If I pay the minimum due amount instead of the total due. What would be the interest for the remaining amount of the SBI Credit card?

Hey brother, here’s what happens if you pay only the minimum due on your SBI Credit Card:

Minimum Due Explained: It’s usually around 5% of your total outstanding balance. Paying it avoids late fees, but doesn’t clear your debt.

Interest Accrues on Remaining Balance: If you don’t pay the full balance, interest kicks in on the unpaid amount. This interest is around 2.5% to 3.5% monthly (30-42% annually).

No More Interest-Free Period: You lose the interest-free window for new purchases. Interest will start from the day you make a new transaction.

Daily Interest Calculation: Interest is calculated daily on your remaining balance, making it stack up quickly if you keep paying the minimum.

Compounding Debt: The longer you pay just the minimum, the more interest you owe. It can lead to a debt spiral, where your balance grows even if you keep making payments.

Solution:

Pay More than the Minimum: Even paying a bit more can reduce the interest burden.
Clear Full Balance When Possible: This avoids interest altogether.
Consider EMI: For big purchases, convert them into EMIs to spread the cost with lower interest.
Paying the minimum is fine for emergencies, but doing it often can be expensive.