Credit Card Interest
True cost of CC debt — and when to switch to a personal loan
Most Indian credit cards: 36–42% p.a. Check your card's schedule of charges.
Banks set 5–10% of outstanding or ₹200, whichever is higher
How much you plan to pay each month
If you keep using the card while repaying
Minimum payments: payoff in 148 months (12.3 yrs)
Balance Over Time — Minimum vs Fixed Payment
The Real Cost of APR 36%
Outstanding balance
₹50,000
Monthly interest charge
3.00% per month
₹1,500
Annual interest (if unpaid)
If nothing is paid back
₹18,000
Minimum payment scenario
Total interest: ₹66,375 — you pay ₹66,375 extra!
148 months
Fixed ₹5,000/mo scenario
Total interest: ₹10,338
13 months (1.1 yr)
Savings vs minimum
Interest saved by paying fixed amount
₹56,037
Credit Card Debt Alert
→ At 36% APR, ₹1L of debt costs ₹3,000/month in interest alone. This is the most expensive form of debt — pay it off before investing.
→ The minimum payment trap: paying only minimum means most payment covers interest, barely reducing principal. Debt drags on for years.
→ Balance transfer to 0% intro rate cards or personal loan at 12–14% can save lakhs in interest.
→ Credit cards are free tools if paid in full each month. Never carry a balance — the interest erases all rewards/cashback benefits.
→ Late payment fee: ₹500–1,200 flat + interest from transaction date (not statement date) — always pay at least minimum by due date.
Escape the 36% APR trap — options below.
Transfer high-interest CC debt to 0% intro rate cards. Save thousands.
Explore Balance TransferPersonal loan at 10–14% to clear credit card debt at 36%. Smart move.
Get Personal Loan at Lower RateAffiliate partnerships help keep FiledIn free. We only list platforms we'd recommend regardless.
FAQ
Credit Card Interest — FAQ
Common questions about this calculator
Most Indian credit cards charge 3–3.5% per month = 36–42% effective annual rate. This is among the highest cost borrowing available.
Calculations are approximate and for educational purposes only. Excludes surcharge for income above ₹50L. Consult a Chartered Accountant for personalised tax advice.