₹5,000₹50 L
Effective annual rate
51.11%
  • Principal46%
  • Interest + GST54%
Monthly rate
3.50%
Time to clear
3 yr 8 mo
Total interest + GST paid
₹1,16,066
Total repaid
₹2,16,066
Typical minimum due (5%)
₹5,000

What this means.Credit card interest of 3.5% a month is 51.1% a year once compounded — and 18% GST applies on the interest too. Paying only the minimum due would take decades.

Questions

Is this credit cards information specific to India?

Yes. Everything on Credsir is written for Indian regulation, Indian tax law and Indian products — RBI rules, IRDAI norms, SEBI regulation and the current financial year’s income tax provisions.

How often is this page updated?

Rate tables are refreshed weekly, and immediately after an RBI policy change or a Budget announcement. Every figure on the page carries the date it was captured and a link to its source, so you can always see how current it is.

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No. We earn from partner links and advertising, but rankings come from a published scoring formula that runs identically on every product, whether we earn from it or not. Products we make nothing from appear in these lists whenever they win on the numbers.

Are these the rates I will actually be offered?

Advertised rates are the best case, reserved for applicants with a high credit score, stable income and a favourable profile. Your offer depends on your credit score, employer, income and existing obligations. Treat published rates as the floor, not the quote.

Related reading

Worth knowing.Rates, fees and terms change frequently and vary by applicant. Everything here is general information, not personalised advice. Confirm the current terms directly with the institution before you apply. How we research and rate.